Ohio and West Virginia – A recent analysis by the Robert Wood Johnson Foundation and the Urban Institute reveals that propsed Medicaid cuts could adversely affect patients.
Ohio and West Virginia could face significant financial strain if federal cuts to Medicaid funding move forward, with both states potentially losing about 20% of their Medicaid funding.
The study outlines the potentially devastating consequences of reducing federal support for Medicaid expansion, a provision under the Affordable Care Act (ACA) that extended eligibility to adults earning approximately $21,000 per year, or 138% of the federal poverty level. Currently, 41 states, including Ohio and West Virginia, have adopted this expansion, benefiting from additional federal funding known as the enhanced Federal Medical Assistance Percentage (FMAP).
Key findings from the report include:
- Eliminating FMAP could shift more than $44 billion in costs to expansion states.
- States like North Dakota would see Medicaid spending jump by nearly 50%, while Indiana, Montana, Nebraska, Oregon, Colorado, Washington, and New York could face increases of about one-third.
- If states roll back Medicaid expansion due to the loss of federal support, nearly 16 million people nationwide could lose coverage — with about 11 million becoming uninsured.
West Virginia, in particular, could experience some of the most severe impacts. The study projects that the number of uninsured individuals in the state would nearly double if Medicaid expansion is reversed.
Other states predicted to see sharp increases in uninsured rates include the District of Columbia, Iowa, Kentucky, Louisiana, Michigan, New Mexico, New York, and Pennsylvania.
The potential cuts raise concerns for healthcare facilities already grappling with financial instability. East Ohio Regional Hospital (EORH), which has faced well-documented cash flow challenges, could be further strained as Medicaid funding plays a crucial role in supporting hospitals that serve low-income populations.
“Eliminating FMAP might reduce federal spending, but it places states in a tough position — either find billions in new revenue or force millions off Medicaid,” the report’s authors stated.
The Urban Institute, a nonprofit dedicated to advancing social and economic policy research, emphasized that without federal support, states like West Virginia and Ohio could face hard choices that directly affect the healthcare coverage of their most vulnerable residents.
As the debate over federal Medicaid funding continues, healthcare providers and policymakers alike are bracing for the possible repercussions.
