On March 26, the Department of Health and Human Services suddenly canceled more than $12 billion worth of federal grants to states, which was being used for various urgent health services ranging from addiction treatment to research around infectious diseases. The cuts come from one of President Trump’s major campaign promises, aiming to cut down on the size of medical grants in order to minimize federal spending.
As reported by The New York Times, the cancellation of these grants, which were allocated during the COVID-19 pandemic, is likely to pose a challenge to state health departments, which are already struggling from a lack of funds and handling “emerging threats” like bird flu. Through these cuts, the Department of Health and Human Services has blocked state health departments from incurring additional costs related to the funds effective immediately.
The cancellation of these grants has already affected multiple states, including Massachusetts. Governor Maura Healy spoke on the issue in a recent statement, saying that “we will continue to assess the full impacts and are in touch with the Attorney General’s Office and the 49 other states facing similar challenges.
This decision is already impacting local hospitals, including Boston Children’s Hospital, which is Massachusetts’s top-ranked children’s hospital. The hospital’s president Dr. Kevin Churchwell said that the cuts, specifically ones relating to the National Institutes of Health, Centers for Disease Control and Prevention, and the Food and Drug Administration, have already halted research. Boston Children’s Hospital estimates a $54 million reduction from their $218 million allocation from the NIH last year. Massachusetts Health and Human Services Secretary Kate Walsh has also warned that future cuts may threaten Massachusetts’s budget for Medicare in the future, impacting the 2 million residents who rely on it for insurance. The White House has said it does not intend on making future cuts to Medicaid, Medicare, or Social Security; however, in order to fulfill their expansive budget and tax cut promises, the Trump administration may make changes in the funding of these programs.
Image source for cover image: American Hospital Association