In February, Waynesboro City Manager Mike Hamp said that actions by the Trump administration to freeze funding had not impacted the day-to-day operations of the municipality, but today he conceded that is no longer the case.
“Regarding my ‘business as usual’ comment from earlier this year, I would say that the statement no longer applies,” Hamp told AFP. “City staff are having to be more cautious and thoughtful planning for the future, especially regarding projects or initiatives that have historically relied heavily on grant funding.”
Hamp said the city is also monitoring the Medicaid program, which supports services for families, youth and mental health programs and services.
Trump’s ‘Big Beautiful Bill’
Trump’s ‘Big Beautiful Bill’ advanced from a House budget committee late Sunday night. A vote could come to the House floor by the end of the week. The bill as it stands now will cut billions of dollars to Medicaid over the next decade.
More than 70 million Americans are enrolled in Medicaid, the government health insurance program that provides free or low-cost health care to adults and families with limited income or disabilities and to people who are pregnant or in long-term care facilities. One in five people in the U.S. have Medicaid coverage.
“These cuts would cause serious problems not only for states, but also for the people covered by Medicaid and the hospitals and physicians that provide services to those people,” said Gerard Anderson, Ph.D., a professor in the School of Medicine at John Hopkins, on the podcast “Public Health on Call.”
“In order to continue offering the same levels of coverage they have now, states would have to put up a lot more money, which most states don’t have. Otherwise, they have to either cut out a lot of existing enrollees or offer those people a lot fewer services.”
There are multiple plans being discussed, including work requirements, monitoring of eligibility and reducing the federal match for state Medicaid expansion.
“These cuts would have huge ramifications for long-term services and supports. They would decimate the nursing home industry and reduce accessibility of home- and community-based supports, particularly for people with low income and complex health needs,” Anderson said.
What Medicaid cuts could mean to VCSB, DSS
Valley Community Services Board and the Department of Social Services “are particularly vulnerable to cuts in Medicaid,” Hamp said.
He estimated that about half of VCSB’s operating revenues are tied to Medicaid, and more than 70 percent of its clients rely on Medicaid for coverage.
DSS is monitoring the potential Medicaid cuts as well, Hamp said.
Until Waynesboro gets more information on the potential cuts, Hamp said he is not sure what it will mean for the city, businesses and residents.
“Assuming there will be reductions to Medicaid funding, until there is clear and definitive guidance as to how those reductions are accomplished, it is not possible to state with certainty impacts to individuals, families and providers,” he said.
City’s grant awards remain on track
On a positive note, as of now, Hamp said that he doesn’t believe the city has lost any federal funds or grant awards.
The city’s anticipated award for entitlement funds under the Community Development Block Grant program has been reduced in the coming year. However, he said, the city does not believe that reduction is attributable to the initiative to reduce the federal budget or size of the federal government.
Note: AFP has reached out to Augusta Health and Valley Community Services Board for comment on potential Medicaid cuts for a future story.
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Crystal Graham
