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Medicaid cuts would harm Nebraska veterans

May 20, 2025

Medicaid is not just a government program — it's a lifeline. For over 71 million Americans, it means access to basic care, stability and dignity. But a proposal in Congress to cut $880 billion from Medicaid over the next decade threatens to unravel that lifeline for families, communities and health care systems—including here in Nebraska.

These cuts won't eliminate inefficiencies. They'll fall hardest on disabled children, aging seniors and veterans — people already facing the steepest hurdles to care. In Nebraska, more than 345,000 people rely on Medicaid or CHIP, including over half of all children. For many families raising children with disabilities, losing coverage would mean fewer therapies, longer wait times and greater financial stress.

Seniors face a different but no less urgent risk. Medicaid supports nearly two-thirds of all U.S. nursing home residents. In Nebraska, 15 counties already lack any nursing home or assisted living facility. Further cuts could force more closures — leaving families without options for their aging parents.

Veterans are also at risk. More than 110,000 Nebraskans have worn the uniform. While some receive VA benefits, over 10,000 depend on Medicaid for services the VA doesn't cover — such as long-term care or mental health treatment. Another 10,000 veterans are uninsured entirely. Reducing Medicaid would leave those who served our country without the care they've earned.

The threat isn't just personal — it's structural. Medicaid keeps Nebraska's hospitals, rural clinics and safety-net providers afloat. During the pandemic, MercyOne Oakland Medical Center shut down inpatient care. Clinics in Sidney and Chappell closed.

In Omaha, providers like Charles Drew, CHI Health and OneWorld are already stretched thin. When facilities close, care delays rise and outcomes worsen — especially in emergencies or childbirth, where time can mean life or death.

More than half of Nebraska's hospitals are designated Critical Access Hospitals, operating on razor-thin margins. At any time, 50%-60% of them report financial losses. Medicaid cuts would deepen that crisis, forcing hospitals to scale back or shut down entirely — costing jobs, reducing access and placing more strain on emergency systems statewide.

Supporters of these cuts often cite fiscal responsibility. That's a worthy goal — but we must be smart about how we save. Real savings come from modernizing how we pay for care, not by limiting who receives it. Shifting to value-based care and addressing prescription drug costs would improve outcomes and reduce expenses without sacrificing coverage.

Medicaid has long been a quiet pillar of our nation's safety net. When decisions are made far from the bedside or the therapist's waiting room, the consequences are easy to ignore. But they're very real — for the people, providers and places that rely on this program.

Now is not a moment for silence. It is a test of our values — and a chance to shape the future we want to live in.

We can build a Nebraska where our neighbors don't fall through the cracks, where rural hospitals stay open, and where our children, elders and veterans get the care they deserve. That future isn't guaranteed — it's ours to claim, but only if we speak out and stand together.

Kishla Askins, Omaha Former deputy assistant secretary for the U.S. Department of Veterans Affairs

https://omaha.com/eedition/sunrise/articles/article_52b5b5d6-4c90-500a-84f0-74bbdcaf8b58.html