Nebraska stands as the first state in the U.S. to enforce work requirements for Medicaid, following President Trump’s 2025 budget law. These new rules, aimed at fostering economic stability, require approximately 20 million people across 44 states to either work or volunteer 80 hours monthly, participate in school, or enroll in job training programs to maintain their Medicaid benefits. The exemptions apply to individuals with disabilities or severe illnesses, parents of young children, caregivers, and other select groups.
On Saturday, around 200 Nebraskans will lose their Medicaid coverage due to non-compliance, as mentioned by Nebraska’s Medicaid Director, Drew Gonshorowski. He stressed that measures are in place to extensively review any denial to prevent unintended coverage loss. Gonshorowski supports these requirements, suggesting they assist in lifting people from poverty and may lead to a federal saving of $325 billion over a decade.
Nebraska implemented the work requirements earlier than the mandated deadline, leveraging its independently run eligibility system. Gonshorowski expressed confidence in efficiently monitoring compliance without seeking additional information from beneficiaries.
The state launched a robust communication campaign through letters, texts, emails, and media ads to inform residents of the changes. However, some advocates argue these notifications were unclear, leading to confusion among low-income residents. Nebraska’s average wait time for its Medicaid help line is reportedly ten minutes, with ongoing efforts to enhance outreach and communication by coordinating weekly with federal officials.
As coverage termination initiates on August 1, Gonshorowski will closely observe appeal dynamics as a measure of the implementation’s success. The state plans to utilize the newly acquired data to help those affected find employment opportunities, working collaboratively with the state labor department.
Opponents of the work requirements point to prior research indicating a lack of success in improving employment rates among those impacted by such policies, while estimates suggest that between 3 to 8.6 million people nationwide might lose coverage by 2028. Despite the controversy, Nebraska remains committed to aiding its citizens in finding gainful employment through these changes.