The Congressional Budget Office estimates that under the proposed changes, as many as 8.6 million people could lose Medicaid coverage, and up to 3.9 million would become uninsured.

By Stacy M. Brown
Black Press USA Senior National Correspondent

Research shows that 20 million people (nearly 1 in 12 adults) owe medical debt, which is an estimated $220 billion overall in the United States. And, 66.5 percent of bankruptcies are caused directly by medical expenses, making it the leading cause for bankruptcy. GOP plans to significantly slash Medicaid funding will likely lead to even higher rates of medical debt and bankruptcy filings since millions would lose their health insurance coverage. Credit: Unsplash / Chela B.

A newly released analysis by the nonpartisan Congressional Budget Office (CBO) has confirmed that proposals pushed by Republicans in Congress to slash Medicaid spending would result in millions of Americans losing health coverage. The analysis arrives just days before the House Energy and Commerce Committee is expected to vote on several of these drastic policy changes.ย 

The CBO report, addressed to Senate Finance Ranking Member Ron Wyden and House Energy and Commerce Ranking Member Frank Pallone Jr., outlines five Republican-backed Medicaid policy options that would significantly reduce federal spending. The agency estimates that under the proposed changes, as many as 8.6 million people could lose Medicaid coverage, and up to 3.9 million would become uninsured.ย 

โ€œThis CBO report further confirms what we already knew โ€“ that Republicans in Congress are willing to sell out millions of working families to give their billionaire friends another massive tax break,โ€ said Kobie Christian, spokesperson for Unrig Our Economy. โ€œRepublicans in Congress have been gaslighting the American public by claiming to be against Medicaid cuts, while actively trying to take away health care from millions of working-class Americans.โ€

The proposals outlined in the CBOโ€™s letter are capping federal contributions to Medicaid, reducing the matching rate for states that expanded Medicaid under the Affordable Care Act, and repealing enrollment rules designed to streamline access to Medicaid and CHIP. Each of the first four policy options would force states to respond by cutting provider payments, reducing benefits, and slashing enrollment.ย 

The fifth option aloneโ€”repealing the Eligibility and Enrollment final ruleโ€”would eliminate coverage for 2.3 million people, most of whom are low-income seniors and people with disabilities.ย 

โ€œDonald Trump and Rubber Stamp Republicans in Congress are lying to the American people about their plans to enact the largest cut to Medicaid in our nationโ€™s history,โ€ warned Democratic Leader Hakeem Jeffries.ย  โ€œThe CBO analysis confirms House Democratsโ€™ warnings that the GOP proposals would force states to raise taxes, cut education spending, or push people off health insurance.โ€ย 

โ€œRather than working to improve the Medicaid program, congressional Republicans are continuing a 15-year-old fight to repeal the Affordable Care Act,โ€ noted Andrea Ducas, vice president of Health Policy at the Center for American Progress. โ€œThis new CBO report confirms that each of congressional Republicansโ€™ latest proposals would kick millions of the most vulnerable Americans off their health care, all to pay for tax giveaways for the presidentโ€™s billionaire donors.โ€

The report also arrives as Senate Republicans voted 53โ€“47 to confirm Frank Bisignanoโ€”former Wall Street executive and self-described โ€œDOGE personโ€โ€”as the new head of the Social Security Administration, drawing harsh criticism from Democrats and advocates. During his confirmation hearing, Bisignano dodged questions from Sens. Bernie Sanders and Ron Wyden about the agencyโ€™s cuts and the use of cryptocurrency-related tools in sensitive federal databases. In recent months, under the Trump administration, the SSA has shuttered field offices, laid off 7,000 employees, and made it harder for Americansโ€”especially seniors and rural residentsโ€”to access benefits. Reports from outlets, including Axios, NPR and the Washington Post highlight the collapse of customer service at the SSA, long wait times, and the inability of many Americans to apply for benefits online or by phone.ย 

โ€œRepublicans just handed over the future of Americansโ€™ Social Security to Frank Bisignano, a Wall Street stooge,โ€ said Ken Martin, chair of the Democratic National Committee. โ€œJust like Trump and Musk, Bisignano will gladly put Social Security on the chopping block to line the pockets of billionaires and special interests.โ€

Democrats argue the Republican strategyโ€”cutting Medicaid and destabilizing Social Securityโ€”amounts to an all-out war on working-class Americans. The CBO report estimates the GOPโ€™s Medicaid policy shifts would reduce the federal deficit by as much as $710 billion over the next decade, but at a devastating cost: loss of care, rising out-of-pocket expenses, and widening inequities in health access.ย 

โ€œCrafting health care policy is not an academic exercise; for tens of thousands of Americans, itโ€™s a matter of life or death,โ€ Ducas noted.