Proposed Medicaid cuts threaten lifeline for Tennessee caregivers
Published 9:55 am Tuesday, April 22, 2025
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A Tennessee nonprofit is warning that potential Medicaid cuts could threaten crucial support for the state’s nearly 1 million family caregivers.
Medicaid supports 4.5 million individuals through home health care services nationwide.
Megan Schwalm, president and CEO of the Tennessee Caregiver Coalition, said more than half of its funding comes from the now-dismantled Administration for Community Living, which has been folded into the Department of Health and Human Services.
Schwalm said federal funding cuts have affected the coalition, which provides respite services for people caring for loved ones with dementia or other serious conditions.
“Our state typically reimburses at $23.44 an hour for respite, and so us being able to provide at about $5 an hour is a huge cost savings,” said Schwalm. “But with those cuts to Medicaid and the Administration for Community Living, we won’t be able to provide those services any longer.”
She said the funding cuts have already forced the loss of a staff position and nearly all outreach efforts for respite services across Tennessee.
Medicaid is jointly funded by states and the federal government, but Congress is proposing cutting Medicaid spending by $880 billion over 10 years.
According to AARP, Tennessee already ranks poorly among states for its lack of supports and services for caregivers and people with disabilities.
Schwalm acknowledged that Medicaid could benefit from reform, but she said dismantling it without a clear, comprehensive plan would be detrimental to the people of Tennessee.
“These cuts to Medicaid are coming, but there is no safety net in place,” said Schwalm. “There is no alternative. And so it is very unclear what will happen to these folks in these programs.”
She emphasized the importance of Tennesseans letting their elected officials know how they feel about safeguarding these safety net programs.