Potential cut to Medicaid sparking fear for some, optimism for others

RALEIGH, N.C. (WTVD) -- With the current White House Administration aiming to cut billions in federal spending, some fear health insurance programs for lower-income Americans could be on the chopping block.

In North Carolina, at least a fifth of working-age adults in small towns and rural areas are covered by Medicaid.

"When my son was born, he had to start chemotherapy at six weeks old, and I had no clue that that was going to happen. I ended up having to quit working to care for him. And so I'm one of countless North Carolinians who can say that Medicaid literally saved their child's life," said Felicia Burnett, MomsRising.

Burnett is the National Director for Healthcare for MomsRising. It was that experience with her son that prompted her to join the group that advocates for the health and well-being of women and children.

"We've spoken with parents, thousands of parents all across the state and all 100 counties. Medicaid really serves people in so many different ways that we don't even understand," she said.

A recent study published in the Journal of American Medical Association shows how a state pilot program in three rural communities in North Carolina helped reduce Medicaid costs long term.

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The NC Health Opportunities program provides assistance with things like transportation, food, and housing and was approved in 2024 for up to $650 million over five years.

"The idea is that by paying for some of these services, we could not only improve people's health but reduce the need for some of the downstream consequences of poor health, like the need to go to the emergency department or be hospitalized or have overall high rates of health care spending," said Seth Berkowitz, Associate Professor of Medicine UNC.

Berkowitz said the study found over time spending trended downward by an average of $85 per beneficiary per month.

"I think there's a lot of uncertainty right now. And it seems like funding for all aspects of Medicaid is a little bit up in the air. And so we don't know. But I think it certainly is the case that programs like the one that we evaluated could be under threat with budget cuts, as could just our regular Medicaid services," said Berkowitz.

Mothers and advocates feel the same.

"It will impact everyone across the board because Medicaid makes up a significant chunk of our state's budget, and so is the federal government cuts Medicaid," said Burnett.

The group said it will continue to share the stories of families especially those in rural areas that receive Medicaid with lawmakers.