Congress Eyes Deep Medicaid Cuts for D.C. Healthcare

Congress is considering a House Republican proposal to reduce Washington, D.C.'s Federal Medical Assistance Percentage (FMAP) from 70% to 50%, aiming to meet broader federal budget goals. D.C. officials and health leaders warn this would result in a loss of over $2 billion in Medicaid funding, potentially leading to hospital closures, service cuts, and longer wait times. The proposed cuts would impact more than 264,000 D.C. residents who rely on Medicaid, including many children and nursing home residents, and could destabilize healthcare for patients from neighboring states, federal employees, Congress members, and visitors. The higher FMAP rate was established in 1997 to address D.C.'s unique revenue limitations. Lawmakers from D.C., Maryland, and Virginia have voiced bipartisan opposition, emphasizing the regional risks. Health administrators call this the most severe threat to children's healthcare in decades.