March 2025

News from DHS archive

State officials launch statewide roundtables on proposed federal health care cuts

State officials, doctors, patients and advocates kicked off a series of statewide roundtables on March 22 educating Minnesotans on the impact of proposed federal cuts to vital health care programs.

Changes proposed in the U.S. Congress to Medicaid and health care funding could result in $880 billion in cuts to health care programing benefiting 1.3 million Minnesotans. 

While specific proposals have yet to be unveiled, state estimates show that Minnesota could lose as much as $1.6 billion annually in federal support for health care programs serving a wide swath of Minnesotans, including children, those who are pregnant, seniors and people with disabilities.

“The proposed $880 billion target is not just an abstract figure. It represents a direct threat to the health and well-being of countless Minnesotans and the stability of our health care system,” said John Connolly, state Medicaid director. “This significant number underscores the potential harm facing our state, and the truly challenging choices that will have to be made if these cuts are enacted.”

In addition, the looming expiration of enhanced premium tax credits and other changes to the individual market and MinnesotaCare will result in higher health costs for Minnesotans, causing many to lose coverage.

Roundtables have been held in St. Paul and Duluth. More are planned in Mankato, Rochester, St. Cloud and other locations.

For more about the impact of Medicaid in Minnesota, visit mn.gov/dhs/medicaid-matters/by-the-numbers. Minnesota's Medicaid program is called Medical Assistance. 

More information about the Medicaid roundtables, including concerns about proposed federal cuts voiced by a leader in children's health care and a disability advocate, is in a department news release.

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Fact sheet updates

The following fact sheet was updated in the past month.

• Housing Support (PDF)

All DHS fact sheets are available online.

In the news

Minnesota loses $27.5 million in behavioral health funds as part of Trump administration cuts: DHS lost hundreds of contracts, amounting to $27.5 million, as part of massive federal cuts nationally. The contracts included drug prevention programs in schools, treatment and recovery programs for mental health and substance use, and harm reduction strategies. The cuts come at a time of a “national behavioral health crisis” with mental health and substance abuse needs at historic highs, DHS Assistant Commissioner Teresa Steinmetz said on MPR's All Things Considered. 

Minnesota leaders scramble to allocate funding amid proposed Medicaid cuts: As Congress is set to consider cuts to Medicaid funding to states, State Medicaid Director John Connolly spoke about what it would mean for Minnesotans around the state who depend on Medicaid in a wide-ranging interview on WCCO Talking Points.

Concern about proposed cuts to Medicaid shared at roundtables around the state: State officials, doctors, patients and advocates held a roundtable discussion on proposed cuts to Medicaid March 28 in Duluth. Find out what they had to say in a WDIO-TV story.

Money Minute: ABLE savings account: The Achieving A Better Life Experience, or the ABLE Act, was signed into law in 2014. The tax-free savings account gives people with disabilities a chance to save money without affecting Social Security and Medicaid benefits, said Jen Olson, the program integrity supervisor with DHS. Learn more in a KSTP story.

Protecting youth from growing influence of gambling: The intersection of technology, the normalization of gambling in the media, and peer pressure are contributing to a new wave of young gamblers, DHS Assistant Commissioner Teresa Steinmetz wrote in a column in The Phoenix Spirit.