Description
WASHINGTON (TNND) — The Senate parliamentarian put a snag in President Donald Trump's plan to pass the "one big, beautiful bill" by July 4 after advising that a key Medicaid provider tax overhaul does not adhere to procedural rules.
Republican leaders are relying on the Medicaid provider tax change to save billions of dollars in the GOP package, to offset the cost of trillions of dollars in tax cuts, which are their top priority.
The decision could force Senate Majority Leader John Thune to return to the drawing board and pause a vote on the bill this week.
GOP leaders will have to consider revising the tax cut, strip it, or it could be challenged during floor votes, requiring a 60-vote threshold to keep it.
While Democrats are unified against Trump's bill, some Republicans warned that the $600 billion cuts to Medicaid could potentially leave millions without healthcare coverage.
Sen. Ron Wyden, the top Democrat on the Senate Finance Committee, said the GOP proposal would have been as much as a $250 billion cut to the health care program, “massive Medicaid cuts that hurt kids, seniors, Americans with disabilities and working families.”
States impose the taxes as a way to help fund Medicaid, largely by boosting the reimbursements they receive from the federal government. Critics decry the system as a type of “laundering,” but almost every state except Alaska uses it to help provide health care coverage.
The House-passed bill would freeze the provider taxes at current levels, while the Senate proposal goes deeper by reducing the tax that some states are able to impose.
Additionally, the parliamentarian ruling blocks the Senate from prohibiting Medicaid funding for gender-affirming care and limiting coverage for non-citizens.
_____
Editor's note: The Associated Press contributed to this article.
Other Related News
06/26/2025
ALBANY Ga WALB - This approval came from a five-to-one vote with Mayor Bo Dorough voting a...
06/26/2025
THOMASVILLE Ga WALB - A dog in Thomasville who WALB reported was abandoned at a shelter in...
06/26/2025
WALB is working to produce a video for this story In the meantime we encourage you to watc...
06/26/2025
WALB is working to produce a video for this story In the meantime we encourage you to watc...
06/26/2025