Reconciliation package could shift Medicaid, SNAP and education costs to Virginia, staff and NCSL adviser say

Austin Reed, federal affairs adviser for the National Conference of State Legislatures (NCSL), told a Virginia Senate subcommittee that Congress's budget reconciliation process is moving rapidly and could carry provisions that shift costs or administrative responsibilities to states.

"It is a privileged legislative vehicle," Reed said, explaining that reconciliation allows the Senate to pass certain budgetary measures with a simple majority but is time‑bound and limited in scope. He summarized key constraints: reconciliation can affect federal revenues, mandatory spending programs and the debt limit, and provisions must pass the so‑called Byrd rule to remain in scope.

Reed outlined major committee actions in the House: the House budget resolution set a roughly $2.8 trillion window for net deficit changes over a 10‑year period, and House committees have proposed savings and offsets for that package. The House education and workforce committee's package — known in drafts as the Student Success and Taxpayer Savings plan — reportedly finds roughly $350 billion in savings over…