GOP Budget Bill Would Gut Medicaid, Threaten Hospitals, and Hand Billions to Billionaires, Says Sen. Warren Senator Elizabeth Warren issued a dire warning about the Republican-backed budget bill set to move forward in Congress today, describing it as a “five-alarm fire” that threatens to devastate healthcare access across the United States.
According to Warren, updated estimates show that the latest version of the bill would slash nearly $1 trillion from Medicaid and further cut Medicare—two programs that serve the nation’s most vulnerable populations, including children, seniors, and people with disabilities. The cuts, she emphasized, would lead to the closure of one in four nursing homes and strain hospitals already operating on thin margins.
“These cuts mean seniors will lose care, people with disabilities will lose support, and hospitals—especially in rural America—will shut down,” Warren said. “And all of it is so billionaires like Jeff Bezos and corporations like Meta can get massive tax breaks.”
The bill includes retroactive provisions like expanded R&D expensing that would hand Meta a $15 billion check for expenses dating back to 2022, while the oil and gas industry gets a special exemption from corporate minimum tax rules. Meanwhile, hospitals would face steep funding losses, leading to mass layoffs, service cuts, and higher private insurance premiums.
Republicans, aware of the backlash, have proposed a $15 billion rural hospital fund to offset some closures—but Warren called that a token gesture. “In some states, the cuts alone total over $40 billion,” she said. “This small, one-time fund won’t come close to stopping the bleeding.”
The bill’s structure also raises suspicions of political strategy: most of the deepest cuts are delayed until 2029, likely after a potential second Trump administration ends. “They’re hoping voters won’t feel the pain until after the election—when Democrats could be in office and get blamed,” Warren warned.
Adding to the opposition, Elon Musk tweeted criticism of the bill, calling it “utterly insane and destructive.” He warned it would destroy jobs and threaten U.S. competitiveness by cutting all federal support for clean energy projects not completed by the end of 2025, while expanding subsidies to coal and fossil fuel companies.
Warren agreed, saying the bill would raise household energy bills by hundreds of dollars per year and strip the country of its clean energy future. “At a time when we should be building sustainable infrastructure, Republicans are prioritizing outdated industries and campaign donations,” she said.
The bill also dismantles key tax reforms passed under Democrats, including a 15% corporate minimum tax on billion-dollar companies—except for oil and gas firms, who would receive special carveouts in exchange for key Senate votes.
Warren didn’t mince words about the Republican Party’s motives: “This bill is mean. It’s unkind. It’s economically reckless. And it’s designed to reward the wealthiest Americans at the expense of everyone else.”
Despite expressing “concerns,” some Republicans like Senator Josh Hawley have pledged to vote yes, drawing harsh criticism. “If you want to stop this, vote no,” Warren said. “Don’t give speeches. Don’t hand-wring. Use your power.”
Elon Musk and the Clean Energy Backlash
In an unexpected turn, Elon Musk joined the opposition, tweeting:
“The latest Senate draft bill will destroy millions of jobs in America and cause immense strategic harm to our country. Utterly insane and destructive.”
Musk’s outrage stems from provisions that eliminate tax incentives for wind and solar projects not completed by the end of 2025, while adding new subsidies for coal and fossil fuel companies.
Warren agreed, saying the bill would raise energy costs for families and cripple clean energy growth. “The average family could see utility bills rise by $220 to $450 a year. That’s the cost of this Republican plan to reward fossil fuel giants.”