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Feds Tell Colorado to Repay $8 Million in Medicaid Money

The ruling leaves the new Medicaid rules in place as states argue the federal timeline will strain staffing and implementation capacity.

  • On Thursday, U.S. District Judge Richard Stearns denied a preliminary injunction request from 26 states seeking to pause Medicaid work requirements scheduled for implementation by January 1, 2027.
  • Stemming from the 2025 One Big Beautiful Bill Act, the rules mandate beneficiaries aged 19 to 64 engage in 80 hours of qualifying activities monthly, a "tight timeline" states argue they lack capacity to meet.
  • Plaintiffs opposed CMS guidance redefining "medically frail" exemptions, arguing it "improperly limits" protections for individuals with serious conditions by requiring they prove their condition "significantly impairs" their ability to work.
  • Judge Stearns noted the federal government committed to covering 90 percent of implementation costs, stating that financial damages alone fail to justify the "extraordinary measure" of an injunction.
  • The legal challenge will proceed with hearings expected before the January 1 deadline, while the American Medical Association and other medical groups continue opposing the policy as threatening coverage for patients with severe illnesses.
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43 Articles

New Jersey MonitorNew Jersey Monitor
+5 Reposted by 5 other sources
Lean Left

Judge rejects states’ bid to block Medicaid work rules

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InsideNoVA.comInsideNoVA.com
+25 Reposted by 25 other sources
Center

Feds tell Colorado to repay $8 million in Medicaid money

(The Center Square) - The federal government is demanding an $8 million repayment from Colorado for inaccurate Medicaid payments.

·Washington, United States
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  • 42% of the sources are Center
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STAT broke the news in Boston, United States on Thursday, July 30, 2026.
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