August 01,2025

The One Big Beautiful Bill Implements Commonsense Medicaid Reforms

Washington, D.C.--Medicaid was created to help pregnant women, children, seniors and Americans with disabilities. Targeting waste, fraud and abuse in the program ensures that it stays financially viable for the populations who need it most.

 

The problem:

  • Democrats have incentivized Medicaid to enroll healthy Americans and cost-shift funding responsibilities to the federal government, driving up costs for taxpayers and risking the program’s sustainability for those who need it most.
  • As a result, Medicaid spending has ballooned with outlays increasing over 200 percent since 2008 and over 50 percent since 2019 alone.
  • As spending has surged, so have improper payments and ineligible enrollments, along with gimmicks and loopholes.

 

Commonsense reforms:

  • Work requirements for able-bodied adults who are choosing not to work.
  • Able-bodied adults without dependents can work, enroll in school or volunteer for 80 hours per month in order to receive taxpayer-subsidized Medicaid coverage.
  • Tightens eligibility verification by requiring states and recipients to verify eligibility twice a year for these benefits.
  • Prevents payments for beneficiaries who have died, are enrolled in multiple states or do not qualify for the program.
  • Prohibits states from waiving asset tests for long-term services, removing individuals from Medicaid rolls who have homes worth over $1 million.

 

What they are saying:

 

“Republicans are boosting the economy, saving taxpayers billions of dollars, and showing their deep belief in lower-income Americans’ ability to contribute to our country’s future. … They alone have passed the biggest welfare reform in U.S. history.” - Hayden Dublois, Foundation for Government Accountability

 

“The GOP bill also includes sensible measures such as asking states to check their Medicaid expansion rolls every six months and more scrutiny on ObamaCare subsidies. That is necessary because the Biden Administration waved millions onto health entitlements … These are common-sense ideas that have public support.” - Wall Street Journal Editorial Board

 

Click HERE to learn more about the Finance Committee provisions in the One Big Beautiful Bill Act.