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S 2749119th CongressIn Committee
A bill to exempt Medicare from any sequestration under Statutory PAYGO that is caused by the One Big Beautiful Bill Act.
Introduced: Sep 9, 2025
Social Services
Standard Summary
Comprehensive overview in 1-2 paragraphs
This bill would shield the Medicare program (Title XVIII of the Social Security Act) from any automatic funding cuts that result from statutory PAYGO sequestration caused by the budgetary effects of a separate reconciliation bill—the One Big Beautiful Bill Act (the Act enacted as Public Law 119-21 on July 4, 2025). In short, if a sequestration order is issued under the Statutory PAYGO law and that order is attributable to the budget impact of the One Big Beautiful Bill Act, Medicare would be exempt from those reductions. The exemption applies to sequestration orders issued on or after the bill’s enactment date.
Key Points
- 1Exempts Medicare under Title XVIII from reductions ordered through statutory PAYGO sequestration if those reductions are caused in whole or in part by the budgetary effects of the One Big Beautiful Bill Act.
- 2Applies only to sequestration orders issued on or after the date of enactment of this bill.
- 3Ties the exemption specifically to the budgetary impact of the One Big Beautiful Bill Act (Public Law 119-21); other PAYGO-related sequestration not tied to that Act would not be exempted.
- 4Does not repeal or alter PAYGO sequestration in general; it provides a targeted exemption for Medicare in a narrow, specified circumstance.
- 5Likely requires administrative steps to adjust sequestration calculations or notices, should the bill become law.
Impact Areas
Primary: Medicare beneficiaries and providers (distributors of Medicare funds, hospitals, physicians, and other entities that rely on Medicare payments), who would avoid automatic PAYGO cuts tied to the specified Act.Secondary: The federal budget enforcement mechanism (Statutory PAYGO sequestration) and budgetary planning related to reconciliation measures.Additional impacts: The exemption could affect overall deficit-offset dynamics by altering how sequestration is applied to Medicare in the context of that Act, potentially influencing future budget decisions or legislative strategies around large reconciliation packages.
Generated by gpt-5-nano on Oct 8, 2025