Bowser Proposes Medicaid Cuts, Affects 25,000 DC Residents

D.C. Mayor Muriel Bowser's proposed fiscal year 2026 budget includes significant cuts to healthcare programs serving undocumented immigrants and low-income adults, aiming to address a growing budget shortfall and an anticipated $182 million rise in Medicaid costs. The plan calls for phasing out undocumented adults over 21 from the D.C. Healthcare Alliance program starting August 1, requiring in-person reenrollment every six months or two years, and moving about 25,000 Medicaid recipients who earn above income thresholds to other health plans like the D.C. Health Exchange or a Basic Health Plan, potentially increasing out-of-pocket costs. City officials cite shrinking federal support and rising costs as reasons for these changes, which are expected to save $457 million over four years by shifting payment models and reducing program enrollment. Advocates warn these cuts could disrupt care, increase uninsured rates, and burden emergency services, while Bowser emphasizes the necessity of tough decisions amid declining revenues, including a potential $1 billion drop linked to federal workforce reductions. The budget also includes no tax increases and maintains funding for police, teachers, and summer programs, but faces criticism for placing heavy burdens on vulnerable populations and prioritizing pro-business initiatives. The D.C. Council will review and vote on the budget, with advocacy groups preparing to oppose the proposed healthcare restrictions.