GOP lawmakers revisit Medicaid reform in new budget bill talks

Republicans on the House Budget Committee are gearing up for discussions on a second major bill that could bring further reforms to Medicaid, according to sources familiar with the matter. The committee is expected to hold closed-door talks in the coming days as lawmakers return from the August recess.

The discussions are said to include revisiting and modifying measures that were not included in the Senate’s final version of the bill. Rep. Ralph Norman of South Carolina mentioned that the focus would be on “Medicaid reform,” similar to what was debated before.

House Budget Committee Chair Jodey Arrington from Texas confirmed that the groundwork for a second reconciliation package is underway. He emphasized the need for continuous efforts to address the national debt, which has surpassed $36 trillion. Arrington mentioned ongoing talks with other House panels to determine the content of the new bill.

When it comes to Medicaid, Arrington expressed support for proposals that would block federal funding for transgender medical procedures and prevent funds from going to illegal immigrants. He believes these are issues that resonate with a majority of Americans.

While more contentious ideas like altering the federal-state cost-sharing ratio for Medicaid may not be central to the new bill, Arrington emphasized the importance of addressing waste, fraud, and abuse in the program. Any final decisions related to Medicaid policy would have to go through the House Energy & Commerce Committee.

The first reconciliation bill, signed into law on July 4, included tax cuts, increased immigration enforcement, and work requirements for federal benefits. President Donald Trump hailed it as his “one big, beautiful bill,” but the White House has not actively pushed for a second bill.

Democrats have criticized Republican proposals for Medicaid, accusing them of cutting benefits for millions to fund tax breaks for the wealthy. The path forward for a second reconciliation bill remains unclear, with skepticism about whether both chambers have the appetite for another lengthy negotiation process.

Budget reconciliation allows the majority party to pass significant legislation with a simple majority vote, bypassing the usual 60-vote threshold in the Senate. It can only be used three times in a single congressional term.

Overall, the discussions on a second Republican megabill signal ongoing efforts to address key issues like Medicaid reform and national debt. The path forward will likely involve further negotiations and debates within the House and Senate.