This legislation includes at least $625-$700 billion in Medicaid cuts over the next decade. Most of these cuts are due to new work or community engagement requirements and stricter Medicaid eligibility verification measures. These provisions could result in roughly 7.6 million people losing Medicaid coverage, according to estimates from the Congressional Budget Office (CBO).

Medicaid is a critical program that provides healthcare coverage to over 70 million Americans, including children, individuals with disabilities, and those requiring long-term care services. Medicaid funding also supports behavioral health services and substance use disorder treatment, ensuring access to essential care for vulnerable populations. The program is crucial to ensuring that Americans receive necessary healthcare services, such as occupational therapy, and it supports individuals who may not have other options for health insurance. 

While the bill does not significantly alter how the federal government funds State Medicaid Agencies, the CBO estimates that states will receive at least $100 billion less in federal Medicaid funding over the next 10 years than they would under current policies. Occupational therapy services are classified as an “optional” benefit under Medicaid, except for children ages 0-21, leaving OT services particularly vulnerable if states reduce Medicaid benefits. 

AOTA is extremely concerned by the number of people who may no longer have access to occupational therapy and other healthcare services, if the House passed bill were to be signed into law. If CBO projections are correct, more than 10% of the current Medicaid population could lose access to healthcare through the Medicaid program. We have been working with policy makers, encouraging them to consider other reforms to help reduce fraud, eliminate excessive regulations, and improve patient outcomes, while protecting Medicaid coverage for the vulnerable populations we serve. 

Members of Congress are listening to you, their constituents. Write to them today and ask them to reject across-the-board cuts to the Medicaid program or policies that will reduce payments to providers. Ask them to preserve access to crucial Medicaid services.