Florida Senator Rick Scott is circulating draft text of an amendment to the GOP megabill that would effectively end a key Medicaid financing mechanism by 2030. The provision, which gained the backing of Senate Majority Leader John Thune during a late-night negotiating session, is set for debate during the ongoing Senate vote-a-rama. While Scott expresses confidence that the amendment will pass, other Republicans caution against deep cuts to Medicaid funding.
The amendment, which would phase out the federal government’s 90 percent cost share for Medicaid enrollees newly eligible under the 2010 Affordable Care Act, is projected to take effect on December 31, 2030. Beneficiaries enrolled before that date would be grandfathered in at the old rate, while new enrollees would face a significantly reduced reimbursement rate, with the federal government’s share potentially dropping to as low as 50 percent. This shift would place a greater financial burden on states to cover the remaining costs.
The amendment has garnered support from several prominent GOP senators, including Ron Johnson of Wisconsin, Mike Lee of Utah, Cynthia Lummis of Wyoming, and Finance Chair Mike Crapo of Idaho. These sponsors represent a broad coalition of conservative Republicans who support the proposal. However, some members of the party remain skeptical, citing concerns over the potential impact on vulnerable populations and the long-term sustainability of the Medicaid program.
With the Senate entering a critical phase of the vote-a-rama, the outcome of this amendment could have significant implications for the future of Medicaid funding and healthcare access in the United States. The debate highlights the ongoing tension between fiscal conservatism and the need for social safety net programs in the Republican Party.