Proposed cuts to Medicaid in Trump budget would have devastating impact on New Mexico

ALBUQUERQUE, NM — The proposed cuts to Medicaid in the Trump administration’s budget for fiscal year 2019 would prevent hundreds of thousands of New Mexicans from accessing healthcare. The budget, if approved by Congress, would cut Medicaid by $1.4 trillion dollars between 2019-2028; eliminate critical funding for Medicaid expansion, which provides over 250,000 New Mexicans with healthcare coverage; and end subsidies that help individuals and families when buying insurance through the marketplace.

“The drastic cuts to Medicaid would make healthcare unaffordable for millions of Americans and hundreds of thousands of New Mexicans,” said Abuko D. Estrada, attorney for the New Mexico Center on Law and Poverty. “After handing out tax cuts to the richest households, the administration now wants to cut Medicaid by over a trillion dollars in the next decade. This would devastate New Mexico’s budget or force our state to ration healthcare to children, the elderly, people with disabilities, pregnant women, and low-income adults.”

The budget proposes the same cuts to Medicaid as last year’s bills in Congress to repeal the Affordable Care Act. It would cut funding for Medicaid and restructure the program into a per capita cap system. This would give New Mexico a set amount of Medicaid funding to spend per person rather than a federal match for the state’s actual costs. If New Mexico’s Medicaid costs grow faster than the cap amount, the state would be forced to make deep cuts to Medicaid benefits, services, and even eligibility.

A study last year conducted by the UNM Robert Wood Johnson Health Policy Center found that the combined Medicaid cuts could cost New Mexico more than $400 million per year or cause more than 250,000 people to lose coverage.

Action Alert: Act Now Against TrumpCare — Don’t Take Healthcare Away from Millions of Americans!

The U.S. Senate will vote very soon – likely next week – on its version of a bill to repeal the Affordable Care Act. It’s called the Better Care Reconciliation Act but it won’t provide better care at all. The Congressional Budget Office estimates that 22 million Americans will lose coverage if the bill becomes law.

  • Pay More For Less – The bill will make low- and middle- income New Mexicans spend more for less healthcare coverage. It will increase out of pocket costs, while reducing tax credits that help people buy private insurance.
  • New Mexicans Will Lose Healthcare Coverage – Medicaid expansion will be phased out starting in 2021. This will jeopardize healthcare coverage for 260,000 low-income adults in New Mexico.
  • Medicaid Funding Will Be Slashed – The rest of the Medicaid budget will be cut by shifting the program to a per capita cap system – giving New Mexico a set amount to spend per person rather than a federal match for actual state costs for Medicaid. If costs grow faster than the state’s set amount, New Mexico will have to make even deeper cuts to Medicaid services and eligibility for children, people with disabilities, and seniors.
  • Consumer Protections Will Be Gutted – States will be allowed to opt-out of covering “essential health benefits” (doctors, prescriptions, maternity and newborn care, and mental healthcare).
  • Huge Tax Breaks For The Wealthy – The bill will make all of these devastating cuts to healthcare to give tax breaks to the wealthy and big corporations.

What Can You Do? Senators Heinrich and Udall are fighting hard to protect our healthcare. However, you can call 6 key Senators in neighboring states who are considering voting for the bill. Please call them THIS WEEK and tell them to vote NO on the Better Care Reconciliation Act!

Senator Jeff Flake (AZ):  (202) 224-4521

Senator John McCain (AZ): (202) 224-2235

Senator Cory Gardner (CO): (202) 224-5941

Senator Dean Heller (NV): (202) 224-6244

Senator Mike Lee (UT): (202) 224-5444

Senator Ted Cruz (TX): (202) 224-5922