GOP Tax Law Could Lead to More Overdose Deaths, Experts Warn

The Republican tax bill signed into law this month may cause a sharp rise in overdose deaths by restricting access to treatment for opioid addiction, according to health economists.

At the heart of the issue are significant cuts to Medicaid, the nation’s largest funder of addiction treatment. A new policy memo projects that approximately 156,000 people will lose access to care for opioid use disorder as a result of the legislation.

“We estimate this will double the overdose death rate in this group and result in 1,000 additional fatal overdoses per year,” the memo stated.

The memo was addressed to House Speaker Mike Johnson (R-La.) and Senate Majority Leader John Thune (R-S.D.).

A Setback Amid Progress

The warnings come during a rare period of progress in the opioid epidemic. Overdose deaths have steadily declined for the past 18 months, returning to levels seen before the Covid-19 pandemic.

But experts now fear that progress could be reversed if Medicaid funding is reduced.

“This change could erase the gains we’ve made,” said one health policy analyst. “We know treatment works, but it has to be accessible.”

Medicaid’s Crucial Role in Addiction Treatment

Medicaid plays a vital role in funding:

  • Methadone clinics

  • Medication-assisted treatment (MAT)

  • Outpatient and residential programs

Without insurance coverage, many people with opioid use disorder cannot afford treatment, increasing their risk of relapse and death.

Urgent Action Needed

Advocates for public health and addiction recovery are calling for lawmakers to reconsider the long-term impacts of these cuts.

“The opioid crisis is far from over. Weakening the safety net now could cost lives,” said an addiction specialist based in Ohio.

As the debate continues in Washington, healthcare providers across the country are bracing for potential budget shortfalls and increased demand for underfunded services.