Friday, Jul. 11, 2025
Does Donald Trump’s big bill provide an additional $1 billion annually for Wisconsin’s Medicaid program?
Wisconsin will receive an estimated $1 billion more annually in federal funds for Medicaid because the state budget includes a change that pre-empts a provision in President Donald Trump’s big bill.
Trump’s bill would have prevented Wisconsin from raising its hospital tax.
But days before Trump signed it, the Republican-led Legislature and Democratic Gov. Tony Evers approved a 2025-27 state budget that raises Wisconsin’s hospital tax from 1.8% to 6%.
The increase will raise some $1 billion more annually in federal matching funds that the state can use to pay hospitals for care they provide Medicaid patients.
Wisconsin’s largest Medicaid program is BadgerCare Plus, which provides health insurance to about 1 million low-income people age 64 and under.
Republican U.S. Rep. Derrick Van Orden, who represents western Wisconsin, claimed that Trump’s bill “secured” the $1 billion.
The bill cuts roughly $1 trillion over 10 years from Medicaid, which costs nearly $900 billion annually.
This fact brief is responsive to conversations such as this one.
Sources
- Wisconsin Hospital Association: WI State Budget Bill Includes Historic Medicaid Rate Increase for Hospitals
- Milwaukee Journal Sentinel: Derrick Van Orden claims credit for Wisconsin's extra Medicaid dollars after voting to cut the program
- Milwaukee Journal Sentinel: Ron Johnson laments Wisconsin's reach for Medicaid funds, spurred by the Trump bill he voted for
- Wisconsin Department of Administration: Wisconsin Health Services Department budget
- Wisconsin Legislature: Health Services budget
- Wisconsin Department of Health Services: BadgerCare Plus
- Wisconsin Department of Health Services: BadgerCare Plus
- X: Derrick Van Orden post
- Axios: Trump's spending bill cuts Medicaid: Here's what it's called in your state
- Kiplinger: What to Know About New Medicaid Cuts: Is Your Local Hospital Closing Soon?
- Wisconsin Watch: Have millions of nondisabled, working-age adults been added to Medicaid?
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Fact briefs are bite-sized, well-sourced explanations that offer clear "yes" or "no" answers to questions, confusions, and unsupported claims circulating online. They rely on publicly available data and documents, often from the original source. Fact briefs are written and published by Gigafact contributor publications.
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