Medicare, Medicaid Payments Could Stop if Debt Ceiling Agreement Not Reached

Nearly $306.7 billion in federal payments that should be distributed in August, including Medicare and Medicaid funds, are at risk if leaders fail to reach an agreement to raise the federal debt ceiling before Aug. 2, according to a CNN Money report.

The government would only have the funds to cover 55-60 percent of its scheduled payments during the month, but there is no indication about which payments would be prioritized, according to the report.

Approximately $50 billion in Medicaid and Medicare payments should go out in August, and if a debt agreement is not reached, these funds will almost certainly be at risk.

Read the CNN Money report on the debt ceiling.

Related Articles on the Debt Ceiling:
Cuts to Medicare, Medicaid Loom as Debt Ceiling Limit Nears
Gang of Six Deficit Plan Gains Support; Includes $500B Cut to Medicare, Medicaid and Other Federal Programs
National Governors Association Urges Deficit Negotiation Leaders to Avoid Cost-Shifting to States

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