Washington faces billions in Medicaid cuts under spending bill

Gov. Bob Ferguson announced that the recent federal spending bill will lead to significant losses in health care coverage for Washingtonians, with at least 250,000 expected to lose Medicaid benefits. The Congressional Budget Office projects a nationwide cut of $930 billion in Medicaid funding over the next decade. Ferguson's estimates also indicate that 150,000 individuals will find it unaffordable to secure plans on the state insurance exchange due to the elimination of federal subsidies. The cuts threaten to close hospitals across Washington, impacting both urban and rural communities.

White House spokesperson Kush Desai labeled the legislation a historic effort to eliminate waste in the Medicaid program, while supporters like U. S. Rep. Michael Baumgartner praised it for curbing excessive spending. The new Medicaid work requirements will begin in 2027, but other provisions, including the expiration of health care premium subsidies, will take effect in January.

Ferguson plans to allocate $11 million in state funds to compensate for the loss of Medicaid dollars for Planned Parenthood in Washington. The financial implications of these cuts could drastically affect the state's health care landscape.