Senate Health Committee Holds Hearing on Impacts of H.R.1

TRENTON – The Senate Health and Human Services Committee, led by Chairman Joe Vitale, held a hearing today on the impacts of federal House Resolution 1 (H.R.1) and how New Jersey residents can adapt to major cuts to programs like Medicaid. The committee heard from the leaders of three state Departments and took testimony from three panels of experts who discussed solutions for care, for navigating access, and for populations at risk of losing coverage.

“H.R.1 will have massive impacts across New Jersey’s health care system,” said Chairman Vitale (D-Middlesex). “Countless organizations, programs, departments, and, most importantly, children and families will face new challenges as a result. It is incredibly overwhelming. This hearing brought together officials, administrators, and experts to address these changes and ensure the public understands what this means for them.”

In July 2025, H.R.1, the federal budget reconciliation bill, was enacted, introducing the most significant restructuring of Medicaid eligibility and financing in a decade. The law phases in several major changes between 2025 and 2029, including new work and reporting requirements, more frequent eligibility redeterminations, and new limitations on provider payment mechanisms and federal matching rates. It also eliminates Medicaid eligibility for several categories of lawfully present immigrants.

It has been projected that H.R.1 will result in a nearly $900 billion reduction in federal Medicaid spending over ten years and, in turn, an increase in the number of uninsured individuals by nearly 10 million.

For New Jersey, these changes will have huge implications for the 1.725 million children and adults enrolled in Medicaid and CHIP (the Children’s Health Insurance Program), as well as for certain state Departments, hospitals, Federally Qualified Health Centers, and the State-based health insurance marketplace. These implications were discussed in detail during the hearing.

Commissioners from the Department of Human Services, Department of Banking and Insurance, and Department of Health discussed H.R.1’s impact on several state-funded programs, including NJ FamilyCare, GetCoveredNJ, and Charity Care, due to Medicaid cuts and associated disenrollment. They stressed the importance of coordination across Departments to ensure that vulnerable New Jersey residents can access affordable coverage in the State’s transformed insurance marketplace.

Representatives from hospitals, clinics, insurers, counties, professional associations, immigrant rights groups, and more also spoke about how H.R. 1 will impact them and the populations they serve. They addressed how they plan to tackle these impending challenges, discussing several solutions and strategies for navigating the new health care landscape.

“Thank you to the Commissioners and representatives who took time today to speak in front of the Committee and answer our questions,” Chairman Vitale continued. “With their testimony, we hope to make clear the reality of H.R. 1’s impacts on children, families, and individuals, and connect those most at-risk with alternative programs and resources so that they don’t lose access to service.”

See the below resources to read more about the impacts of H.R.1 and the alternative options for finding care:

Department of Human Services | Impact of Medicaid and SNAP Cuts on New Jersey

Department of Health | Find Care

GetCoveredNJ