Update on Medicaid and the Potential for Cuts!

May 07, 2025

Thanks to our friends at ANCOR!

“We wanted to make sure to share with you that there is a new analysis from the Congressional Budget Office (CBO) available on potential cuts to Medicaid. As requested by Senator Wyden and Representative Pallone, CBO considered five potential policy options and found that they would all lead to massive coverage losses.



Link here: Wyden-Pallone Letter_Medicaid_5-7-25



See below for toplines:

  1. Lowering expansion FMAP to standard formula — 5.5 million lose Medicaid, 2.4 million increase in uninsured
  2. Eliminating provider taxes — 8.6 million lose Medicaid , 3.9 million uninsured
  3. Per capita caps for entire population — 5.8 million lose Medicaid, and 2.9 increase in uninsured
  4. Per capita caps for expansion population — 3.3. million lose Medicaid, and 1.5 million increase in uninsured
  5. Repeal Medicaid eligibility and enrollment rules — 2.3 million lose Medicaid, .6 million increase in uninsured.

Note, this is in addition to the estimate that CBO put out earlier saying that  work requirements could leave 2.5 million uninsured.


We also wanted to make sure you saw new reporting that after a meeting last night, Speaker Johnson stated that some of these bigger cuts–like lowering the FMAP and per capita caps for the expansion population–are now off the table. See more here: The House GOP’s Medicaid crunch.“