Tennessee is charging ahead to become the first state in the nation to ask Trump for Medicaid funding in a lump sum
Tennessee is charging ahead to become the first state in the nation to ask the Trump administration for Medicaid funding in a lump sum — a radical overhaul of the entitlement program that critics warn could force major cutbacks in health coverage for low-income people.
Medicaid for decades has been an open-ended entitlement, without strict limits on how much the federal government pays to states as costs rise. Republicans have long championed Medicaid block grants, arguing that states could better manage their programs if the federal government gave them predetermined funding and significantly greater freedom to set eligibility and benefit rules.
But critics warn that states would receive significantly less federal funding under block grants, leaving states with little option but to slash Medicaid enrollments and benefits. Tennessee’s plan will be fiercely contested by the health care industry and low-income advocacy groups as the state negotiates with the Trump administration. If the administration approves the plan — the review process will likely take months — litigation seems inevitable.
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