In July, MCD announced that Congress passed, and President Trump signed a reconciliation bill that includes unprecedented cuts to Medicaid (Medical Assistance in Minnesota).
Many lawmakers have said that people with disabilities would not be affected. However, that is not accurate. Here are a few of the impacts:
- Reduced Funding for Home and Community-Based Services (HCBS). States are expected to face significant budget shortfalls, forcing them to make difficult decisions. HCBS account for 86% of optional Medicaid spending (PDF) and are therefore a target to achieve cost savings.
- Burdensome reporting requirements and cost-sharing. These provisions apply to the Medicaid expansion group. However, many people with disabilities access health care through Medicaid expansion rather than the disability eligibility pathway. Oftentimes, these individuals are unable to work because of their disability. Now they will be forced to report work activities, renew their eligibility every six months, and be subject to cost sharing requirements. Even with exemptions, increased paperwork and costs will make it harder for people with disabilities to keep their coverage.
- Rural Hospital Closures. In rural areas, everyone—regardless of disability status—would struggle to access necessary health care and would have to travel several hours to get to the nearest hospital.
While we are disappointed in this decision, MCD remains committed to providing information about what is in the bill, its impacts, and what people with disabilities can do to continue advocating for access to healthcare.
What Is in the Bill and When Will Provisions Be in Effect?
Many of the Medicaid changes do not take effect until late 2026. Even though these provisions are not yet in effect, it is important to understand them and how they could affect you and your family. Being prepared will ensure that you do not lose the health coverage that you need.
The Minnesota Department of Human Services has put together the following resources.
Medicaid Matters
This webpage includes basic information and data about Medicaid, as well as stories from Minnesotans who rely on it for their health and well-being. It also features a toolkit that explains key provisions of HR 1 (the “One Big Beautiful Bill Act”) and how they could affect Minnesota.
Federal Medicaid Changes
This new webpage explains the upcoming Medicaid changes—who is affected, what’s changing, and when the changes take effect. Its goal is to help reduce potential coverage losses resulting from the new law.
Stay Informed
Accurate information is essential, especially when misinformation is widespread.
The following resources explain how our health care system works, discuss the recent Medicaid cuts, and offer tools to raise awareness and educate your community.
Health Policy 101 Introduction
The Kaiser Family Foundation, a national leader in health policy, provides a guide to help people understand key health care programs like Medicaid.
Medicaid – Center for Children and Families
The University of Georgetown’s Center for Children and Families is a national leader in research and data collection on Medicaid.
Medicaid and CHIP – Center on Budget and Policy Priorities
This resource provides research and information about the Medicaid cuts in HR 1 and its impact on the millions of Americans who access Medicaid.
The Clock Is Ticking: New Medicaid Changes Could Strip Away Care When People Need It Most
This short post from Community Catalyst explains the ways in which the recently passed legislation impacts people who are eligible for both Medicare and Medicaid.
Common False Claims About Medicaid and Medicaid Cuts
This MCD post addresses common false claims about Medicaid to ensure that people receive the most accurate information.
Keep Advocating
Even though the Medicaid cuts are now law, advocacy continues to be vital. Lawmakers need to keep hearing from people with disabilities about the importance of Medicaid and the real-world impact of these policy changes. Ongoing engagement with lawmakers at both the state and federal level keeps the conversation active, informs the state’s approach to protecting healthcare, and may eventually lead to delays in implementation or a reversal of the cuts.
Who Represents Me? – Minnesota Legislature
Use this tool to find your state and federal elected officials.
Advocate for Legislation
Use MCD’s phone and email templates to advocate effectively for legislation.
Share What Medicaid Means to You
This tool from The Arc enables people with disabilities and their families to share why Medicaid matters to them and continue the conversation with lawmakers about the bill’s impact.
Medicaid Defense Toolkit (Google Doc)
This toolkit from the This Is Medicaid Coalition outlines ways to take action against Medicaid cuts—such as contacting lawmakers, writing to local newspapers, and sharing your story on social media.
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