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Healthcare activists warn Medicaid cuts will hurt all Pennsylvanians, raise risk of hospital closures in region

The U.S. Capitol in Washington D.C.
WVIA file photo
The U.S. Capitol in Washington D.C.

Medicaid cuts would threaten thousands of Pennsylvanians’ access to healthcare and put hospitals in the region at risk of closure, activists argued during a virtual town hall meeting this week.

Robin Stelly, a statewide organizer for PA Health Access Network, said Medicaid cuts expected under a budget bill pending before Congress could end insurance coverage for more than 185,000 Pennsylvanians on Pennie, the state’s Affordable Care Act marketplace.

Over 300,000 adults between 18 to 65 years old also could lose their Medicaid coverage, Stelly said during a Monday conference call hosted by the American Cancer Society Cancer Action Network (ACSCAN).

“That's about one in four people in that age group statewide,” Stelly said. “The cuts would lead to an estimated [loss of] $606 million per year … in uncompensated care for hospitals. That's over half-a-billion dollars that hospitals and providers will have to absorb without reimbursement.”

In Pennsylvania’s 8th Congressional District, hospitals would need to find an additional $40 million per year to keep their doors open.

Hospitals that are “already on unstable financial ground,” such as Moses Taylor in Scranton and Wilkes-Barre General Hospital are especially at risk of closure from these cuts, Stelly said.

“If even one of them closes, that will overwhelm the remaining providers and lead to dangerously longer wait times, reduced access to care and worse outcomes,” she said.

Monday’s other speakers were The Wright Center’s Dr. Linda Thomas-Hemak, PA Council of Churches’ Rev. Sandra Strauss and ACSCAN’s Elizabeth Darnall.

They also argue that a proposed work requirement for people receiving Medicaid would put undue pressure on the sick.

U.S. House Republicans to vote on the future of Medicaid

More than 3.1 million Pennsylvanians are covered by Medicaid, according to KFF. That’s roughly 21% of the state’s population.

Medicaid helps cover costs for people with limited income. Advocates say it’s essential to rural Pennsylvania, where access to medical care is stretched thin by insufficient staffing, long distances and strained resources. Each state runs its own program and it’s jointly federal and state funded.

Lawmakers in the U.S. House of Representatives are expected to vote on a massive 1,116-page act this week that would slash Medicaid spending, cut taxes for individuals and businesses and bolster border security.

President Trump’s “big, beautiful bill” calls for at least $880 billion in cuts mostly to Medicaid to finance the cost of $4.5 trillion in tax breaks. An estimate from the nonpartisan Congressional Budget Office said Medicaid cuts would cut 8.6 million people off of health care over the decade.

The bill would institute requirements for “able-bodied adults” to work 80 hours a month.

House Republicans are largely divided over the bill — fiscal conservatives say the cuts are too lenient, while several Republicans argue work requirements would hurt their constituents.

All of Pennsylvania’s Republican congressmen in February voted for an earlier House budget resolution that Democrats said threatened Medicaid and other benefits meant for low-income people. Among them was U.S. Rep. Rob Bresnahan from Luzerne County, whose district includes Scranton and Wilkes-Barre hospitals.

Bresnahan said in a statement before the February vote, “If a bill is put in front of me that guts the benefits my neighbors rely on, I will not vote for it.”

He later defended his vote, posting on Facebook, “Tonight's vote was just a procedural step to start federal budget negotiations and does NOT change any current laws. I will fight to protect working-class families in Northeastern Pennsylvania and stand with President Trump in opposing gutting Medicaid. My position on this has not and will not change.”

Cuts pose “generational” impact

Stelly said on Monday night that Pennsylvania will need to find alternative funds to keep hospitals open if Medicaid is reduced.

“Pennsylvania faces a grim set of options,” she said. "It can raise taxes, it can slash funding for roads, bridges and schools or make even deeper cuts to Medicaid services. That means reducing payments to providers, cutting vital waiver programs and adding wait lists for everything, including nursing home beds.”

Thomas-Hemak added health centers around the state will close without reimbursements from Medicaid, which would disproportionately hurt rural areas. She also warned that people who aren’t on Medicaid may become dependent at any time from unexpected illnesses or accidents.

“In a crisis … you want a solid system that can help you,” Thomas-Hemak said.

She also argued the bill would have a multi-generational impact on Pennsylvanians who rely on Medicaid. She spoke about families she’s treated. Fewer people will be able to afford to visit their primary care provider for check-ups, so illnesses that could have been caught and treated through early detection will go unnoticed.

“There are going to be several members of those fourth-generation families that die of an undiagnosed breast cancer, die of an undiagnosed colorectal cancer … and by the time they come into the system, the level of resources that they're going to need to manage that undiagnosed cancer is going to be far greater than the money saved,” said Thomas-Hemak.

Isabela Weiss is a storyteller turned reporter from Athens, GA. She is WVIA News's Rural Government Reporter and a Report for America corps member. Weiss lives in Wilkes-Barre with her fabulous cats, Boo and Lorelai.

You can email Isabella at isabelaweiss@wvia.org
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