{"id":2451808,"date":"2025-06-25T12:16:02","date_gmt":"2025-06-25T16:16:02","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/tax-writers-float-15b-rural-fund-to-appease-medicaid-moderates\/"},"modified":"2025-06-25T12:20:26","modified_gmt":"2025-06-25T16:20:26","slug":"tax-writers-float-15b-rural-fund-to-appease-medicaid-moderates","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/tax-writers-float-15b-rural-fund-to-appease-medicaid-moderates\/","title":{"rendered":"Tax writers float $15B rural fund to appease \u2018Medicaid moderates\u2019"},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">20<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Ftax-writers-float-15b-rural-fund-to-appease-medicaid-moderates%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2451808&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><p>Senate tax writers have proposed a $15 billion rural fund to support hospitals as part of President Trump&#8217;s reconciliation agenda aimed at gaining centrist backing. The fund is designed to allocate $3 billion annually over five years, with half distributed equally across all 50 states and the remainder distributed based on a federal formula.<\/p>\n<p>This proposal emerged as a solution to concerns raised by &#8220;Medicaid moderates,&#8221; who fear hospital closures resulting from a recent mandate lowering the provider tax rate from 6% to 3.5% for Medicaid expansion states. Senate leadership defends this cap as essential for meeting fiscal targets, but some centrist Republicans are advocating for the tax cap to be removed. <\/p>\n<p>The proposed relief fund has been described as insufficient by some lawmakers, highlighting ongoing tensions as the Senate faces a test vote on the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/why-biden-is-threatening-to-veto-aid-to-israel\/\" title=\"Biden&#039;s Veto Threat Puts Israeli Aid at Risk\">larger legislative package<\/a>. some representatives have criticized the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/john-thune-makes-hold-your-nose-pitch-to-megabill-holdouts\/\" title=\"John ... makes hold-your-nose pitch to megabill holdouts\">current provider tax language<\/a> and are pushing for further changes to better address hospital funding needs.  <\/p>\n<p class=\"readmore\">\n    <button onclick=\"showReadMore()\" id=\"readmorebtn\">Read more&#8230;<\/button>\n<\/p>\n<hr id=\"line\">\n<span id=\"more\"><\/p>\n<p><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><?xml encoding=\"utf-8\" ?><\/p>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-header-search-button-mob dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-mobile-search-icon td-icon-search\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><span class=\"tdb-mobile-menu-button\"><i class=\"tdb-mobile-menu-icon td-icon-mobile\"><\/i><\/span><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div class=\"tdb-drop-down-search\" aria-labelledby=\"td-header-search-button\">\n<div class=\"tdb-drop-down-search-inner\">\n<form method=\"get\" class=\"tdb-search-form\" action=\"https:\/\/www.washingtonexaminer.com\/\"><\/form>\n<div class=\"tdb-aj-search\"><\/div>\n<\/div>\n<\/div>\n<p><a href=\"http:\/\/www.washingtonexaminer.com\/#\" role=\"button\" aria-label=\"Search\" class=\"tdb-head-search-btn dropdown-toggle\" data-toggle=\"dropdown\"><i class=\"tdb-search-icon td-icon-search\"><\/i><\/a><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<h1 class=\"tdb-title-text\">Senate tax writers float $15 billion rural fund to appease &lsquo;Medicaid moderates&rsquo;<\/h1>\n<div><\/div>\n<div class=\"tdb-title-line\"><\/div>\n<\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\">\n<div id=\"Brid_2158110\" class=\"tpd-featured-video bridtv\"><\/div>\n<p>Senate <a href=\"https:\/\/www.washingtonexaminer.com\/tag\/senate-finance-committee\/\" target=\"_blank\" rel=\"noopener\" title=\"\">tax writers<\/a> have offered to set aside $15 billion for rural <a href=\"https:\/\/www.washingtonexaminer.com\/tag\/hospitals\/\" target=\"_blank\" rel=\"noopener\" title=\"\">hospitals<\/a> as part of reconciliation, a late addition to President <a href=\"https:\/\/www.washingtonexaminer.com\/tag\/donald-trump\/\" target=\"_blank\" rel=\"noopener\" title=\"\">Donald Trump&rsquo;s<\/a> &ldquo;big, <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/trump-downplays-strategy-fight-after-huddle-with-senate-gop-washington-examiner\/\" title=\"Trump downplays strategy fight after huddle with ... GOP - Washington Examiner\">beautiful bill&#038;rdquo<\/a>; meant to win over centrist support.<\/p>\n<p>The proposed fund would allocate $3 billion a year across five years, according to a memo circulated to Senate GOP offices on Wednesday morning. Half of that amount would get distributed equally to all 50 states, <a href=\"https:\/\/x.com\/PunchbowlNews\/status\/1937882274055225419\" target=\"_blank\" rel=\"noopener\" title=\"\">according to<\/a> <em>Punchbowl News<\/em>, with the rest doled out based on a formula established by the federal government.<\/p>\n<div class=\"recommended-stories\">\n<h2>Recommended Stories<\/h2>\n<ul>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/3453363\/watch-live-jerome-powell-testifies-to-senate-after-dismissing-july-rate-cut\/\">WATCH LIVE: Jerome Powell testifies to Senate after dismissing July rate cut<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/senate\/3453316\/watch-live-pam-bondi-senate-hearing-doj-budget\/\">WATCH LIVE: Pam Bondi testifies to Senate on DOJ budget<\/a><\/li>\n<li><a href=\"https:\/\/www.washingtonexaminer.com\/news\/senate\/3453115\/democrats-push-ahead-war-powers-vote-fragile-ceasefire\/\">Democrats push ahead with <a href=\"https:\/\/amzn.to\/3YuVZYV\" >war powers vote amid fragile ceasefire<\/a><\/a><\/li>\n<\/ul>\n<\/div>\n<div class=\"article-paywall\">\n<p>A Senate Finance Committee source declined to share the memo but confirmed its contents.<\/p>\n<p>The idea of a stabilization fund has been floated since last week, when the Finance Committee announced it would force Medicaid expansion states to cut their provider tax to 3.5%, down from 6%.<\/p>\n<p>Senate leadership argues the cap is necessary to meet the spending cut targets demanded by fiscal hawks as part of Trump&rsquo;s tax agenda, but it has prompted vocal concerns among a bloc of &ldquo;Medicaid moderates&rdquo; warning of hospital closures stemming from the provision.&nbsp;<\/p>\n<p>The fund is unlikely to satisfy those concerns, with centrist Republicans lobbying Senate Majority Leader John Thune (R-SD) to erase the cap on the provider tax, which states use to pay for their share of Medicaid expenses. Instead, Sen. Josh Hawley (R-MO) and others want the Senate bill to follow the House&rsquo;s more modest freeze.<\/p>\n<p>The memo represents an attempt to <a href=\"https:\/\/www.washingtonexaminer.com\/news\/senate\/3453090\/john-thune-pitch-senate-reconciliation-holdouts\/\" target=\"_blank\" rel=\"noopener\" title=\"\">bring holdouts on board<\/a> ahead of a test vote on the megabill later this week. On Tuesday, Thune urged his conference to set aside their misgivings with so much of Trump&rsquo;s agenda wrapped up in the legislation.<\/p>\n<p>Thune&rsquo;s plea was met with warnings from Sen. Thom Tillis (R-NC), who is up for reelection in 2026, that the provider tax is &ldquo;unworkable&rdquo; in his home state, going so far as to compare it to the botched Obamacare rollout that haunted Democrats at the ballot box.<\/p>\n<p>He told reporters the relief fund helps &ldquo;a bit&rdquo; with the hospitals, but has been sharing a fact sheet estimating that the effect on North Carolina could be billions of dollars. He and other GOP holdouts are pushing for a larger fund, while complaints over the provider tax have expanded to the House.<\/p>\n<p>On Tuesday, Thune told the <em>Washington Examiner<\/em> he was comfortable with the current provider tax language despite 16 House centrists penning a letter to lobby for the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/pro-trump-pac-kickstarts-100-million-fundraiser-for-ai-campaign-targeting-washington-examiner\/\" title=\"Pro-Trump PAC kickstarts 0 million ...raiser for AI campaign targeting - Washington Examiner\">lower chamber&#038;rsquo<\/a>;s freeze.<\/p>\n<p><a href=\"https:\/\/www.washingtonexaminer.com\/news\/senate\/3453090\/john-thune-pitch-senate-reconciliation-holdouts\/\" target=\"_blank\" rel=\"noopener\" title=\"\"><strong>THUNE MAKES HOLD-YOUR-NOSE PITCH TO &lsquo;BIG, BEAUTIFUL BILL&rsquo; HOLDOUTS<\/strong><\/a><\/p>\n<p>&ldquo;We like where we are,&rdquo; Thune said. &ldquo;I think we&rsquo;re in a good spot.&rdquo;<\/p>\n<p>One centrist House Republican simply told the&nbsp;<em>Washington Examiner<\/em>, &ldquo;Nope,&rdquo; when asked if the Senate&rsquo;s proposal would be able to pass in the lower chamber.<\/p>\n<p><em>Hailey Bullis contributed to this report.<\/em><\/p>\n<\/div>\n<p> <script data-cfasync=\"false\" src=\"http:\/\/www.washingtonexaminer.com\/cdn-cgi\/scripts\/5c5dd728\/cloudflare-static\/email-decode.min.js\"><\/script><script>!function(){var g=window;g.googletag=g.googletag||{},g.googletag.cmd=g.googletag.cmd||[],g.googletag.cmd.push(function(){g.googletag.pubads().setTargeting(\"has-featured-video\",\"true\")})}();<\/script><script>var _bp=_bp||[];_bp.push({\"div\":\"Brid_2158110\",\"obj\":{\"id\":\"27789\",\"width\":\"1280\",\"height\":\"720\",\"stickyDirection\":\"below\",\"video\":\"2158110\"}});<\/script><script defer src=\"https:\/\/services.brid.tv\/player\/build\/brid.min.js\"><\/script><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<div class=\"tdb-block-inner td-fix-index\"><\/div>\n<p><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Senate tax writers propose $15 billion rural fund for hospitals<\/p>\n","protected":false},"author":2651,"featured_media":2451809,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2025\/06\/AP25168726293718-1024x591.webp","fifu_image_alt":"","footnotes":""},"categories":[],"tags":[4762,11975,57884,8360],"class_list":["post-2451808","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","tag-legislation","tag-medicaid","tag-rural-fund","tag-tax"],"fifu_image_url":"https:\/\/www.washingtonexaminer.com\/wp-content\/uploads\/2025\/06\/AP25168726293718-1024x591.webp","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2451808","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/2651"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2451808"}],"version-history":[{"count":3,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2451808\/revisions"}],"predecessor-version":[{"id":2451812,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2451808\/revisions\/2451812"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2451809"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2451808"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2451808"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2451808"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}