A Republican-backed federal budget plan is raising alarms over potential Medicaid cuts, threatening coverage for up to 1.8 million New Yorkers. The House-approved proposal seeks $2 trillion in spending reductions, with Medicaid seen as a likely target. Democrats, including Gov. Kathy Hochul, warn the cuts could force states to reduce coverage.
Republicans argue that savings can come from eliminating fraud and inefficiencies rather than reducing benefits. Their plan includes work requirements for certain recipients and shifting federal Medicaid funding to block grants. The cuts are aimed at offsetting tax breaks and reducing national debt.
While Democrats condemn the proposal as harmful to middle- and working-class Americans, Republicans insist vital programs will be protected. The Senate will now negotiate changes before a final budget is approved.
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