LANSING, Mich. (Michigan News Source) – If you thought Medicaid was just a safety net, think again. In Michigan, it’s becoming the hammock. According to the Michigan Department of Health and Human Services June 4 “Michigan’s Medicaid Program” report, over 2.6 million Michiganders – roughly 1 in 4 – are now enrolled in Medicaid. As we reported previously, the number of Michigan residents on Medicaid jumped a whopping 45% over only six. years.
In seven counties, that number jumps to about 1 in 3. In Wayne County alone, over 40% of residents rely on the government for their health care. Medicaid provides insurance for low-income individuals, families, people with disabilities, children and others. The other counties include Clare, Genesee, Lake, Ogemaw, Oscoda and Saginaw.
Big bill, bigger dependency.
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Michigan’s Medicaid budget for FY2025 clocks in at a massive $27.8 billion, making up 34% of the entire state budget. Of the total funding, about 70% comes from the federal government.
That most likely explains why Michigan Democratic Governor Gretchen Whitmer and other Democrats are predicting doom and gloom over what they describe as “cuts” to Medicaid through President Trump’s “Big Beautiful Bill.”
Michigan Democrats, led by Governor Whitmer and state party officials, have been warning of a looming “Medicaid apocalypse” following the passage of the new Trump-backed bill on July 4, predicting massive losses in Medicaid, SNAP benefits, and rural hospital closures.
When free isn’t really free.
The White House claims $56 billion was wasted in 2024 on able-bodied adults abusing the program. Even if fraud isn’t the main issue, the scale of dependency in Michigan and around the country (1 in 5 individuals) raises eyebrows.
Michigan’s Medicaid expansion under the Affordable Care Act was intended to increase access to healthcare, but it has instead helped grow a system that now consumes more tax dollars than any other state program.
According to Bridge Michigan, the number of residents relying on Medicaid has ballooned from 1 in 8 in 1991 to 1 in 4 today. Work requirements for able-bodied adults were eliminated after a 2020 lawsuit by Gov. Gretchen Whitmer, but the recently passed Big Beautiful Bill aims to reinstate those rules, signaling a shift toward tightening eligibility and accountability.
A lifeline or a crutch?
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Medicaid has become a vital source of health coverage for many Michiganders, largely due to decisions made by the state’s lawmakers over the years. Supporters say the program is essential for children, seniors, individuals with disabilities, and rural communities. But with enrollment now covering about one in four residents – including nearly half of all births and many able-bodied adults – critics are beginning to question whether the program’s growing scale is sustainable and what it means for the future direction of Michigan’s healthcare system.
