Medicaid Cuts in Trump’s ‘Big, Beautiful Bill’ Could Strip Health Coverage from 700,000 in Michigan

MICHIGAN — A sweeping new federal spending bill championed by former President Donald Trump could strip health care coverage from hundreds of thousands of Michigan residents, raising alarm across the state’s hospitals, advocacy groups, and families already struggling to afford essential care.

Known as the “One Big, Beautiful Bill”, the legislation passed the U.S. Senate on July 1, including sharp cuts to Medicaid, slashes to SNAP food assistance, and tax breaks that critics say would disproportionately benefit the wealthy while gutting programs that serve the state’s most vulnerable.

According to a report by the Citizens Research Council of Michigan, between 200,000 and 700,000 Michiganders could lose health insurance coverage if the bill becomes law.

Families Like George’s Could Be Devastated

Among those directly at risk is 6-year-old George Johnson, a kindergartner from Warren, Michigan. Born with Down syndrome, George relies on Medicaid to access speech therapy, heart defect treatment, and a host of critical medical specialists.

His mother, Taylor Johnson, told the Detroit Free Press that without Medicaid, the family would face the unbearable choice of downsizing their home or sacrificing George’s care. “It would be just unbelievably expensive,” she said. “It’s very personal.”

The family already buys Affordable Care Act coverage for themselves and George’s sister, but cannot afford to add him due to the extensive care he requires. George currently thrives with his condition thanks to the state’s MIChild Medicaid program — a program now hanging in the balance.

State Faces $2–$4 Billion in Lost Health Funding

The proposed Medicaid reductions would slash $1 trillion nationwide, according to the bill, which Trump says is aimed at “eliminating waste, fraud, and abuse.” But in Michigan, it could mean the loss of $2 to $4 billion in health funding, putting hospitals, nursing homes, and clinics under intense financial strain.

Dr. Mark Fendrick, a physician and director of the University of Michigan Center for Value-Based Insurance Design, warned the cuts would reduce preventive care, increase uncompensated hospital visits, and force layoffs or closures — particularly in rural areas.

“Just because the government won’t be providing insurance doesn’t mean people won’t get sick,” said Fendrick. “If they can’t pay, hospitals will bear the cost.”

Nursing Home Residents Could Be Displaced

Megan Callahan, 39, of Shelby Township, worries about her 72-year-old mother, Colleen Callahan, who suffers from advanced dementia. Medicaid currently helps cover her $10,000/month nursing home care through the Spousal Impoverishment Program.

If the bill passes, Megan fears losing that lifeline: “I may have to quit my job and move back to Wisconsin,” she said. Even if her mother qualifies for continued care, she worries about staffing cuts or facility closures. “We might lose that smile from my mom’s face,” she added.

A survey by the American Health Care Association found that 27% of nursing homes said they would have to shut down if the proposed cuts are enacted.

Critics Say Cuts Will Increase Poverty and Hunger

The Michigan League for Public Policy issued a stark warning, calling the bill “a historic redistribution of wealth from poor to rich.” The group says 1.4 million Michiganders rely on SNAP, including 41,000 veterans.

“Republican leaders just voted to increase poverty and hunger,” the nonprofit said in a statement, slamming the cuts as “the biggest redistribution of wealth in U.S. history.”

Hospitals, too, are ringing alarm bells. The American Hospital Association described the legislation as doing “irreparable harm” to the U.S. health care system by reducing access and undermining the ability of providers to care for patients.

House Vote Looms as Families Brace for Fallout

The bill now awaits final consideration in the U.S. House, with Trump pushing for passage before the July 4 holiday. Critics continue to call for a more measured approach.

“We agree that we spend too much on health care,” said Dr. Fendrick. “But we need a scalpel — not a sledgehammer.”

Are you or someone in your family affected by Medicaid, SNAP, or long-term care programs? Share your story with us at SaludaStandard-Sentinel.com and help us spotlight how these federal changes could reshape life across America.