Congressional Republicans are pushing ahead with a plan to cut Medicaid spending to pay for a slate of tax breaks on the wealthy pushed by Trump, a move that would punch a massive hole in Alaska’s budget and cut off health care for tens of thousands of Alaskans.
Legislators warn it could be a disaster.
As one of the final acts of the legislative session, the Alaska Legislature approved a resolution asking the state’s congressional delegation to oppose the cuts and maintain a program that provides coverage for one in three Alaskans. Senate Joint Resolution 15 cleared the House on Sunday by a vote of 27-13 and the Senate on Monday by 14-6.
Backers of the measure warn that the Republican plan, as currently proposed, would cut nearly $200 million in annual federal Medicaid spending and potentially deny health care to as many as 40,000 Alaskans. While Republicans insist they’re not directly cutting the program with their proposed work requirements, critics say they create paperwork hoops that not everyone will be able to comply with, even if they’re fully employed.
“It’s administratively burdensome on the state,” said House Health and Social Services Committee chair Rep. Genevieve Mina, D-Anchorage, about the work requirements. She told the Alaska Current that the state is already struggling mightily with administering its food stamp program. “Most people on Medicaid work, and the people who don’t are either care giving or they have difficulties being able to work for a variety of reasons.”
Other legislators have argued that Medicaid plays a particularly important role in delivering health care in rural communities, and several areas would likely lose coverage altogether without Medicaid funding. They also warn that the 40,000 people who stand to lose coverage would likely go without coverage, contributing to worse overall health in the state and a higher usage of costly emergency room visits, which ultimately raise health care costs for everyone.
Alaska’s Congressional Delegation has been mixed on Medicaid. While Sen. Lisa Murkowski has been supportive of the program and generally opposed to cuts, Sen. Dan Sullivan and Rep. Nick Begich have either been noncommittal or even suggested openness to cuts. Begich, the state’s lone member of the House, has so far been a reliable vote for the GOP on pushing Medicaid cuts to pay for tax cuts.
Still, the grave situation Alaska faces if the cuts come to pass is increasingly hard for lawmakers to ignore. At his news conference on Monday, Alaska Republican Gov. Mike Dunleavy, who has also been a cheerleader of Trump and the GOP, conceded that he is concerned that Alaska could be hurt by the cuts.
“My concern is that Alaska may end up losing money in this process,” he said. “I would hope that whatever decision is made at the federal government, that the floor doesn’t drop out on states like Alaska — but if they’re going to decide to reduce things, that we’re given some time to adjust to that.”
Matt Acuña Buxton is a long-time political reporter who has written for the Fairbanks Daily News-Miner and The Midnight Sun political blog. He also authors the daily politics newsletter, The Alaska Memo, and can frequently be found live-tweeting public meetings on Bluesky.
