Democrats’ Medicaid Meltdown Totally Ignores Inconvenient Facts

The Democrats criticized the MEDICAID provisions in the great bill of the Republicans as “Draconian”, but a more in -depth examination of politics changes reveals that the reforms are much more modest than rhetoric suggests.

Signed by President Donald Trump on July 4, the GOP tax and scanning expenditure package projects more than 1 billion of dollars in reforms from Medicaid. While the Democrats have described changes as an unprecedented assault against the health system, they ignore the explosive thrust of Medicaid spending over the past decade and diverted reforms that mainly target a largely exploited funding of funding and non -coded and non -workers.

“What we see since the left and special interest groups are arguments of cover based on fear against the proposal,” Nina Owcharenko Schaefer, director of the Center for Health and Welfare politics said in the Heritage Foundation, at the Daily Caller News Foundation. “These are only common sense changes that tighten the existing structure of the Medicaid program, eliminate fraud, waste and abuse and help the system to work better.” (Related: Exclusive: Marsha Blackburn repels the Dems’ ‘Fear-Gonging’ on the `Belle ” Law of Trump)

Washington, DC – July 04: President Donald Trump holds the law “One, Big Beautiful Bill” which was promulgated as during a picnic of the military family of independence on the southern lawn of the White House on July 04, 2025 in Washington, DC. (Photo of Alex Brandon – Pool / Getty Images)

Democrats have seized Medicaid as a central problem before the mid-term elections, aimed at persuading voters that GOP changes threaten the coverage of health care, especially for the most vulnerable. The head of the House minority, Hakeem Jeffries, described the new law “the greatest attack on Medicaid and the health care in American history”, while many other Democratic legislators said that “people will die” following changes.

However, political experts claim that such declarations give a misleading impression. Medicaid spending should always grow in the next decade, but at a slower pace than expected.

“These are not the draconian cuts that the left speaks,” DCNF Hayden Dublois, data and analysis of the Foundation for Government Accountability (FGA) told DCNF. “Medicaid spending will always increase during the budget window, but will only develop than it would have done.”

Jeremy Nighohossian, senior member and economist of the Enterprise Competitive Institute, told the DCNF that the government spent 51% more on Medicaid today than in 2019.

“When I read the criticisms saying that the Medicaid cups are too large, I notice that no one is talking about the speed at which they have grown in the past seven years, and I think it is probably deliberate,” said Nighohossian. “In the light of the recent growth of Medicaid, I do not think that the provisions of the major bill are excessive.”

One day before the adoption of the bill, a rural hospital in Nebraska announced that it would close, citing “the federal budget cuts provided for in Medicaid”. Democratic Senator Bernie Sanders of Vermont warned that it would be the “first of many hospitals to close” because of the “horrible cups”.

However, many of the key reforms – including the repression of “service providers”, which criticism describes as a gadget used by states to inflate Medicaid costs and extract more federal dollars – will only take effect in 2028.

The federal government corresponds to part of the Medicaid spending of each state. To maximize this correspondence, many tax states of hospitals and other health care providers give them this money as Medicaid payments, creating the appearance of higher medicaid expenses.

“Taxes on service providers essentially finance gadgets and legalized in money laundering which allow states to plan federal taxpayers to rely on the invoice of renown to hospitals,” said Dublois.

While the Congress technically prohibits this type of recycling of federal twinning funds, the existing rules presumed compliance if the states maintain the taxes of providers at or less than 6% of the patient’s net income. The new rule does not prohibit supplier taxes or does not change federal correspondence rates, but simply reduces the federal examination threshold – from 6% to 3.5% – which makes it more difficult for states to exploit the fault. (Linked: The `Big Beautiful Bill ” of Trump may not be the deficit in disaster criticisms – here is why)

Washington, DC – May 08: Senator Cory Booker (D -NJ) speaks during the 24 -hour vigil of Advocates care in Us Capitol to share stories and exhort legislators to protect Medicaid on May 07, 2025 in Washington, DC. (Photo of Leigh Vogel / Getty Images to take care of generations)

“It is even questionable to call these cups,” said Nighohossian. “All the [Big Beautiful Bill Act] If you tax at a higher rate, then we will look at it and make sure that you are not only obviously played the system. “”

While some governors have warned that they could not afford the changes, Nighohossian stressed that the governments of the States had contributed to a higher proportion of their economies in Medicaid in the 2010s than them.

“States have contributed more to Medicaid in the past, so they clearly have budgetary capacity if they want to alleviate part of the impact of federal changes,” said Nighohossian.

Another very contested provision is the new work requirement of Medicaid. From 2027, states will have to follow these adult medicaiids from Medicaid, valid adults, at least 80 hours per month of work, volunteering, training or vocational training, as well as more frequent eligibility controls.

Democrats such as the representative of New Jersey, Frank Pallone, member of the Chamber of the Energy and Trade Committee, said that the work requirements “will lead to millions of Americans who lose health care and become more sick because of the bureaucratic requirements of documents”, while some business media have argued that states would find it difficult to strengthen the systems to follow conformity.

However, with the implementation of years, Dublois said that states have a “long track to achieve it”, adding that “[Centers for Medicare and Medicaid Services] Provides advice to these states long before these work requirements must be implemented, and there will be CMS grant funds available to states to help them implement them. »»

The data from the Medicaid state agency obtained by the FGA through requests for law on freedom of information reveal that 62% of non -elderly and valid people on Medicaid did not work. In addition, the American Enterprise Institute noted in May that the Medicaid recipients who do not work spend 4.2 hours a day – or 125 hours a month – watching television and playing video games, more than 50% above the 80 -hour work requirement.

“These are the common sense parts of the bill that are difficult to contest for the Liberals, so they do not want to look at what is really in the bill,” said Schaefer. “A large part of the existing fear is saying:” We just want the status quo to work as is. Let’s keep your head in the sand and do not worry that we spend a dollars billion on a program that is supposed to be for people with very low income. “”

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