JustinBarclay
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🏥 Medicaid “Cuts” or Media Cut‑Ups? Here’s the Real Story
May 12, 2025
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The Detroit "Snooze" headline screams that House Republicans are about to leave “millions without care.” Spoiler:they’re doing neither. They’re slowing Medicaid’s runaway growth, shutting down loopholes, and asking able‑bodied adults to give the taxpayers two whole workdays a month in return for free health insurance. Let’s slice through the spin.

 

1. What the bill actually does

  • Saves ≈ $880 billion over 10 years by trimming projected growth—not hacking current benefits. WSJ

  • 80‑hour‑per‑month “community‑engagement” rule for adults 19‑64 without kids or disabilities. Straight Arrow News

  • Twice‑a‑year income/eligibility checks to catch people who got boosted in during the COVID no‑verification free‑for‑all. Advisory Board

  • Ends the COVID‑era 5 % bonus to states and freezes the infamous “provider‑tax” scheme states use to multiply federal dollars. WSJHealthcare Dive

  • Higher copays—$35 a visit—for recipients above the poverty line (capped at 5 % of income).Advisory Board

  • Bans Medicaid dollars for people who can’t prove legal status.Advisory Board

  • Claws back green‑energy subsidies and helps fund a 10‑year extension of the 2017 tax cuts.

 

2. What the press leaves out

Media Talking PointMissing Context
“Millions will lose coverage.”CBO’s first pass says 8.6 million over a decade—about 1 % a year—mostly folks who don’t meet work rules or fail paperwork, not kids or nursing‑home patients. PBS
“Hospitals will close, seniors imperiled.”The bill doesn’t touch long‑term‑care or children’s CHIP funding; it targets the post‑pandemic enrollment surge of ineligible adults.
“Cruel work requirements.”62 % of Americans—including 47 % of Democrats—support work rules for Medicaid, per the February 2025 KFF poll. KFF
“Cuts gut the safety net.”Even with the changes, Medicaid is still on track to top $1 trillion a year before 2030; it hit $872 billion in 2023. WSJCMS
“No mention of fraud.”CMS pegs FY 2024 improper Medicaid payments at $31 billion—5 % of outlays.CMS

 

3. Why reform is overdue

  1. Enrollment ballooned to a record 91 million during COVID thanks to the freeze on eligibility checks; CMS itself projects a drop back to 79 million once the emergency unwinds. CMS

  2. Program size: Medicaid now rivals Medicare, eating 18 % of all U.S. health spending—and crowding out everything from potholes to national defense. CMS

  3. Error rate: One in twenty Medicaid dollars was paid improperly last year. If your local business bled 5 % at the cash register, you’d shut the register until you found the leak. 

 

4. The political chessboard

  • Speaker Mike Johnson needs a win by Memorial Day to keep Trump’s tax package alive; the health savings are the pay‑fors. PBS

  • Democrats’ line of attack (“people will die”) is recycled from the 2017 Obamacare repeal fight—but less potent when every poll shows voters resent work‑free welfare. 

 

5. Takeaways

  • “This isn’t a cut; it’s a diet—Medicaid still gets fatter, just not morbidly obese.”

  • “Two workdays a month isn’t cruelty; it’s common sense.”

  • “$31 billion in annual payment errors = enough to give every registered nurse in America a $5,000 bonus—and we’re supposed to ignore it?”

  • “If slowing growth by 8 % over a decade is ‘gutting care,’ hand me the scissors.”

 

6. Call to action

Congress will hold marathon mark‑ups this week. Flood the phone lines—especially if your rep sits on Energy & Commerce. Tell them you’re done underwriting able‑bodied idleness and bureaucratic leakage. Medicaid should be a trampoline, not a hammock.

 

Bookmark this post, share it, and tune in to the show tomorrow—because the legacy media will keep hyperventilating, and we’ll keep handing you the oxygen mask of truth.

 

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