(The Center Square) – A new report finds that cuts in the federal budget bill could affect hundreds of thousands on Medicaid and other federal marketplace plans in Michigan.
Gov. Gretchen Whitmer has joined other Democrats in opposing the cuts, which are a part of the Republican-sponsored One Big Beautiful Bill Act.
“Everyone deserves access to quality, affordable health care regardless of their income or work status,” Whitmer said. “Right now, Republicans in Congress are rushing through dangerous cuts to critical health insurance programs that would threaten access to health care for 11 million people.”
The report from Michigan’s Department of Insurance and Financial Services found that the act could raise Michigan’s uninsured rate and kick more than 120,000 Michiganders off their Affordable Care Act Marketplace plans.
“DIFS is committed to protecting Michiganders and ensuring they have access to affordable high-quality health insurance,” said DIFS Director Anita Fox. “This proposal would limit health insurance access for Michiganders and raise out-of-pocket costs, jeopardizing Michiganders’ health and financial well-being.”
In contrast to this report, a report from the federal Congressional Budget Office stated that vulnerable populations currently on Medicaid would not lose health care coverage.
It found that, out of the 7.8 million current Medicaid recipients nationwide estimated to lose health-care coverage under the bill, about 4.8 million are able-bodied adults between the ages of 19 and 64 who have no dependents and work less than 20 hours a week, as previously reported by The Center Square.
The act, as passed by the U.S. House, adds a work requirement of at least 80 hours of work-related activities per month. That requirement does not include pregnant women, minors or seniors, the medically frail, and other at-risk populations. Those that meet that requirement could keep their Medicaid.
The act would also no longer provide funding for Medicaid for illegal immigrants, which many states have made available through state-sponsored Medicaid programs. The CBO reports that it estimated 1.4 million individuals are part of this group.
“We want to make sure that we hold by our commitment that we are not cutting Medicaid,” said House Speaker Mike Johnson, R-Louisiana, on Tuesday. “We are strengthening the program for the people who are the most vulnerable populations who really rely upon that.”
Michigan officials expressed concerns about these requirements.
“Everyone deserves access to quality, affordable health care regardless of their income or work status,” said Whitmer.
The state’s memo also highlighted the potential impacts of these requirements on the state’s uninsured rate.
“Michigan currently has one of the lowest uninsured rates in the country of around 5.4%,” Whitmer’s office said in a press release. “Their plan would make qualifying for Marketplace coverage more difficult, removing many of the protections that make enrollment in coverage affordable and accessible.”
Lt. Gov. Garlin Gilchrist II said this is the opposite of what Michigan has been working towards in recent years.
“In Michigan, we’ve been working hard to get our uninsured rate down and help more Michiganders get care when they get sick,” Gilchrist said. “Republican cuts to health insurance programs will reverse our progress.”
The U.S. Senate is currently working on its own version of the act, hoping to pass a reconciled version by July 4.
Elyse Apel is a reporter for The Center Square covering Colorado and Michigan. A graduate of Hillsdale College, Elyse’s writing has been published in a wide variety of national publications from the Washington Examiner to The American Spectator and The Daily Wire.