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

By: Anna Claire Vollers

Outlets: Stateline

Published: March 4, 2026

Words: 528

Last Updated: 4 days, 15 hours ago

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State Medicaid budgets will be reduced by a total of $665 billion over the next decade, after President Donald Trump’s One Big Beautiful Bill Act cuts federal investment in the health insurance program, according to a new analysis.

Researchers from RAND Health, a policy and research nonprofit, analyzed state and federal data to estimate how much the loss of federal money will affect state Medicaid budgets, publishing their findings late last month. Medicaid is …

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