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Officials: California Health Programs Lose Billions of Federal Dollars

State Medicaid budgets will shrink by $665 billion over the next decade with 7.6 million fewer enrollees, as federal funding cuts vary widely by state, RAND Health projects.

  • Last month, RAND Health's analysis shows state Medicaid budgets will be reduced by $665 billion over the next decade after the One Big Beautiful Bill Act cuts federal investment, based on their analysis of state and federal data.
  • Because the law restricts financing options, new federal rules including work requirements reduce enrollment, and limits on provider taxes and state-directed payments force states to use state general funds.
  • Small or rural states including Wyoming and South Dakota may see increases, while North Dakota and Nebraska are likely to see minimal impacts, and Florida may see less than half a percent change.
  • The federal government will save about $714 billion from 2025-2034, with net state budget impacts outside Medicaid totaling $86 billion, and some states could see more than 2% savings.
  • Preethi Rao, a senior economist at RAND, said by 2034, Medicaid will have 7.6 million fewer enrollees, and effects will vary across states, according to the report by Stateline and States Newsroom.
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41 Articles

InsideNoVA.comInsideNoVA.com
+28 Reposted by 28 other sources
Center

Officials: California health programs lose billions of federal dollars

(The Center Square) – Billions of dollars have been cut from California’s public health programs because of federal budget cuts, state health officials told lawmakers on Tuesday afternoon.

Idaho Capital SunIdaho Capital Sun
+8 Reposted by 8 other sources
Lean Left

State Medicaid budgets will decline by $665 billion under new federal law, report finds

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Kansas Reflector broke the news in on Sunday, March 8, 2026.
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