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WA leaders push back as federal health cuts threaten millions
Federal lawmakers in Washington state warned that upcoming spending cuts under H.R. 1 could strip coverage from over 200,000 residents and cause billions in hospital revenue losses.
SEATTLE - As open enrollment begins across Washington state, federal lawmakers and health care officials are warning Tuesday that upcoming cuts to federal health programs could lead to higher insurance premiums, longer emergency room wait times, and reduced medical services statewide.
What's next:
U.S. Sen. Maria Cantwell and U.S. Rep. Kim Schrier will host back-to-back news conferences in King County to detail the anticipated impacts of federal spending reductions under H.R. 1 (the so-called "Big Beautiful Bill") and to outline legislative efforts aimed at curbing rising health costs.
Hospital Revenue Losses and Coverage Disruptions
By the numbers:
Health officials project more than 200,000 Washington residents could lose Medicaid or Medicare coverage due to stricter work requirements, paperwork burdens, and eligibility shifts set to take effect on Jan. 1, 2027.
According to new data from the Washington State Hospital Association and the Washington Association of Community Health, hospitals across the state face an estimated $5.8 billion loss in revenue under the federal cuts. Because emergency rooms and community health centers are legally required to care for all patients regardless of insurance status, state officials warned the uncompensated care burden will ultimately shift costs onto private insurance policyholders.
What they're saying:
"Some of the reason that insurance premiums are rising is actually because of those Medicaid cuts and the tax cuts," Schrier told FOX 13. "When people don't have Medicaid, they get charity care at hospitals. For hospitals to stay afloat, they're going to charge more money, and then in order to keep hospitals open and functioning, premiums are going to go up for the rest of us because our insurance company is paying the hospital more."
Proposals to Cap Insulin and Limit Corporate Integration
To address rising prescription prices, Schrier — a pediatrician living with Type 1 diabetes who serves as Democratic Co-Chair of the Congressional Diabetes Caucus — highlighted her bipartisan INSULIN Act during an appearance at Overlake Medical Center in Bellevue.
The proposed legislation would expand previous efforts that capped out-of-pocket insulin costs at $35 per month for Medicare recipients, extending the $35 monthly cap or 25% of the list price to all Americans with diabetes.
Schrier also called for broader structural reforms within the health care industry to increase competition and prevent corporate consolidation.
What they're saying:
"We can start with taking on vertical integration and making sure the insurance company does not also own the hospital, and the doctors, and the pharmacy, because that's a monopoly and it allows them to gobble up the whole health care system and jack up prices," Schrier said.
Republican Opponent Emphasizes Price Transparency
The announcements come two weeks ahead of the upcoming midterm election.
The other side:
Schrier’s Republican challenger, Spencer Meline, did not immediately respond to requests for comment regarding the lawmakers' claims. According to Meline’s campaign website, his platform advocates for increased price transparency in health care, enhanced competition among private insurers, and health plans that prioritize preventative care.
The Source: Information in this story comes from original reporting by FOX 13 Seattle.
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