Some northwest Minnesota residents worried for proposed federal budget cuts' impact on Medicaid

Yahoo

03-05-2025

May 3—CROOKSTON, Minn. — A provider of mental health and substance use disorder services hosted U.S. Rep. Michelle Fischbach and members of a regional organization that has concerns about potential federal budget cuts.
The visit allowed a conversation between the organization and Fischbach, R-Minnesota, to address worries from northwest Minnesota, said Michelle Van Camp, chief marketing and communication officer at Alluma.
"She did a lot of listening," she said. "From my perspective, watching it happen, it was great."
Fischbach visited Alluma's Northwestern Apartments in Crookston. She toured the apartments and spoke with members of the Northwest Minnesota Council of Collaboratives, which is made up of different organizations across eight counties. Education and social services representatives were some of those present for Fischbach's visit, Van Camp said. The council had sent Fischbach a letter voicing worries over the proposed $880 billion in federal budget cuts targeted through the Energy and Commerce Committee. Member concerns focused mainly on Medicaid in rural Minnesota, Van Camp said, though touched on other topics such as education and elder care.
About 60% of Alluma's clients use Medicaid and would struggle without it, Van Camp said. Alluma provides mental health, substance use, crisis and housing support services. The Northwestern Apartments have 14 beds and are used by people in recovery or transitioning between levels of care. Usually, people spend six to nine months at the apartments, she said, but recently the stays have increased up to a year and a half. In a press release, Northwest Apartments Supervisor Amy Hillebrand said people have been staying longer because there aren't enough housing options offering the proper level of care, and some return later because there aren't other available housing options that are safe, affordable and appropriate for the individual.
"Sometimes Northwest Apartments is still the best place for them to be safe, well and supported," she said.
Shauna Reitmeier, Alluma's executive officer, added, "so many people we serve don't qualify for disability benefits. ... Disproportionately, mental health and substance use care depend on that Medicaid expansion to gain access to health care."
In regards to the $880 billion in proposed cuts, Reitmeier said, "it's hard to see how they will do that without touching Medicaid."
Van Camp said Fischbach spoke to members of the northwest council to try and give them a better understanding of what's been happening, and how there are decisions to be made at federal and state levels. Now is the time to prepare and wait to see what happens, Van Camp said. Alluma is using the time to work on opening up a fourth bed after opening three at a new residential property.