States will have the ability to scale back Medicaid spending by converting part of their Medicaid funding into a block grant under a new Trump administration program announced Thursday.
A letter to state Medicaid directors outlines how states can undertake the drastic, controversial change that conservatives have eyed for years.
The move is likely to kick off a furious legal fight. Democrats have been arguing the administration doesn’t have the authority to approve such drastic changes, and Medicaid advocates argue the changes would hurt low-income people and invite states to cut costs and reduce coverage. Continue reading.