Tag: Michigan

Alternative Headline: Medicaid Cuts Cloud MAHP Milestone

[MM Curator Summary]: MAHP’s 40th anniversary conference highlighted Medicaid progress while warning of devastating state and federal funding cuts ahead.

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As attendees arrived at this year’s Michigan Association of Health Plans Annual Conference, they were greeted by a long wall of interlocking panels spotlighting the greatest achievements of MAHP and its members. The organization’s first incorporation in 1979. The first MAHP conference in 1985. The move from Michigan Medicaid to the managed care model in 1996. The implementation of the Healthy Michigan Plan, which expanded Medicaid access for Michiganders, in 2014. The 4 million Michigan beneficiaries now covered by MAHP members. 

These achievements of MAHP and its members, and the long-standing collaboration among its 10 member health plans, was evident throughout this year’s 40th annual conference. For its anniversary year, the MAHP conference saw a record turnout, with 500 people in attendance and 50 industry partner organizations. 

The tone was celebratory, but all of the speakers emphasized the critical importance of MAHP’s strong partnerships to face unprecedented changes in the coming year, namely from the Michigan legislature’s failure to pass a supplemental spending bill for services rendered by Medicaid health plans 18 months ago, to the coming federal Medicaid cuts contained in the recently passed legislation known as the One Big Beautiful Bill. 

“We now face the challenges placed in front of us by both the state and federal government and must work to sustain the Medicaid program as we know it,” said MAHP Executive Director Dominick Pallone in his opening remarks. “Our partnerships of today will climb the mountains of tomorrow.” 

Uncertainty on the horizon

One in four Michiganders is on Medicaid and now faces the risk of losing their coverage, said Meghan Groen, Medicaid Director at the Michigan Department of Health and Human Services, in a presentation moderated by Pallone. But upcoming federal Medicaid cuts won’t just impact these beneficiaries; Groen said Michigan hospitals will lose $15 billion in funding over the next 10 years, with rural hospitals expected to be hit the hardest. 

“If they have to close down services, it doesn’t just impact the Medicaid beneficiaries,” she said. “It impacts everyone in that area.” 

Groen spotlighted recent accomplishments in improving access to behavioral health services for Michiganders, including enhanced training programs, new assessment tools and expanded models of delivery for local mental health care services. The mental health crisis line, 988, has seen 200,000 calls, texts and chats, and 92 percent of calls are answered by someone in Michigan. A panel of Michigan legislators also addressed these future challenges and opportunities, bringing to the stage State Senate Majority Leader Winnie Brinks, State Senator Kevin Hertel and State Rep. Brenda Carter for a conversation moderated by Zoe Clark, Political Director for Michigan Public Radio. 

Common themes emerged, such as the collective frustration with the slow pace of action in state and federal legislative bodies – particularly related to the state budget and dollars owed to Medicaid health plans – and the impact of split government amidst heightened partisanship. As throughout the conference, the impact of upcoming Medicaid cuts loomed large. 

Rep. Carter described a recent trip to the Upper Peninsula to visit a hospital already slated for closure due to lack of resources. “You couple that with a $600-plus million cut to health care, what is that going to do?” she said. “People ask me, what keeps me up at night? That keeps me up at night.” 

Sen. Hertel also pointed out that funding cuts would likely lead to fewer beneficiaries getting preventative care, which is a critical part of bringing down healthcare costs. 

The panel also discussed efforts for drug pricing transparency reforms, efforts to bring down the cost of medications and recent passage of the Prescription Drug Affordability Bill. “We know that this is one of the biggest stressors in their lives when it comes to unpredictable and high costs of something they absolutely must have,” said Sen. Brinks.  

The panel closed with words of advice from the three legislators to the members of MAHP. “Stay involved in your association,” said Sen. Brinks. “MAHP does a great job helping us be prepared for the issues that come to us. … Helping members of the community tell their stories to us is also incredibly valuable.” 

Honoring industry leaders

A highlight of the MAHP Annual Conference is always the recognition of the industry leaders who have advanced the cause of healthcare quality and access for Michiganders. This year’s MAHP Annual Awards recognized the accomplishments and contributions of:

https://www.crainsdetroit.com/crains-content-studio/mahps-40-year-legacy-and-medicaids-future-path

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Alternative Headline: Court Blocks Planned Parenthood Defunding

[MM Curator Summary]: A federal court has blocked the Trump administration’s plan to strip Medicaid funding from Planned Parenthood and similar providers. 

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Last week, members of Michigan’s Progressive Women’s Caucus celebrated a federal court decision blocking the Trump administration’s effort to defund Planned Parenthood. 

Republicans’ “big, beautiful bill” which was signed into law on July 4, put in place a one-year ban on Medicaid payments to health care providers who offer abortion care and received more than $800,000 in Medicaid reimbursements in 2023.

Planned Parenthood, which offers sexual and reproductive health care at nearly 600 health centers across the county, argued the policy was part of a yearslong plan to shut down the nonprofit, with the bill threatening to close 200 health centers across 24 states. 

U.S. District Judge Indira Talwani’s July 28 order requires the government to continue reimbursing these facilities through Medicaid.

“Planned Parenthood provides thousands with necessary reproductive care and family planning services. The Trump administration’s move to withhold Medicaid funding puts necessary health care at risk. I am glad that the courts have thus far upheld this funding, but I am nonetheless concerned about future cuts to both Planned Parenthood and Medicaid. We must remain diligent,” state Rep. Laurie Pohustky (D-Livonia), the caucus’s chair, said in a statement on Wednesday. 

Pohustky pointed to additional Medicaid cuts in Republicans’ tax and spending bill, warning that millions will be removed from coverage. According to the nonpartisan Congressional Budget Office, 10 million uninsured individuals are expected to lose Medicaid coverage over the next decade. 

“Planned Parenthood health centers are necessary for many across our state, and it is absolutely essential that patients who use Medicaid still have access to contraception, STI and cancer screenings and all the reproductive care they need and deserve,” Pohutsky said. 

23 states – including Michigan –  and the District of Columbia filed a lawsuit against the Trump Administration late last month over the One Big Beautiful Bill Act’s provision to defund health centers like Planned Parenthood. 

“Planned Parenthood clinics are a critical part of Michigan’s healthcare system, delivering vital services to communities across the state,” Michigan Attorney General Dana Nessel said in a statement. “The Trump Administration’s push to strip funding from these providers is an unlawful political tactic aimed at undermining care, even in states like Michigan, where the right to reproductive freedom is protected by our constitution. I remain committed to standing up for Michiganders’ ability to access the healthcare they need from the providers they trust.”

https://michiganadvance.com/briefs/michigans-progressive-womens-caucus-cheers-protections-for-planned-parenthood-funding/

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Alternative Headline: Rural Michigan Hospitals at Risk

[MM Curator Summary]: Medicaid cuts from Trump’s new law could force closures or service reductions at hundreds of rural hospitals, including several in Michigan.

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Hospitals in rural communities are a vital lifeline for the people they serve, providing necessary health care, employment, and economic stimulation.

Three hospitals in rural Michigan are among hundreds across the country that may now be in jeopardy due to Medicaid cuts included in President Donald Trump’s budget bill, University of North Carolina at Chapel Hill researchers predict.

On July 4, Trump signed into law the One Big Beautiful Bill Act, which is set to slash roughly $1 trillion in Medicaid funding over the next decade. The reductions were made to make room for tax breaks for the wealthiest Americans, which, along with increased spending on Trump priorities such as Immigration and Customs Enforcement, are expected to increase the national debt by $3.3 trillion by 2034, according to the nonpartisan Congressional Budget Office. The CBO also estimated that approximately 12 million people could lose health insurance coverage because of the legislation’s cuts to Medicaid and other health care provisions.

In Michigan, Medicaid provides health care coverage to more than 2.5 million low-income residents. Brian Peters, CEO of the Michigan Health and Hospital Association, said in a July 3 statement that the budget reconciliation bill “is disastrous for access to care for Michiganders and the healthcare providers who care for them.”

“Cuts to funding are cuts to care. Limiting how states can fund their Medicaid programs puts Michigan in an extremely difficult position. If the state can no longer provide the same reimbursement, hospitals will be faced with difficult choices that will include eliminating service lines or even entire facilities,” Peters said. He estimates the new law will cost Michigan hospitals more than $6 billion in total Medicaid funding over the next 10 years.

Rural hospitals in particular rely heavily on Medicaid reimbursements to upgrade their equipment, pay their workers, and generally care for their patients. If those payments disappear, observers say, the health of residents who depend on these facilities and the well-being of local economies that they support could take a turn for the worse.

Following the bill’s passage in the U.S. House of Representatives, Democratic senators wrote a letter in June to experts at the Cecil G. Sheps Center for Health Services Research at the University of North Carolina at Chapel Hill asking them to provide an analysis of how the bill would affect America’s rural hospitals and communities.

In their analysis, UNC researchers found the Republican health care cuts could put over 300 rural hospitals across the country at risk of closure, conversion to a different type of facility, or service reductions.

Three of those hospitals are in Michigan: McLaren Central Michigan in Mount Pleasant; UM Health-Sparrow Carson, previously known as Carson City Hospital, in Carson City; and Ascension Borgess-Lee Hospital in Dowagiac. A fourth Michigan hospital, Aspirus Ontonagon Hospital in Ontonagon, was also named in the report; however, it reportedly ended hospital and emergency services last year and converted to a health clinic.

UNC determined the hospitals were at risk due to increased financial strain, as the hospitals had been operating in negative margins for the last three years.

UM Health-Sparrow Carson, which provides a range of services from cancer care to obstetrics and gynecology, has already gone through a major change in recent years. In 2023, University of Health Michigan acquired the Lansing-based Sparrow Health system to form one of Michigan’s largest hospital systems. The Carson City facility was among the Sparrow hospitals obtained in the deal.

Ascension Borgess-Lee also recently underwent a merger with Indiana-based Beacon Health System. Beacon officially acquired a set of Ascension Borgess hospitals, including the Dowagiac location, on July 1. Hospital mergers can be a sign of a hospital system in financial distress, according to the American Hospital Association, and studies show the practice can lead to higher health care costs for patients without increases in quality. UM Health-Sparrow and Beacon officials at the time of the acquisitions framed them as a way to improve patient care.

Spokespeople for McLaren Central Michigan and UM Health-Sparrow Carson told the Michigan Independent that their hospitals have no plans to close. A representative for Beacon Health System did not respond to a request for comment.

“At University of Michigan Health, we continue to analyze the impact of the budget reconciliation bill, but do not have current plans to close UM Health-Sparrow Carson hospital. However, we remain very concerned about the implications of the federal changes on rural hospitals like Carson, as well as our entire health care system, said Mary Masson, the senior director of public relations at University of Michigan Health-Sparrow, said in an emailed statement.

McLaren Health Care in Mount Pleasant, in an emailed statement provided by its marketing manager, Dave Jones, said it is concerned about significant cuts to federal health care spending, which “could have a devastating and disproportionate impact on people’s ability to efficiently access the necessary care they require.”  

Located in the heart of Michigan’s lower peninsula, Mount Pleasant has a population of roughly 21,600 residents and a median income of about $40,000, according to U.S. Census Bureau data. Nearly 8% of residents don’t have health care coverage, the data shows.

“In order to maintain a level of operation, providers would be forced into making difficult decisions, potentially eliminating meaningful services or, in severe circumstances, leading to the closure of facilities entirely,” the McLaren Central Michigan statement said. “While our rural providers have not been immune to the health care industry’s financial challenges of the past several years, those hospitals have remained steadily viable. Through those federal programs, these providers have been able to grow and expand — bolstering their medical staffs while enhancing their care capabilities. Proposed cuts would also put those initiatives in jeopardy.”

“All patients deserve access to quality, timely care, and we are committed to serving our rural communities,” the statement continued. “But we cannot fully do so without the continued support of these programs. For the sustainability of Michigan’s and the nation’s rural health care infrastructure, we appeal to lawmakers to carefully consider the detrimental impact of these cuts and to reconsider them.”

https://michiganindependent.com/health-care/rural-michigan-hospitals-at-risk-following-trump-medicaid-cuts/

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Alternative Headline: Medicaid Cuts Threaten Kids

[MM Curator Summary]: Proposed federal Medicaid cuts would severely harm Michigan children, especially in rural communities.

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We must do everything we can to protect Medicaid for Michigan kids, who will be undeniably and irreparably harmed by any federal cuts to this critically important program.

That was one of my key takeaways from the recent release of the Annie E. Casey Foundation’s 2025 KIDS COUNT Data Book, which provided a clear picture of how kids are faring across our country and showed us exactly what is at stake if they lose their ability to receive quality health care.

The Casey Foundation’s 50-state report examines 16 indicators within four key domains of child well-being: economic security, education, health, and family and community. Here in Michigan, the state’s highest ranking continued to be in health at 22nd thanks in large part to more children having access to health insurance due to continuous enrollment in Medicaid during the pandemic. However, recent federal threats to Medicaid, including attempts to dismantle or restrict eligibility in order to give tax giveaways to the wealthiest of Americans, would unravel these substantial improvements.

In 2022, 97.4% of Michigan children ages birth to 18 had health insurance, and, in 2024, 42.8% of all Michigan children ages birth to 18 were enrolled in Medicaid. That is close to half of all Michigan kids. Medicaid enrollment among children was even higher in the Alpena area last year: 60.8% in Alcona County, 47.4% in Alpena County, 54.4% in Montmorency County and 44.9% Presque Isle County.

The federal threats to Medicaid will impact children and families living in every county in Michigan, but they will have an especially significant impact in rural counties, where there are more children relying on the program for their health care needs. The Alpena area’s overall child insurance rate is also lower than the state average, and that rate would undoubtedly drop further if Medicaid were to be stripped away from kids.

Hospitals and other health care facilities located in rural areas are also at greater risk of being forced to close their doors or reduce their services in the face of Medicaid cuts, as they tend to rely more heavily on Medicaid funding in order to stay operational. The closure of these facilities would result in significant job losses for health care personnel, impacting the economic security of families raising children, and cause major health care accessibility issues for patients of all ages.

Taking a closer look at childbirth, specifically, our latest KIDS COUNT data shows that the percentage of Medicaid-paid births in Michigan was 39.2% in 2022. However, in rural areas like the Alpena area, percentages are much higher. The percentage of Medicaid-paid births in 2022 were 53.4% in Alcona County, 46.7% in Alpena County, 53.5% in Montmorency County and 44.1% in Presque Isle County.

Maternity care deserts — areas where there are no hospitals or birth centers offering obstetric care — already exist in many rural areas, including the counties of Alcona and Presque Isle, and, if cuts to Medicaid are made, these deserts could potentially multiply, resulting in worse health outcomes for mothers and babies. According to the March of Dimes, women in maternity care deserts face a 13% higher risk of preterm birth and higher rates of inadequate prenatal care. It’s also important to note that inadequate prenatal care disproportionately impacts women of color and women with low incomes in these areas.

The stakes are so high right now for all Michiganders, including the youngest among us. Michigan kids have a right to be able to grow up healthy and strong, but they won’t be able to do that if their access to quality health care is taken away, all to line the pockets of the richest among us. It’s not too late to let your voice be heard on this critically important issue. Contact your federal lawmakers today and let them know how important Medicaid is to you and your community.

https://www.thealpenanews.com/opinion/2025/06/protecting-medicaid-for-michigan-kids/

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