The finalized budget bill from Congressional Republicans proposes a $1 trillion cut to Medicaid, severely impacting Alameda Health System, where 70-80% of funding comes from Medicaid. A preliminary analysis predicts a $100 million annual budget deficit for AHS by 2030, risking care for poor patients. Additionally, Medicaid beneficiaries aged 19-64 must prove work or study status biannually to retain coverage, potentially affecting over two million Californians. AHS serves primarily Medicaid recipients, highlighting the adverse effects of these budget cuts on vulnerable populations.
AHS expects to be disproportionately impacted by Medicaid cuts as 70-80% of its funding comes from federal and state healthcare reimbursements. AHS estimates a $100 million annual budget deficit when the full extent of cuts is implemented by 2030.
The HR1 budget bill offsets tax cuts by slashing spending on social services such as Medicaid and food stamps. Medicaid applicants between the ages of 19-64 will also have to prove they are working, studying, or fall into another exception every six months.
Across California, between 2.3 million and 3.5 million Californians are at risk of losing coverage, or between 19% to 29% of Medi-Cal enrollees, according to the Center for Budget and Policy Priorities.
About 80% of AHS's patients are Medicaid recipients. Loretta Medellin is a former school teacher who was forced to take permanent disability after a blister became infected and consumed her leg.
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