Republicans DRAW LINE – No Cuts!

New York Representative Nicole Malliotakis draws a firm line against proposed Medicaid cuts, fighting to preserve critical coverage for millions of vulnerable Americans.

At a Glance

• Rep. Malliotakis and eleven House Republicans sent a letter opposing Medicaid cuts that would reduce coverage for vulnerable populations
• The lawmakers declared protection of the 50% federal reimbursement rate for states like New York as a “red line” issue
• Malliotakis supports work requirements for able-bodied recipients and fraud prevention measures that could save $50 billion annually
• The group warns that Medicaid cuts could threaten hospital viability, especially in rural and underserved areas
• The coalition has reportedly received commitment from House leadership that these Medicaid protections will remain intact

Republican Coalition Forms to Protect Medicaid

A dozen House Republicans, including New York Representative Nicole Malliotakis, have taken a stand against potential cuts to Medicaid funding. In a formal letter, the lawmakers emphasized their commitment to vulnerable Americans who depend on the program. The group made their position abundantly clear, stating they “will not support a final reconciliation bill that includes any reduction in Medicaid coverage for vulnerable populations.”
The coalition includes Representatives David Valadao, Don Bacon, Jeff Van Drew, Rob Bresnahan Jr., Juan Ciscomani, Jen Kiggans, Young Kim, Robert Wittman, Nicole Malliotakis, Nick LaLota, Andrew Garbarino, and Jeff Hurd. Their united front demonstrates growing concern about healthcare access, particularly in states with significant Medicaid populations.

“will not support a final reconciliation bill that includes any reduction in Medicaid coverage for vulnerable populations.” – House Republicans.

New York (R) Rep. Nicole Malliotakis says that as Congress works on sweeping tax cuts, she and other Republicans are standing firm against any significant cuts to the Medicaid program.

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Hospital Viability at Stake

The lawmakers highlighted the critical role Medicaid plays in sustaining healthcare facilities across the country. In their communication, they noted that many healthcare institutions, especially in rural and underserved communities, depend heavily on Medicaid funding. Some facilities receive more than half their revenue from this single program, making any funding reductions potentially devastating to their continued operation.
According to the lawmakers, hospital closures resulting from Medicaid cuts would negatively affect all constituents, not just Medicaid recipients. This broader impact on community health resources has strengthened their resolve to protect the program’s funding.

“Many hospitals — particularly in rural and underserved areas — rely heavily on Medicaid funding, with some receiving over half their revenue from the program alone.” – House Republicans.

Malliotakis Draws Red Lines

Representative Malliotakis has been particularly vocal about protecting New York’s 50% federal Medicaid reimbursement rate. She characterized any attempt to lower this rate as a “red line” that she and her colleagues refuse to cross. The congresswoman has been consistent in her message to House leadership and the administration about her stance on preserving Medicaid protections for eligible beneficiaries.
While firmly opposing cuts, Malliotakis has also outlined a balanced approach to Medicaid reform. She supports implementing work requirements for able-bodied recipients, which she believes would transition them to private insurance while reducing government spending. She has also emphasized addressing fraud within the system.

“With the Medicaid piece, we’ve made it very clear to the speaker, to the chairman of this committee, as well as to the president of the United States, that there is a group of us that will not support any package that would diminish, meaning taking individuals who are legally eligible for Medicaid off the rolls. If they are eligible, they need to be able to keep their eligibility. Now, aside from that — specifically, we’re talking about our senior citizens, our people with disabilities, children with developmental disabilities, pregnant women. These are people that we are really laser-focused on. Yes, we can implement work requirements on people that are able-bodied. They should be contributing in this economy and working, that would remove them off of Medicaid and put them on, most likely, private insurance, saving the government money, as well. And, of course, the fraud, getting rid of it, which accounts for roughly $50 billion a year in Medicaid alone. That’s $500 billion over ten years. So, when you’re looking for a savings of roughly $880 billion over ten years, that’s a big chunk of it right there that we’re going to save. And so, we’ve just made very clear that, in terms of reimbursement rates for our states, New York, for example, 50% federal reimbursement, we will not allow that to be lowered. So, that was one thing that we pushed back on, as well as per capita caps on traditional Medicaid, that’s something that we’ve also said is a red line for us. And we’ve received positive feedback from the speaker and a commitment that they’re not going to touch those things.” – Nicole Malliotakis.

Focus on Fraud and Sensible Reforms

According to Malliotakis, Medicaid fraud costs taxpayers approximately $50 billion annually, or $500 billion over a decade. She points to addressing this waste as a primary means of achieving necessary savings without reducing coverage for eligible recipients. These fraud prevention measures could contribute significantly toward the reported goal of $880 billion in savings over ten years.
Malliotakis has expressed optimism about the response to these concerns from House leadership. She reported receiving “positive feedback from the speaker and a commitment that they’re not going to touch” the reimbursement rates and per capita caps that her coalition identified as critical protections. This suggests the Republicans have found common ground on maintaining Medicaid’s core functionality while seeking reforms in other areas.

Rep. Nicole Malliotakis (R-NY) on the current state of the economy.

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