Proposed Health Care Changes and the Impact on Nonprofits and the Communities They Serve

Dear Minnesota Nonprofit Leaders,

We’re writing today regarding the proposed changes to the Affordable Care Act (ACA) and Medicaid that were introduced in the U.S. House yesterday, called the American Health Care Act (AHCA). Now is the time to speak together as nonprofit leaders on this serious threat to the well-being of our community.

This is an issue that is important to all nonprofit organizations across the sector. We invite you to act today.

Since the implementation of the ACA, the share of Minnesotans without health insurance has reached an all-time low. But the proposed changes would reverse course on these coverage gains.

This plan proposes fundamental changes to Medicaid that would greatly reduce federal funding by billions of dollars and shift costs to the states. The result would be the loss of health care for seniors, people with disabilities, children and many other Minnesotans. It would also likely result in lower state reimbursements to our health care providers, hospitals, community health centers and nursing homes, many of which are nonprofits.

A loss of federal funding this large also would put pressure on other areas of the state budget, including those where nonprofits partner thoughtfully with policymakers to fund key programs and to leverage additional private funds. Grants, appropriations and bonds that nonprofits receive from the state are at risk if additional state resources are needed to cover some of the loss in federal health care dollars.

In addition, the AHCA would likely result in increased health care costs for those who can least afford it, because it replaces the current system of health care premium subsidies with tax credits that aren’t well targeted by income and aren’t based on the cost of insurance.

These are losses Minnesota cannot afford.

As a nonprofit leader, you know the importance of affordable health care to your community. Our policymakers need to hear that Minnesota nonprofits oppose ACA replacement plans that would reduce health care coverage and raise the cost of health care. Let your representative know that:

  • You oppose limiting federal Medicaid funding through a per capita cap or block grant, and ending the Medicaid expansion.
  • Any ACA replacement must not provide struggling Minnesotans with less help in affording quality health care than they currently receive.

Votes on this or similar legislation are expected to start this week. Contact your federal legislators today!

Please look to the Minnesota Council of Nonprofits and the Minnesota Budget Project to continue providing you updates and action opportunities on health care and other sector-wide issues.

Your advocacy makes a difference – thank you for making your voice heard!

Jon Pratt                                      Rebecca Lucero
MCN Executive Director                 MCN Public Policy Director



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