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House Republicans nix controversial Medicaid proposal as plan takes shape

  • House Republicans ruled out cutting the federal match rate for Medicaid expansion after a Tuesday meeting with moderate members in Speaker Mike Johnson's office.
  • This decision followed opposition from blue-state GOP centrists and moderates concerned that lowering the 90 percent federal Medical Assistance Percentage would cause millions to lose coverage.
  • One of the remaining changes to Medicaid policy involves introducing work mandates for able-bodied adults in states that have expanded Medicaid, which is necessary to maintain the full federal matching funds, while proposals such as per capita caps and additional spending reductions are being left out.
  • Speaker Johnson indicated that per capita caps are likely being dismissed for now but suggested the situation could change, while Rep. Chip Roy expressed openness to the idea, highlighting ongoing disagreement.
  • The move suggests GOP leadership balances moderate concerns with savings goals but faces internal challenges from conservatives demanding deeper Medicaid reforms before the budget bill markup next week.
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Talking Points Memo broke the news in United States on Tuesday, May 6, 2025.
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