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  • 20/6/2025
New budget plan could devastate rural hospitals. What's at stake for your community? States facing new Medicaid cost burdens. Will your state be able to cope? Deep dive into the proposed changes that could reshape healthcare access for millions. #HealthcareCrisis. #StateBudgetImpact. #MedicaidReform.

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00:00A high-stakes budget battle is unfolding in the Senate, with significant revisions to a massive
00:04reconciliation package that could fundamentally alter Medicaid. At the core of the debate is a
00:10push to make 2017 tax cuts permanent, requiring immense savings to offset the cost. Senate
00:17committees are now targeting Medicaid, proposing deeper cuts than initially envisioned by the
00:21House. A key provision attracting widespread concern is the proposed limit on how much states
00:27can tax Medicaid providers. The Senate version slashes the cap from the House's 6% to a
00:33stringent 3.5% by 2031. This seemingly technical change has profound implications, provider taxes
00:41are a vital mechanism for states to secure federal Medicaid dollars. Senator Susan Collins of Maine has
00:47been a vocal opponent, warning of a devastating effect on rural hospitals in her state, fearing
00:52potential closures. She's advocating for a provider relief fund to safeguard these essential
00:58facilities. Senator Josh Hawley of Missouri has also publicly decried the bill, arguing against
01:04cutting a major funding source for rural hospitals to finance other priorities. While the Senate's
01:10bill does offer some concessions, softening new Medicaid work requirements by exempting enrollees
01:15with dependents under 14, concerns about practical implementation persist. Senator Lisa Murkowski of
01:21Alaska, despite her state not using provider taxes, fears that new work and eligibility requirements
01:26would still hurt small and rural hospitals due to the sheer difficulty of implementation across her vast
01:32and unique state. The broader worry among some Republican senators is a potential shift too much of
01:37Medicaid, KESS costs onto the states and lower-income Americans, with President Trump demanding a July 4th
01:43deadline, intense negotiations are underway, and the future of Medicaid funding for millions remains uncertain.
01:49Money Explainers
01:51Money Explainers

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