‘Big Beautiful Bill’ could spell disaster

Local officials worry the federal government’s work to slash spending and reign in deficits could do more harm than good — particularly when it comes to healthcare in smaller, rural communities.

In late June, LifeWays Community Mental Health CEO Maribeth Leonard announced spending cuts, as forecasted federal and state funding dips promised to hinder revenue streams for the foreseeable future.

Hillsdale Hospital is echoing concerns about President Donald Trump’s “Big Beautiful Bill,” which was expected to pass the U.S. House of Representatives during a second vote July 3.

The bill aims to cut $930 billion from Medicaid by adding work requirements that could result in 4.8 million people losing health insurance, according to estimates from the Congressional Budget Office. The bill also implements a reduction on allowable provider tax rates from 6% to 3.5%.

“Without the current reimbursement rates provided by Medicaid under the provider tax, rural hospitals will not be able to serve the most vulnerable populations in our country,” said Jeremiah J. Hodshire, president and CEO of Hillsdale Hospital.

“Our mothers and infants, our patients needing behavioral healthcare, our full-time workers at family-owned businesses that can’t afford commercial health insurance — these are the families and individuals living in rural areas that Medicaid was designed for, and now, they’ll be the first to lose access to vital healthcare services.”

Hodshire is urging Hillsdale County residents to contact their legislators to voice their opinion on the “Big Beautiful Bill.” If enacted into law, he said, the bill could force the closure of rural hospital birthing centers or even entire hospital systems.

During the first round of voting in the House on May 22, Congressman Tim Walberg voted in support of the bill.

“Over the past few months, we have been working to deliver on the promises made to the American people and prevent the largest tax increase in American history,” Walberg said at the time. “The (bill) will prevent the average taxpayer in Michigan’s 5th District from seeing a 27% tax hike, make significant investments in our communities, and implement critical policies, like no tax on tips or overtime pay, to support American workers.”

Senators Gary Peters and Elissa Slotkin opposed the bill.

“The bill the Republicans just passed will rip healthcare away from hundreds of thousands of Michiganders, make it harder for families across the country to afford food and pay their energy bills, and balloon our deficit by trillions of dollars,” Peters said July 1.

“Democrats did everything in our power to stop this legislation, but President Trump and Republicans in Congress are dead set on selling out hardworking Michiganders so they can pay for a massive tax cut for billionaires. This bill is reckless, irresponsible, and an unconscionable betrayal of American families.”

The House of Representatives is now working to reconcile differences between an original 1,116-page version and the Senate’s dwindled 887-page version, which differ by billions of dollars — but both include cuts to healthcare and food assistance programs aimed at offsetting deficit spending.

Trump wants to see the bill on his desk for a signature by July 4.

— Contact reporter Corey Murray at [email protected] or follow him on X, formerly Twitter, at @cmurrayhdn.

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