August 5, 2026

Gov. Beshear slams Kentucky Senate proposed budget, warning of $2.7B Medicaid cuts

 (WXIX) — Gov. Beshear criticized the Kentucky Senate’s proposed budget Wednesday, saying it will cut Medicaid by $2.7 billion over two years and reduce funding for social services.

The Senate passed its budget proposal on Tuesday, which Beshear claims is very different from his proposal and will harm Kentucky families.

His budget fully funds Medicaid, while the Senate’s plan could cut Medicaid by 10% in July 2026 and another 10% in July 2027, according to Beshear.

Gov. Beshear says the cuts could lead to pay reductions for hospitals, doctors, and clinics, and result in the loss of services, like local maternity wards. There may also be a 10% annual cut to all Medicaid waiver services.

Some essential services like vision, dental, hearing, hospice coverage, and mental health services might be eliminated due to these cuts, the governor said.

The Senate’s budget also allocates $76 million less than Beshear’s for the Department of Community Based Services, which oversees programs like Temporary Assistance for Needy Families and the Supplemental Nutrition Assistance Program.

 

The proposed cuts could lead to hundreds of social worker job losses and reduce payments to foster parents and foster home facilities, Gov. Beshear said.

“We should be increasing health care access to support the lives of Kentuckians and providing more help to social workers and programs that assist families. Unfortunately, these cuts do the opposite,” Beshear said. “These cuts are simply unfair, and they will only get worse. I encourage you to reach out to your representatives and make your voice heard, because you deserve better.”