• Democratic leaders propose a Big Four meeting to avert a government shutdown.
• They’re leveraging Medicaid fraud and abuse provisions as a critical bargaining chip in funding talks.
• Last week’s minibus passage demonstrated that bipartisan appropriations legislation remains possible.

WASHINGTON, D.C. (TDR) — After weeks of gridlock, top Democrats signaled they will negotiate fiscal year 2025 funding—but only if Republicans roll back several Medicaid reforms included in the One Big Beautiful Bill Act.

Congress faces the Sept. 30 deadline to pass all 12 appropriations bills or trigger a government shutdown. With both chambers in recess until September, Chuck Schumer and Hakeem Jeffries requested a Big Four meeting to tackle the health care crisis.

“We should pursue a bipartisan path—you can work with us to protect health care for the American people,” their letter states.

Minibus Passage Sparks Hope

Last week’s minibus passage—which bundled three spending bills into one—proved that bipartisan appropriations legislation can advance when compromise prevails. Schumer and Jeffries cited this success in urging John Thune and Mike Johnson to replicate that cooperation.

Republicans’ reconciliation bill targets Medicaid fraud and abuse, imposing new work requirements, a dual enrollment crackdown, and rescinded Medicaid eligibility for noncitizen residents. Although the Congressional Budget Office report forecasts only modest slowing of federal spending growth, Democrats argue these measures threaten coverage for vulnerable populations.

Partisan Rescissions and Nominee Standoffs

The drive for a controversial rescissions bill removing $9 billion in spending further inflamed tensions, prompting Democrats to stall civilian nominations for the Donald Trump administration. Party leaders warned that “reflexive anti-Trump sentiment” cannot replace serious bipartisan negotiation.

Continuing Resolution and Cruise Control Funding

If lawmakers miss the deadline, they will likely adopt a Continuing Resolution to maintain cruise control funding for federal agencies. That would mark the fourth straight CR cycle, as Congress never passed a full fiscal year 2025 budget and instead relied on three successive stopgaps.

Seeking a Bipartisan Path Forward

Schumer and Jeffries emphasized governing responsibilities over partisan theatrics. Their demand to revisit Medicaid fraud and abuse measures signals that Democrats will push to roll back the most restrictive reforms—seeking to safeguard the health care crisis facing millions.

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Can Democrats and Republicans bridge divisions to fund the government on time without undermining essential health care protections?

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