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County receives briefing on federal budget and Medicaid risks; committee asks for local stories to aid advocacy
Summary
A county legislative advisor briefed the committee on the recent continuing resolution, ongoing reconciliation and the potential scale of Medicaid cuts; the committee directed staff to gather personal stories and coordinate outreach with the county’s communications office.
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A county legislative adviser briefed the Santa Clara County Health & Hospital Committee on March 19 about the federal budget picture, the continuing resolution (CR) that funds the government through Sept. 30 and the possible effects on Medicaid and county programs.
The adviser summarized the CR’s provisions: a small increase in defense spending, a slight decrease in domestic discretionary spending driven by removal of prior-year earmarks, and a deferral of a scheduled Disproportionate Share Hospital (DSH) cut through Sept. 30. He explained that larger Medicaid cuts remain possible through the budget reconciliation process in Congress and described an early procedural step: a planned meeting between Senate Republican leadership and the Senate parliamentarian, which could affect the need for offsets that would drive Medicaid reductions.
The briefing also noted two high-profile nomination developments: a CDC nominee withdrawn shortly before committee testimony, and a CMS nominee who did not commit in hearings to opposing major Medicaid cuts. Committee members and staff discussed the potential fiscal impact to the county and the uncertainty that will persist for months.
Committee members emphasized the need to frame the issue in human terms. They asked Santa Clara Valley Health and the county communications office to work with the Office of Civic & Public Affairs (OCPA) to collect personal stories from residents and patients about the effect of Medicaid and federal funding on local health access. The committee approved receiving the report and the request to partner on public education.
Why it matters: County services rely substantially on Medicaid and federal health funding; large federal cuts to Medicaid would affect hospital reimbursements, public health, behavioral health, and social services.
What’s next: County staff will continue advocacy in Sacramento and Washington and will produce community-facing materials with personal stories to illustrate local impacts.

