A coalition of 25 Democrat-led states and the District of Columbia filed a lawsuit Monday challenging the Trump administration’s rules implementing new Medicaid work requirements. The suit claims the work regulations unlawfully restrict exemptions for medically vulnerable recipients.
The lawsuit, filed in federal court in Massachusetts, seeks to overturn the administration’s rule governing eligibility exemptions tied to the work requirements.
The states contend the rule conflicts with congressional intent by making it more difficult for individuals with illnesses to qualify for exemptions.
According to the complaint, the Trump administration’s policy will “cause immediate and irreparable harm” to state Medicaid programs.
The lawsuit argues the rule “will further strain safety net providers, lead to more uncompensated emergency care, and raise other costs associated with newly uninsured, medically frail residents.
And it will cause rural hospitals to be even more likely to shutter.”
The legal challenge was brought by 23 Democratic attorneys general along with the Democratic governors of Kentucky and Pennsylvania, both of which have Republican attorneys general.
The states also allege the Centers for Medicare and Medicaid Services (CMS) violated administrative procedure laws by adopting a rule that differs significantly from earlier guidance provided to states on implementing the work requirements.
The Trump administration has defended Medicaid work requirements as part of an effort to ensure public assistance programs are directed toward eligible recipients while encouraging workforce participation.
Under the policy, Medicaid beneficiaries must complete at least 80 hours of work or other approved activities each month to maintain coverage no later than Jan. 1.
States must begin notifying Medicaid recipients by Aug. 31 about how they can comply with the new requirements.