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Mass. lawmakers warned federal cuts could force deep HHS budget choices; MassHealth faces shortfall
Summary
Secretary Kate Walsh and MassHealth officials told the Joint Committee on Ways and Means that federal funding uncertainty and rising caseloads could require hard state budget choices in FY26, with MassHealth facing roughly $1.3 billion in additional general‑fund pressure if current trends continue.
Secretary Kate Walsh told the Joint Committee on Ways and Means on April 7 that the Healy administration’s House 1 proposal for the Executive Office of Health and Human Services (EOHHS) is designed to be fiscally responsible but faces significant federal risks. "What we cannot control and what is not included in our FY26 budget proposal is the impact of potentially drastic federal funding cuts," Walsh said, pointing to federal proposals that could reduce Medicaid and other federal supports.
MassHealth officials outlined the immediate scale of the challenge. "If we were to do nothing and just kind of go on autopilot from '25 into '26, the MassHealth program would pull $1,300,000,000 more out of the general fund in '26 than it will in '25," Assistant Secretary for MassHealth Mike…
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