Federal policymakers are considering enacting work reporting requirements and other spending reductions for Medicaid in the new Congress.[1] Cuts to Medicaid and other federal programs would have a disproportionately harmful impact in West Virginia, which funds a larger share of its budget through federal dollars than most states. Proposals to reduce federal funding for programs would shift significant costs onto the state budget just as West Virginia faces its own budget crisis.
Medicaid work reporting requirements brought disastrous consequences in Arkansas in 2018-19 until a federal judge blocked the program.[2] Enacting an Arkansas-style work reporting requirement statewide would result in West Virginia’s health care system losing an estimated $270 million annually, 90 percent of which ($243 million) is federal Medicaid dollars, while uncompensated care costs would dramatically increase for providers and the state. Further, an estimated 40,779 residents could be expected to lose their health coverage. Nearly 4,500 job losses in the health care sector and indirectly related industries could be expected.
A new analysis from the WVCBP breaks down the impact by Congressional District.
The First Congressional District would lose an estimated $155 million in Medicaid funds annually, 90 percent of which ($140 million) is federal Medicaid dollars, while uncompensated care costs would dramatically increase for providers and the state. An estimated 23,409 residents in the district would be expected to lose their health coverage.[3] An estimated 2,511 job losses in the health care sector and indirectly related industries could be expected.
Read the full analysis for West Virginia’s First Congressional District here.
The Second Congressional District would lose an estimated $115 million in Medicaid funds annually, 90 percent of which ($103 million) is federal Medicaid dollars, while uncompensated care costs would dramatically increase for providers and the state. An estimated 17,337 residents in the district would be expected to lose their health coverage.[4] An estimated 1,846 job losses in the health care sector and indirectly related industries in the district could be expected.
Read the full analysis for West Virginia’s Second Congressional District here.
[1] WVCBP analysis of potential Medicaid dollars lost and health enrollment changes.
[2] WVCBP analysis of potential Medicaid dollars lost and health enrollment changes.
[3] Sarah Kliff and Noah Weiland, “Medicaid May Face Big Cuts And Work Requirements”, New York Times, November 20, 2024.
[4] Benjamin D. Sommers et al, “Medicaid Work Requirements In Arkansas: Two-Year Impacts on Coverage, Employment, and Affordability of Care”, Health Affairs, 39, No. 9, 2020: 1522-1530.
