US EditionMinnesota Sues to Block Trump Administration’s Withholding of Medicaid Funds
Minnesota alleges the $243 million Medicaid deferral violates due process and risks cutting services for over 1.1 million enrollees, about 7% of the state’s quarterly funding.
- Minnesota filed suit Monday in U.S. District Court, asking for a temporary restraining order to block Medicaid funding deferral and naming CMS Administrator Dr. Mehmet Oz and HHS Secretary Robert F. Kennedy Jr. as defendants.
- On Feb. 25, federal officials announced a deferral of $259 million citing alleged Medicaid fraud, following a Jan. 6, 2026 action flagging more than $2 billion annually for noncompliance.
- State officials say the action is unprecedented, noting the February 25 deferral is more than 15 times larger than any past deferral and represents roughly 7% of Minnesota's quarterly Medicaid funding.
- State officials warn coverage and services could be disrupted, saying health care for more than 1 million Minnesota residents covered by Medical Assistance faces risk and Ellison's office said the state would be 'irreparably harmed' if funds are withheld and DHS could make cuts to services.
- Managed care organizations handle about $6 billion of the $18 billion under review, and Minnesota says CMS has not provided feedback on its Dec. 31 corrective action plan.
146 Articles
146 Articles
The Epoch Times
Minnesota Sues Federal Government Over Medicaid Funding Freeze
Minnesota filed a lawsuit on March 2 to block the federal government from withholding $243 million in Medicaid funds, saying the freeze could lead to potential cuts in medical services for low-income individuals. The Centers for Medicare and Medicaid Services (CMS) last month temporarily deferred $259 million in Medicaid funds to Minnesota over alleged fraud in the state’s program, according to the court filing. The lawsuit, filed by Minnesota A…
Minnesota Sues Federal Government Over Medicaid Funding Freeze - The Thinking Conservative News
Minnesota filed a lawsuit on March 2 to block the federal government from withholding $243 million in Medicaid funds. The post Minnesota Sues Federal Government Over Medicaid Funding Freeze appeared first on The Thinking Conservative News.
Rural Healthcare Is in the Red as Trump Withholds Medicaid Payments to Minnesota
Editor’s Note: This post is from our data newsletter, the Rural Index, headed by Sarah Melotte, the Daily Yonder’s geographer. Subscribe to get a weekly map or graph straight to your inbox. If I’ve learned anything from my reporting on rural communities, it’s that governmental action (or inaction) that hurts America at large often has an outsized impact on rural residents. It’s something of an axiom. I’ve shared this rule-of-thumb in newsletters…
Columbus Telegram
News & RecordMinnesota files lawsuit over Medicare funding
Minnesota sued President Donald Trump's administration Monday in an attempt to stop it from withholding $243 million in Medicaid funds, warning it may have to cut health care for low-income families if the money is held back.
The Billings Gazette
Minnesota files lawsuit over Medicaid funding
Minnesota sued President Donald Trump's administration Monday in an attempt to stop it from withholding $243 million in Medicaid funds, warning it may have to cut health care for low-income families if the money is held back.
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