Eliminating Waste, Fraud, and Abuse in Medicaid
Presidential Action
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June 06, 2025
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Document 14400

Summary
President Donald Trump has directed the Secretary of Health and Human Services to address waste, fraud, and abuse in the Medicaid program by ensuring that Medicaid payment rates do not exceed those of Medicare. This action aims to curb practices that have allowed states to manipulate funding, potentially saving the federal government billions and preserving Medicaid's long-term stability. While this move could enhance fiscal responsibility, it may also face legal and political challenges, particularly from states and healthcare providers accustomed to higher reimbursement rates.