We appear to be heading toward a Republican-generated health care crisis cliff in the U.S. that neither the media nor the Democrats are talking about, for some reason. So, we do on today’s BradCast. [Audio link to today’s show follows this summary.]
You may be familiar with the more than one trillion dollars in cuts to Medicaid that Republicans have now enacted in Donald Trump‘s so-called “One Big Beautiful Bill Act” (OBBBA). That provision will take health care away from at least 10 million people beginning at the end of next year, according to recent analyses, but will also gut health care services and shut down rural hospitals almost immediately. “We are already seeing them cut staff, cut services, and even shut down because of these Medicaid cuts, even though many of those Medicaid cuts aren’t in place right now,” my guest explains today.
But, it’s not just Medicaid. It’s also MediCARE. Due to the OBBBA increasing the national debt by almost $3.5 trillion dollars (in order to help fund $4 trillion in tax cuts mostly to the wealthy), a 2010 law called “Pay As You Go” will automatically kick in on October 1, the start of the 2026 fiscal year, that will cut $500 billion from Medicare over the next ten years, beginning with a $50 billion cut next year alone. Unless, that is, Congress passes a law to waive the PAYGO law and passes it quickly. Hold that thought.
It’s not just Medicaid and Medicare. It’s also the Affordable Care Act (or Obamacare). Because Republicans have failed to extend federal tax credits adopted by Joe Biden and the Democrats, which help lower monthly premiums and other costs, ACA enrollees across the country are about to see their out-of-pocket costs go up as much as 75% at the end of this year. Again, unless Congress passes a law to extend those subsidies.
In all — without quick action from Republicans in Congress when they return in September — we are about to see what could be an unprecedented health care coverage crisis in this country.
We’re joined today by DAVID DAYEN, longtime financial journalist, author, and Executive Editor at The American Prospect. He has been flagging these issues for some time — (here he is on the impending Medicare crisis; here he is last week on ACA) — but it seems few in the media, or even the Democratic Party, are listening yet. They better start doing so, and soon. If nothing else, because Republicans need to be held accountable for this coming crisis.
He, like me, says he has yet to hear a peep about all of this out of D.C., where Congress is currently on summer vacation and otherwise consumed with Trump’s continue Jeffrey Epstein scandal. But everyone seems certain to notice shortly, especially when some 30 million Americans using the ACA exchanges begin getting notices about premium increases in a month or so.
On the coming half trillion dollars in Medicare cuts, they are going into effect beginning in October if Congress doesn’t act. “The interesting thing here is what Democrats are going to do about that,” observes Dayen. “Because if you’re going to get those Medicare cuts averted, you’re probably going to need the support of [Republicans] to do that. So the question then becomes: are Democrats going to let Republicans lie in the bed that they made? Or are they going to act to protect seniors and avert the consequences of what Republicans put forward in this ‘Big Beautiful Bill’?”
“Democrats will hold the key — you need 60 votes to do it [in the Senate] — so Democrats will hold the key to being able to waive those cuts. So what are Democrats going to say? ‘Ok, you want to waive those cuts? What are you going to give me for that? Are you going to repeal some of the Medicaid cuts? Some of the food stamp cuts? What are you going to do in order for me to agree to help you out, to get you out of the mess, Republicans, that you have created with this bill?'”
He argues Dems should “exact a price for that,” noting, “there are very few moments where they have had leverage in this Congress, and this would be one of them.”
Unless action is taken on all of these front, Dayen asserts, he believes it “is going to cause a catastrophic situation for the health care system in general.”
Much more on today’s show. And, on the back half of today’s program…
- Some good news from a U.S. District Court judge in Boston who has blocked the OBBBA’s “unconstitutional” ban on Medicaid funding for patients who use Planned Parenthood health care facilities.
- Some surprisingly good news from SCOTUS (of all places!), which has, for now, blocked a lower court ruling that imagined up a reason for blocking private individuals and voting rights organizations from filing lawsuits under Section 2 of the Voting Rights Act.
- And we open the phone to a few callers to round out the day…
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