US House Republican bill cuts hundreds of millions of dollars from Minnesota, will impact health care and food support for tens of thousands of Minnesotans

ST. PAUL, MN - Congressional Republicans’ “One Big Beautiful Bill” would result in Minnesota losing $500 million annually from Medicaid, over $100 million in enhanced tax credits for MNsure enrollees, and $244 million annually in food support. Tens of thousands of Minnesotans’ access to health care and nutrition would be compromised because of this bill.

“Republicans in Congress are taking away Americans’ ability to go to the doctor and put food on the table in order to give a tax cuts to billionaires,” said Governor Walz. “Make no mistake: The state will not be able to compensate for the hundreds of millions in federal funding we are going to lose if these cuts are enacted. The victims of this legislation will be families, children, veterans, rural Americans, and pregnant moms. I expect Minnesota’s congressional republicans to reject this bill.” 

Earlier this spring Governor Walz and state officials conducted a series of statewide roundtables highlighting proposed federal health care cuts. From late March through late April, the state convened seven roundtable discussions connecting with people across Minnesota to discuss significant damage to Medicaid and health care funding if Congress moves forward with proposed cuts. 

“The bill is inefficient, ineffective and fundamentally unfair,” said John Connolly, state Medicaid director. “In addition to funding cuts, it presents an obstacle course of red tape, hurdles and traps, which drive up administrative costs and force states, counties and Tribes to push qualified Minnesotans off health care coverage. Tens of thousands of Minnesotans will lose their medical insurance entirely, leading to skipped preventive care, worse health outcomes and higher costs.” 

“We know that food insecurity isn’t just about hunger. It's directly tied to chronic illness, developmental delays in children, and rising health care costs,” said DCYF Commissioner Tikki Brown. “When SNAP is cut, people get sick, kids fall behind in school and our health and education systems pay the price. Layer Medicaid cuts on top of that, and it doesn’t just deepen the crisis — it pushes families to the brink of financial collapse.” 

"Donald Trump and the Republicans in Congress are taking away health care and food assistance from millions of Minnesota children and families to give massive tax cuts to the wealthiest Americans. This is morally bankrupt," said Senate Majority Leader Erin Murphy. "Their actions are imperiling not just the state’s budget, but those of counties, communities, and individual households across Minnesota. Our state’s Republican members of Congress are accountable to Minnesota families first and foremost; not to Donald Trump. I expect them to fight for our state and our people, rejecting these disastrous cuts while they still can.”

“The plan in motion from Donald Trump and his Republican allies in Congress to slash Medicaid and SNAP would be devastating for Minnesota families, and it would also lead to a massive strain on our state budget,” said Speaker Emerita Melissa Hortman. “As Democrats, we are going to keep standing up to fight cuts that will lead to fewer people getting the care they need and more people going hungry.”

The bill will also have devastating consequences for tens of thousands of Minnesotans who buy health insurance on the individual market and don’t have any other access to affordable coverage. The sprawling package includes multiple provisions that will restrict access to health insurance, increase costs, and impose new administrative burdens on families and individuals who use state-based marketplaces like MNsure. 

“This legislation will make health coverage for Minnesota’s working families much more expensive and much harder to access and maintain,” said Libby Caulum, CEO of MNsure. “If passed, it would turn back the clock on the progress we’ve made, leaving more Minnesotans uninsured and increasing the burden of uncompensated care on our health care system.” 

More details on the impact federal cuts to Medicaid can be found at the Department of Human Services Medicaid Matters website.