LANSING, Mich. (June 24, 2025) — In recent months, President Donald Trump and Congressional Republicans have been laying the groundwork to make massive cuts to Medicaid. This work most recently culminated in the U.S. House as they passed a spending bill that slashes $535 billion from the program over the next decade, threatening to kick hundreds of thousands of Michiganders off their health insurance — all to afford a $4 trillion tax break for the wealthiest of individuals and corporations.
In response to the administration’s threats to dismantle this essential safety net, the Senate Health Policy Committee and Senate Appropriations Subcommittee on the Dept. of Health and Human Services (DHHS) convened a joint meeting where they reviewed, accepted and adopted a new report developed by Senate Democrats that outlines the impact federal cuts to Medicaid would have on Michiganders.
“The benefits Medicaid provides are far more than just numbers on a page, and the cuts being proposed in Washington represent real harm to real people,” said Sen. Kevin Hertel (D-St. Clair Shores), Chair of the Senate Health Policy Committee. “As you read this report, do not look at it as a simple policy document, but as a reflection of the real people who stand to be impacted by these cuts. Their stories remind us of what is at stake for our families, our communities, and the future of our state.”
This report seeks to build upon the one recently compiled by the Michigan Dept. of Health and Human Services by weaving in stories and testimony from those who stand to be impacted by funding cuts: Medicaid recipients, doctors, hospitals and local clinics, advocacy organizations, and more. Drawn from emotional testimony shared during a DHHS Subcommittee hearing on Medicaid in February and a Health Policy Committee hearing earlier this month, these stories bring the human cost of these proposed cuts into sharp focus. The clear and resounding response heard from all those who testified: these proposed Medicaid cuts will have utterly devastating effects on our state and entire health care system.
“Medicaid was established 60 years ago to ensure that every American, regardless of income, has access to the care they need to lead a healthy life. It remains one of the most impactful and efficient programs in our health care system,” said Sen. Sylvia Santana (D-Detroit), Chair of the Senate Appropriations Subcommittee for the DHHS and Majority Vice Chair of the Health Policy Committee. “Proposals from Republicans in Washington that threaten to dismantle Medicaid funding would reverse decades of progress and once again make health care a privilege for the few, rather than a right for all. This report highlights what’s truly at stake — not only for Michigan’s budget and our hospitals, but for the health and economic security of families across our state. For millions of Michiganders, access to Medicaid is not a policy debate — it’s a matter of life or death.”
Also included in the report are recommendations for actions that the Michigan Legislature, Gov. Gretchen Whitmer, and Michigan’s congressional delegation can take to protect the health and dignity of every Michigander.
Report Highlights
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Medicaid provides vital health care coverage to one in four Michiganders, including two in five children and three in five nursing home residents.
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Across Michigan, Medicaid patients make up an average of 22% of hospital patient volume, with Medicaid patients making up 40% of volume in rural hospitals. Without the funds these patients bring in, hospitals would be forced to significantly downsize or close altogether — forcing everyone to travel farther and wait longer to receive care.
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If the proposed cuts take effect, nearly 500,000 Michiganders would lose health care coverage — largely due to burdensome administrative hurdles and bureaucratic red tape the proposal seeks to enact.
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Proposed cuts to the program threaten the 300,000 health care jobs across Michigan sparked by Medicaid expansion, and would deal a projected $2.9 billion blow to the state’s economy.
To access the full report, click here.
Michigan Senate Democrats’ Action
Since assuming the majority in 2023, Michigan Senate Democrats have been working to expand access to quality, affordable health care for Michiganders. This work includes codifying popular provisions of the Affordable Care Act into state law, as well as passing legislation to establish a state-based health insurance exchange and a prescription drug affordability board in Michigan.
Senate Democrats have also been active in amplifying the ramifications of decisions made by the Trump administration, including their rash and baseless mass firings, the chaos created by freezing critical federal funding, and DOGE’s attempts to access Michiganders’ sensitive personal data. Most recently, Senate Democrats adopted Senate Resolution 50, which called on President Trump and the U.S. Congress to change course and reject any proposal that would strip health care access to those in need.