States Rush To Figure Out How To Enforce Trump鈥檚 Medicaid Work Requirements

A document with Medicaid eligibility and stethoscope.
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State officials remain uncertain on how to enforce a requirement that many adult Medicaid enrollees show they鈥檙e working 鈥 even as one state launches its program this week 鈥 and they鈥檙e taking a variety of approaches to the job, including, in a handful of states, using artificial intelligence.

A from 42 states and the District of Columbia offers insights into key policy decisions state officials face as the Jan. 1, 2027, deadline for implementing the work requirement nears. Lingering questions include which diseases and illnesses will qualify Medicaid beneficiaries for exemptions and how to automate compliance verification. 

Federal guidance is not expected to be released until June. But some states are moving forward with their own definitions of 鈥渕edical frailty,鈥 which under congressional Republicans鈥 One Big Beautiful Bill Act will allow Medicaid enrollees to escape the requirement.

The law, President Donald Trump鈥檚 signature domestic achievement, revamps Medicaid in more than 40 states that, along with Washington, D.C., fully or partially expanded the program for low-income people to cover adults without children who don鈥檛 get insurance through a job. While most adult Medicaid beneficiaries already work or are disabled, caregivers for other people, or in school, many Republicans contend that people enrolled in the program who don鈥檛 work sap resources that ought to support low-income children, pregnant women, and disabled people.

gained Medicaid coverage from the expansion, created by the Affordable Care Act 鈥 a law that most Republicans still oppose.

The new work rules require that a person be a student at least part-time or work or participate in other qualifying activities, such as community service, for at least 80 hours each month. The requirement could potentially reshape who is eligible for Medicaid and applies to people who are already enrolled.

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The Congressional Budget Office will reduce federal Medicaid spending by about $326 billion over 10 years. The agency also estimates that 4.8 million more people will be uninsured in 2034 because of the work requirement.

鈥娾淎 lot of states are working on a super-condensed timeline,鈥 said Amaya Diana, a policy analyst at 麻豆女优 who worked on the survey. They are 鈥渟till making these big decisions with less than a year before implementation.鈥

麻豆女优 is a health information nonprofit that includes 麻豆女优 Health News.

The law permits short exemptions from work requirements for enrollees experiencing certain hardships 鈥 natural disasters, residing in a county with a high unemployment rate, admission to a hospital or nursing home, or having to travel for an extended period to obtain medical care.

While 28 states and Washington, D.C., will offer hardship exemptions, three of those states won鈥檛 adopt all four exemptions allowed by the law and two 鈥 Iowa and Indiana 鈥 don鈥檛 plan to adopt any.

People can also be exempted from the work requirements if they are 鈥渕edically frail.鈥 But the federal government has not told states how to define that term or how to determine whether an enrollee falls into the category.

The survey showed that 21 states, as of March, had not defined medical frailty. Nebraska, which is implementing its work requirement May 1, recently issued a list of thousands of health conditions that could qualify enrollees as 鈥渇rail鈥 and exempt them from working.

Some states plan to allow patients to self-attest to medical frailty, while others will require confirmation by a medical professional. The most common way of verifying medical frailty, which will be used in just over 30 states, is by examining Medicaid claims data.

Mehmet Oz, administrator for the federal Centers for Medicare & Medicaid Services, told 麻豆女优 Health News in an interview this week that 鈥渨e don鈥檛 like self-attesting鈥 and that 鈥渄ocumentation is critical.鈥

Many beneficiaries and their advocates have expressed concerns about losing coverage for administrative reasons. When Arkansas briefly implemented Medicaid work rules, for instance, most lost coverage not because they did not meet the requirements but for failing to correctly submit paperwork in time.

Six states plan to use AI to assist with the work requirement implementation in some way, such as for document processing or comparing beneficiary data from different sources, 麻豆女优 found. Two states, Maryland and New Mexico, plan to use AI to analyze claims data.

Three states 鈥 Arkansas, Missouri, and Oklahoma 鈥 plan to use AI to interact directly with people on Medicaid and assist them with identifying and uploading verification documents and data.

Adults on Medicaid will have to reverify that they鈥檙e working, or that they鈥檙e exempt from the requirement, at least every six months. Some states plan to check quarterly.

When possible, states must use available data sources to verify exemptions or compliance with work requirements.

For example, data from the National Student Clearinghouse will be used by about 10 states to verify school attendance. Some states also plan to tap sources including the Department of Veterans Affairs, AmeriCorps, and service commissions.

But more than half of states told 麻豆女优鈥檚 researchers that they have insufficient time to add new data sources and cited ongoing costs as a challenge.

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