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Medicaid Work Rule Leaves Homeless People in the Cold

Federal officials say homeless enrollees may still qualify under other exemptions, but states must verify eligibility before coverage can continue.

  • Federal Medicaid work requirements now exclude homelessness as an automatic exemption, despite previous state proposals seeking such protections. Federal officials confirmed states must adhere strictly to the federal exemption list.
  • CMS Administrator Mehmet Oz touted the new regulations as a "path to prosperity" during a press conference in June, arguing "We need to get people to try to work." The federal government finalized these requirements in spring.
  • Tywon Pugh, a Missoula resident experiencing homelessness, has seizures that make employment difficult and faces hurdles maintaining Medicaid coverage. His doctor, Atarah Sidey, told him "You got this, though, Tywon," as he seeks addiction treatment and stable work.
  • Social workers like Dustin Goss at Samaritan House in Kalispell fear vulnerable enrollees will get "tangled in bureaucratic tape" when proving eligibility. Goss noted people struggle to gather paperwork while homeless.
  • The Congressional Budget Office projects more than 5 million people could lose health coverage by 2034 as Montana and other states implement these requirements this October. Most states begin implementation in January.
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KFF Health NewsKFF Health News
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Medicaid Work Rule Leaves Homeless People in the Cold

MISSOULA, Mont. — Tywon Pugh has seizures that make it hard to find and keep a job. “They called me a ‘liability to the job site,’” Pugh said, recalling the words of his manager when a seizure cost him his last job at a fast-food restaurant in this western Montana city. When the 46-year-old lost work in the past, his wife of 10 years covered their rent and he tended to their home until he found another job. But his wife died last year. Soon afte…

·San Francisco, United States
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KFF Health News broke the news in San Francisco, United States on Thursday, August 6, 2026.
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