Dr. Oz dodges questions on Medicaid cuts during confirmation hearing testimony

WASHINGTON — Dr. Mehmet Oz, President Donald Trump’s pick to lead Medicare and Medicaid, on Friday sidestepped several questions from senators about whether he supports a House budget resolution that could lead to significant cuts to Medicaid.

The budget plan, adopted by House Republicans late last month, directs the Energy and Commerce Committee to identify at least $880 billion in mandatory spending cuts over the next 10 years, the majority of which is expected to come from the health program.

Oz, a former surgeon and TV personality, pledged during his Senate confirmation hearing to be administrator of the Centers for Medicare and Medicaid Services to fight waste, fraud and abuse in the health care system — an argument being used by some Republicans to defend the possible cuts.

However, he made no commitments to protect Medicaid funding.

“I want to make sure that the patients today and in the future have resources to protect them if they get ill,” Oz said. “The way you protect Medicaid is by making sure that it’s viable at every level.”

As CMS administrator, Oz would oversee Medicaid, as well as Medicare and the Affordable Care Act, more commonly known as Obamacare. Together, the programs provide health insurance for roughly half the U.S. population.

Medicaid provides health coverage primarily to people with low incomes, although it covers other groups, including some older adults, pregnant women and people with disabilities.

It’s one of the largest sources of federal spending, costing more than $600 billion per year, according to government data. 

Oz’s lack of commitment to opposing the possible Medicaid cuts appeared to frustrate a number of Democratic senators, with some noting that the cuts would directly impact patients in their states.

“All my colleagues are going to want to know: Are you going to cut Medicaid?” Sen. Maria Cantwell, D-Wash, said. “We want to know that from everybody.”

In a back-and-forth exchange on the cuts, Sen. Maggie Hassan, D-N.H., asked Oz how many children losing health insurance would be “acceptable” to him. (In 2023, Medicaid covered nearly 4 in 10 children, including over 8 in 10 children in poverty.)

“I don’t want children losing health insurance,” Oz responded.

Hassan then quipped, “Well, then you’re going to need to reject the Republican budget plan.”

Oz seemed to suggest that Medicaid funds weren’t being used efficiently, saying that the program “is the No. 1 expense item in most states.”

He also said he supports Medicaid work requirements but added that he was open to alternative qualifications, such as enrollment in an educational program.

“We have to make the system better,” he said.

His controversial endorsements of marketed health products, such as the unproven weight loss supplement green coffee extract, received little attention at the hearing.

Oz spent a lot of time during the hearing talking about artificial intelligence — a shared priority of the Trump administration — and how it might be used to fight misuse of prior authorization.

Prior authorization is a tool used by health insurance companies that requires doctors and patients to get pre-approval to use certain treatments. Insurers say it helps control costs, weeding out unnecessary care. Patients say it delays the care they need, as approvals can take weeks.

Oz said he wants the prior authorization process to be as quick as a credit card transaction.

“A credit card approval doesn’t take you three months,” Oz said. “You know immediately whether the transactions are approved or not.”

“I believe we have the power right now with the technology that didn’t exist three or four years ago,” he added.

In response to questions, he also criticized Medicare Advantage — a type of health plan provided by private insurance companies — over concerns that insurers could be using a tactic called “upcoding,” where they jack up government reimbursements to boost their revenue.

The remarks were notable, as Oz has previously advocated for privatizing Medicare and promoted a number of insurers under Medicare Advantage.

“If confirmed, I will go after it,” Oz said, referring to Medicare Advantage.