On Friday, July 4, President Donald Trump signed a tax and spending bill into law, known as the “One Big Beautiful Bill Act.”
University of Kentucky President Eli Capilouto issued a campus-wide message on Monday, July 7, to inform students about the potential impact of the new legislation.
According to Capilouto, the university is still trying to fully understand the ramifications of the bill. However, they do know that there will be budget cuts to Medicaid, Supplemental Nutrition Assistance Program Education (SNAP-Ed) funding, as well as student loans and grants.
Beginning in 2028, the university will receive less funding from Medicaid, which currently helps UK Healthcare treat low-income and rural families, who make up a significant portion of their patient base. Additionally, there will be an annual 10% cut to Medicare every year after, according to Capilouto.
In addition to healthcare challenges, UK predicts federal changes will affect the SNAP-Ed program, which provides low-income Kentuckians with access to nutrition education through federal funding, according to Capilouto.
Capilouto said College of Agriculture, Food and Environment Dean Laura Stephenson is working with the university to determine the best course of action.
The budget cuts to federal spending will reduce funding for federal student loans, affecting UK students, not the university, according to Capilouto.
“We are still analyzing the final package with respect to these important issues and will work closely with our students to provide counsel and support,” Capilouto said.
According to Capilouto, the university plans to protect critical programs and UK students and staff by working with their partners in the government to understand the full impact of this bill on the university.
The university has created a webpage where it will regularly monitor federal changes and post updates.
“Our mission to ensure a Kentucky that is healthier, wealthier and wiser is more important now than ever,” Capilouto said in the email. “So, as we have for more than 160 years, we will work with a sense of commitment and purpose to create and sustain a Kentucky with a brighter future.”