Congress Returns: Medicaid Cuts Take Center Stage

Published in Government Relations on April 29, 2025

By Ike Isaacson 

Congress is back in session after a two-week recess. Number one on the docket is figuring out the budget. The house is tasked with coming up with a $1.5 trillion reduction and a key committee is in the spotlight. 

Keep an eye on the House Energy And Commerce Committee, chaired by Rep. Guthrie (R-KY). This committee is tasked with finding $880 billion of the total budget cuts and they are taking a long hard look at Medicaid. These discussions, that could start as early as next week, will be a harbinger of what the committee is thinking when it comes to Medicaid and what it means to the beneficiaries of those services. While Chairman Guthrie has said that cuts can be made without impacting services, the number of cuts will be the telling story. 

A couple of things to look for: 

• Changes in work requirements. 
• Reductions in the federal match money to states. 

House Speaker Mike Johnson is pushing lawmakers in the House to have the budget ready for President Donald Trump by Memorial Day. However, given the publicity that potential Medicaid cuts have generated, it may be well beyond that date before a package is ready.  Regardless of the timing, this is a topic that you will want to stay up to date on.  

While these discussions are happening at the federal level, it’s also important to keep your attention on your state government. Many states are having similar Medicaid discussions and are keeping a close eye on what the people in Washington, D.C., are doing. Remember, politics is local, so stay connected with your state and federal law makers on a regular basis.   

VGM Government Relations will continue to monitor and report as things roll out. If you have any questions, please contact us here at VGM.