Congress Passes Bill Cutting Medicaid Coverage, Affecting Low-Income Families

A sign that reads "One Big Beautiful Bill Act" is seen by a desk after the the House of Representatives passed the US President Donald Trump's tax bill at the US Capitol in Washington, DC, on July 3, 2025. Congress passed the "One Big Beautiful Bill," despite misgivings in his party over a text that would balloon the national debt and launch a historic assault on the social safety net. ALEX WROBLEWSKI/AFP via Getty Images

The Congress just passed a new bill that cuts Medicaid coverage for a lot of families, particularly affecting low-income groups.

The move by lawmakers is expected to result in millions of Americans losing coverage if they are unable to properly complete what many consider cumbersome applications or prove that they are employed.

Congress Passes Bill Cutting Medicaid Coverage

If the new bill meets full congressional approval, parents, guardians, and relatives caring for youth 14 and older who want to qualify for Medicaid will be included in the individuals subject to new reporting requirements.

One section of the bill is titled "Increasing Personal Accountability," and states that these individuals and other non-disabled adults are required to prove they have been working, attending college or a training program, or performing community service for 80 hours a month, until they are 65 years old.

The bill aims to deliver on many of United States President Donald Trump's campaign promises, including legislation he called the "One Big Beautiful Bill." This proposal includes $4.4 trillion in new and extended tax cuts as well as increased spending on immigration crackdown and the military, according to The Imprint.

In order to pay part of the cost, the plan is relying on more than $1 trillion in reductions to health care, food aid, higher education, and renewable energy investments. Many Republican lawmakers described the bill as an overdue crackdown on waste, fraud, and abuse in government.

Particularly, House Speaker Mike Johnson praised the Senate when it voted 51-50 and pledged to work quickly to take their final vote on the measure. The Louisiana lawmaker added that they plan to deliver the package to the president's desk by July 4.

Potential Effects on Low-Income Families

Following the passage of the bill in Congress, many are expressing concern about what effects it could have. One of these is a New Jersey parent, Theresa Luoni, who is a full-time caregiver of her autistic twin sons, CBS News reported.

She said that her two kids both have speech and occupational therapy through Medicaid and significantly rely on them for their healthcare and education. The mother is now worried about what could happen to her family following the nearly $1 trillion cut to the program.

Democratic Minority Leader Hakeem Jeffries echoed these concerns, saying that the bill only hurts regular Americans and gives incentives to billionaires through massive tax breaks. What is more interesting is that Tesla CEO Elon Musk, who was a longtime ally of the president, publicly opposed the bill, saying it would increase spending and debt, as per Aljazeera.

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