Santa Clara County braces for over $1 billion in lost federal revenues following the implementation of a significant bill signed by President Trump. This legislation introduces sweeping tax cuts and unprecedented reductions to vital safety net programs, particularly Medicaid, which is projected to face $1 trillion in cuts over the next decade. As a result, many Californians might lose health insurance. In Santa Clara County, where a significant portion of residents rely on Medi-Cal, the implications could strain the local healthcare systems and increase costs due to more reliance on emergency services.
Santa Clara County officials fear that the sweeping tax breaks and largest cuts in history to food assistance and public health programs will tear the social safety net.
County Executive James Williams stated that the passage of House Resolution 1 creates an unprecedented fiscal situation for the county, with over $1 billion in lost federal revenues.
Medi-Cal, California's Medicaid program, is facing cutbacks totaling about $1 trillion over the next decade, with new work requirements leading to potential loss of insurance for millions.
Paul Lorenz, CEO of Santa Clara Valley Healthcare, emphasized that reduced federal revenues impact not only individuals reliant on Medicaid but lead to increased costs and delays in emergency care.
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