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WASHINGTON, DC – Today, Congresswoman Lori Trahan (MA-03), a member of the House Energy and Commerce Committee’s Health Subcommittee, pressed U.S. Health and Human Services Secretary Robert F. Kennedy Jr. during a congressional hearing on how Medicaid cuts proposed by Republicans in Congress and supported by President Donald Trump will cause hospital closures and service cuts.

“People are going to die. These hospitals are going to close. Labor and delivery units are going to disappear. If mental health services are stripped away, that’s the consequence of your policies,” Congresswoman Trahan said. “And you’ve already shown that you don’t have a grip on your department. You don’t know basic things that are on your website or programs that are closing.”

CLICK HERE or the image below to view Trahan’s line of questioning. A transcript is embedded below.

 

According to an analysis issued by the Senate Health, Education, Labor, and Pensions Committee, the Republican reconciliation proposal backed by the Trump Administration will place more than 300 rural hospitals at risk of closure or severe service reductions. Specifically, steep cuts to Medicaid and provisions limiting states’ ability to invest in hospitals that serve predominantly lower-income and Medicaid-covered patient populations will undermine rural and community hospitals that already operate on the thinnest of margins. In Massachusetts, at least one rural hospital – Bay State Franklin Medical Center in Greenfield – will be at immediate risk of closing or cutting services.

Other community hospitals, particularly those operating in Gateway Cities, will also be devastated. According to Third Way, Massachusetts hospitals will lose over $177 million in hospital revenue under the GOP legislation, including $19 million for Massachusetts General Hospital, $19 million for Boston Medical Center, $15 million for UMass Memorial Medical Center, $11.8 million for Brigham and Women’s Hospital, $4.3 million for Lowell General Hospital, $3.4 million for Lawrence General Hospital, and $2 million for Holy Family Hospital.

Republicans’ reconciliation package, crafted behind closed doors with President Trump and voted on in the House just hours after the text was released, would strip health care away from 16 million Americans and cut billions in federal Medicaid and Affordable Care Act funding to states. According to the independent Congressional Budget Office (CBO), the bill will explode the deficit by $3.8 trillion due to its tax provisions that will increase incomes for the wealthiest 10 percent of Americans while decreasing take home pay for the poorest 10 percent. A separate analysis projects 5.4 million people will be forced into medical debt under the legislation, increasing the total medical debt held by Americans by $50 billion.

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Congresswoman Lori Trahan

Remarks as Delivered

House Energy and Commerce Committee Hearing: “The Fiscal Year 2026 Department of Health and Human Services Budget”

June 24, 2025

Trahan: Thank you. Mr. Secretary, during your confirmation, you told Senator Barrasso that rural hospitals are “closing at an extraordinary rate.” You called them economic drivers – lifelines in our communities – and you gave your word to protect them.

Republicans on this Committee also promised they wouldn’t support a bill that led to more closures. Yet here we are. The Republican tax bill slashes Medicaid and the ACA by over a trillion dollars, leaving 16 million more people uninsured and driving up uncompensated care.

At the same time, it guts provider taxes and state-directed payments, the few tools that states have to keep hospitals afloat.

Cutting coverage and cutting payments – well that’s a perfect storm for closures, Mr. Secretary. So yes or no, with Republicans in Congress set to cut more than a trillion dollars and counting from our health care system, will hospitals be forced to cut services or close altogether?

Kennedy: We're not cutting coverage for any American patient.

Trahan: Well, it sounds like you don't want to admit the reality that your department –

Kennedy: I'm happy to explain if you want to give me a chance.

Trahan: Well, that's part of my next question. I want to hear what your funding mechanism looks like, because hospitals across the country have warned that this bill is what they referred to as a “death knell,” even before Republicans in the Senate doubled the cuts in provider taxes and state directed payments, bringing estimates of hospital uncompensated care alone to more than $443 billion.

Hospitals are raising a huge warning flag that the Big Ugly Bill will result in closures and service reductions across the country, in all our communities. I ask unanimous consent to enter into the record several of their statements and analyses.

Mr. Secretary, if you claim the hospitals in our districts that are already operating in the red and serving mostly Medicaid and Medicare patients are going to survive then where exactly is that money going to come from? What is your plan to keep them open and deliver the same level of service?

Kennedy: Well the issue of state directed payments, I think as you understand, is a complicated one because the essential agreement under Medicare is that the states will pay a certain amount and the federal government will pay a certain amount. The states have learned to game that – some states – have learned to game that system so the federal government is paying a hundred percent.

Trahan: If you could just get to the part where when that revenue stream is cut, how are you going to ensure that services aren’t cut and hospitals don’t close? I mean, many times there’s just no alternative on the table for a funding mechanism. So, what’s your plan?

Kennedy: Well, that is a decision ultimately that’s got to come from Congress, so that’s going to be up to you. But what I would say to you is that I would like to work with you on this because it’s a complicated issue. It’s not that simple.

Trahan: I’m happy to work with you on this, Mr. Secretary, but this is going to happen in the next couple of weeks. And if there isn’t a funding mechanism in place – if there isn’t an act of Congress to replace that revenue stream – hospitals are going to close. People are going to die.

When hospitals are pushed to the brink, they cut maternity wards, they cut mental health, they cut emergency rooms. That’s who they cut first. This isn’t hypothetical – it’s already happening. From 2011 to ‘23, dozens of hospitals in states like Iowa and Texas eliminated obstetrics entirely. These are Medicaid-department services, and under Donald Trump’s bill, they’re the first to go.

And it’s not just rural hospitals. We’re seeing it in my district, too. The only maternity ward in North Central Massachusetts shut down last year. Then the collapse of Steward forced two more hospitals to close, including one that served thousands of families. Boston Children’s, one of the best in the country, is also at risk.

Your budget slashes Medicaid, which covers over 40 percent of kids, and eliminates programs that trains most pediatricians. Hospitals are already bracing – they’re pausing projects, they’re canceling expansions, they’re shelving cost-saving investments. The chaos that your budget creates, including decimating NIH, is driving up costs.

Kennedy: We’re not cutting Medicaid. There’s no cuts to Medicaid. There’s simply restrictions to the growth of Medicaid over the next decade.

Trahan: People are going to lose their coverage. Uncompensated care is going to rise. Hospitals are not prepared for that reality. Look, here’s the truth. People are going to die. These hospitals are going to close. Labor and delivery units are going to disappear. If mental health services are stripped away, that’s the consequence of your policies.

And you’ve already shown that you don’t have a grip on your department. You don’t know basic things that are on your website or programs that are closing.

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