States pay Deloitte, others millions to comply with Trump law to cut Medicaid rolls
Source: CBS News/KFF News
March 30, 2026 / 5:00 AM EDT
States are paying contractors such as Deloitte, Accenture, and Optum millions of dollars to help them comply with the One Big Beautiful Bill Act a law that will strip safety-net health and food benefits from millions.
State governments rely on such companies to design and operate computer systems that assess whether low-income people qualify for Medicaid or food aid through the Supplemental Nutrition Assistance Program, commonly referred to as food stamps. Those state systems have a history of errors that can cut off benefits to eligible people, a KFF Health News investigation showed. These benefits, provided to the poorest Americans, can mean the difference between someone obtaining medical care and having enough to eat or going without.
States are now racing to update their eligibility systems to adhere to President Donald Trump's sweeping tax and domestic spending law. The changes will add red tape and restrictions. They are coming at a steep price ― both in the cost to taxpayers and coverage losses ― according to state documents obtained by KFF Health News and interviews.
The documents show government agencies will spend millions to save considerably more by removing people from health benefits. While states sign eligibility system contracts with companies and work with them to manage updates, the federal government foots most of the bill. The law's Medicaid policies will cause 7.5 million people to become uninsured by 2034, according to the nonpartisan Congressional Budget Office. Roughly 2.4 million people will lose access to monthly cash assistance for food, including those with children.
Read more: https://www.cbsnews.com/news/trump-medicaid-snap-aid-states-consultants/
At least KFF is willing to tell it like it is (from later in the article) -
quaint
(5,075 posts)Picturelady
(12 posts)quaint
(5,075 posts)At best, and I question whether this is the case, they will pick up 75%.
The states are on the hook for the rest, please note all the discussions regarding discounts.
Additionally, the states will need to pay for health care for all those kicked out of the system.
Plus, due to the increased costs for ACA coverage, middle income families are now struggling, too.
Bayard
(29,657 posts)And more money for waging wars.
not fooled
(6,677 posts)and they will have stripped the nation of every public asset and looted anything that doesn't benefit the wealthy.
The problem that most people don't seem to grasp is that the predators are coming for middle-class programs as well. As Randi Rhodes pointed out a long time ago, they start with the most vulnerable at the bottom of the food chain, then work their way up.