Michigan’s new Democratic governor is attempting to reverse course on steps taken by her Republican predecessor to require childless, able-bodied beneficiaries of the Obamacare Medicaid expansion to meet work, training or community service requirements. In a February letter to the federal administrator of the program, Gov. Gretchen Whitmer called the work requirements “onerous.”
In the letter, Whitmer cited an analysis by the Manatt law firm, which predicted that Michigan’s new Medicaid work requirements would cause 61,000 to 183,000 people to lose their health coverage over the course of a year.
Doug Badger, senior fellow at the Galen Institute, says when so few individuals who were eligible for the Medicaid expansion in Arkansas re-enrolled, they made a rational decision that they were better off without the benefits.
“If you don’t report any work activity at all, after being told that this would cause you to lose benefits, that suggests that you don’t value the benefits very highly. This is consistent with research showing that Medicaid recipients receive about 20 to 40 cents of benefits for every dollar of Medicaid spending,” Badger said.