WATCH: State Treasurers Condemn Republicans’ Plans to Gut Medicaid, Life-Saving Programs in U.S. Capitol

Republicans’ CR gives Trump and Musk more power over spending, and could open door for future Medicaid cuts in exchange for a tax break for billionaires

State Treasurer Michael W. Frerichs (D-Ill.): “What this is is the federal government passing down costs to the states and ultimately to consumers. They’re going to pay more [and] they’re going to get worse quality health care.”

State Treasurer Mike Pieciak (D-Vt.): Republicans are doing this so they “can provide more money to billionaires and millionaires.”

Earlier today, after House Republicans released their so-called “continuing resolution,” State Treasurers Michael W. Frerichs (D-Ill.), Laura M. Montoya (D-N.M.), Mike Pellicciotti (D-Wash.), Mike Pieciak (D-Vt.), and Erick Russell (D-Conn.), in partnership with Americans for Responsible Growth, held a press conference at the U.S. Capitol to call out the proposed legislation. If Republicans have their way, they’ll pass a bill to fund the government that would give Donald Trump and Elon Musk even more power over federal spending. 

This latest bill could open the door for future cuts to Medicaid and other critical programs that help American families, children, and seniors thrive, in exchange for giving billionaires like Musk another huge tax break. Just last month, House Republicans passed a budget blueprint that called for almost $900 billion in drastic spending cuts, which the nonpartisan Congressional Budget Office confirmed is impossible to achieve without severe cuts to Medicare and Medicaid. Speakers implored Republicans in both chambers to commit to protecting these vital programs and all the Americans they serve.

Here’s what they had to say about how slashing programs like Medicaid and Medicare would leave their states holding the bag, put a massive strain on their budgets, and risk the health and safety of our country’s most vulnerable communities:

State Treasurer Michael W. Frerichs (D-Ill.):

• “Access to health care will be decreased as a result of these cuts, and the public ought to know this before these cuts are allowed to take place. In many smaller areas and rural areas in our state, the hospitals are the largest employer in the area. This is going to have an economic consequence. Some of these people ran for office saying they want to increase economic activity, lower prices. What they’re going to be doing is increasing prices that people are going to have to pay and decreasing opportunities. We as treasurers care very much about economic activity in our states. We look very closely at budgets, and what this is is the federal government passing down costs to the states and ultimately to consumers. They’re going to pay more. They’re going to get worse quality health care, and someone needs to ring the alarm bell.”

State Treasurer Laura M. Montoya (D-N.M.):

• “To put it into perspective, New Mexico has more Medicaid recipients than anyone else in the United States. We have approximately 33% of our state’s population relying on Medicaid or CHIP, also known as Children’s Health Insurance Program, to cover their health care. When the federal government slashes funding, hospitals, doctors’ offices, clinics that depend on these funds will be forced to either raise premiums and co-pays for patients or shut down. This is even worse in our rural communities. Small businesses that provide health insurance for their employees will also be forced to pay more for their employee benefits, if they can continue to provide health insurance at all. It’s exhausting to hear Congress talk out of both sides of their mouth. On one end, they’re saying that they care about veterans, they care about small business, they care about kids, they care about families, but all of their actions are showing everything but that in doing these types of cuts.”

State Treasurer Mike Pellicciotti (D-Wash.):

• “Every day it’s getting harder and harder for working families to get by. Congress, instead of responding to the cost of living issues that are facing the people of the country, [is] talking about increasing the cost of health care, removing health care, adding additional anxieties and stress to the everyday Washingtonian and everyday American who’s just trying to survive every day, and the idea of impacting Medicaid and reducing Medicaid exposure and opportunities for health care for folks throughout our country is going in the wrong direction. It’s making it that much harder for folks, and the number one indicator of health care negative outcomes today is economic stress. So folks are facing more and more economic stress today because of tariffs and other policies coming from the administration, and then turning around and now having to face the fact they don’t even get the health care services that they need. In Washington State, nearly half of Washingtonians receive Medicaid services. In rural communities, it’s two out of three, and in several of our 39 counties, in our rural counties in our state, it’s three out of four. This is incredibly impactful.”

State Treasurer Mike Pieciak (D-Vt.):

• “Vermont, one of the states that voted most overwhelmingly for Kamala Harris, and West Virginia, one of the states that voted most overwhelmingly for Donald Trump, both significantly rely on Medicaid. 22% of Vermonters are on Medicaid. 28% of people from West Virginia are on Medicaid. This is an issue that cuts across blue state and red states. It impacts everybody, again, at their kitchen table. And again when you think about why, why are we doing this? As my colleague, Treasurer Russell, said, it’s not because we’re fighting a World War, it’s not because we’re battling back against a pandemic, it’s not because we’re in a 2008 recession. It’s so that we can provide more money to billionaires and millionaires. So the why on this is really confusing, and the last point to think about is Vermonters, Americans have paid into these systems, paid into Medicaid, paid into Medicare, paid into Social Security. We have paid in our taxes, and we expect to receive services back as a result. This program would take that money, and instead of paying it back in services to Vermonters and to Americans, would put it into the pockets of billionaires.”

State Treasurer Erick Russell (D-Conn.):

• “We have a president that ran on bringing costs down, lowering inflation, making food more affordable, bringing down grocery prices. The policy that’s been reflected to this point has been the exact opposite, and that’s what we are seeing furthered in this budget. We think about inflation, it’s the trifecta of inflation, from a policy perspective. We’re looking at tariffs, including tariffs that have been waged against some of our closest allies that are sure to increase energy and electricity costs for families in our communities, that are going to drive up the cost of food. Mass deportation policy that is going to impact our labor market, making it more costly for businesses in our states and in our communities. And what is sure to be a growing deficit, as we’ve seen, this budget as proposed is not balanced, and it’s not going to continue to move forward priorities for working families.”

For the video and audio recording of the entire press conference, click here.

To book an interview with Americans for Responsible Growth Executive Director Dave Wallack or connect with the press teams for a state treasurer or auditor who joined today’s press conference, please email Ryan Thomas at press@focalpointstrategygroup.com.