Nebraska Man With Kidney Cancer Loses Medicaid Over New Work Rules
Eli McCreary was told he needed a job to keep coverage, a requirement he says conflicts with his cancer diagnosis and chronic conditions.
By Chioma Brooks ·
Eli McCreary, 64, received a call from a CHI Health hospital in Omaha informing him that his Medicaid coverage had lapsed. The hospital told him to pay out of pocket or cancel his upcoming appointments. McCreary, who was diagnosed with kidney cancer in June, said he was then told by a benefits representative that he had failed to meet a work requirement.
Nebraska implemented these work requirements on May 1 under the One Big Beautiful Bill Act. The state became the first to enforce the rules, eight months ahead of most other states. Adult Medicaid recipients in Nebraska must now prove they are working or participating in similar activities for 80 hours each month, unless they qualify for an exemption. Approximately 70,000 adults in the state are subject to these new rules.
McCreary stated that he has battled drug addiction for decades and was discharged from a substance use treatment program in March. He also suffers from diabetes and chronic obstructive pulmonary disease. Despite these conditions, he said a representative told him, 'You’re required to do work to stay on.. And you haven’t fulfilled your work requirement.' He questioned what job he could secure given that he can barely walk or breathe.
The state of Nebraska has defended its rollout. Jeff Powell, a spokesperson for the Nebraska Department of Health and Human Services, said the program has been very successful. He cited state data showing that 86% of affected applicants met the requirement or qualified for an exclusion, and 93% of existing enrollees kept their coverage. Governor Jim Pillen, a Republican, praised the administration in December for delivering what he called a key reform.
However, advocates and clinics report a different reality. Kenny McMorris, CEO of the Charles Drew Health Center in North Omaha, said that half of his center’s 13,385 patients are on Medicaid, and 42% of those patients are subject to the work requirements. He noted that working patients often lack the time to navigate the new bureaucracy. Call center wait times at the state health department nearly doubled between May and July, rising from 13 minutes to 26 minutes. The department received over 101,000 calls in August, a 66% increase from May.
The implementation has cost the state millions. State documents show Nebraska spent $8.2 million over two years on contractors to enact the changes. This included hiring Public Consulting Group and Covendis to supply staffing and information technology support. Sarah Maresh, a program director with Nebraska Appleseed, described the costs as shocking, noting that large corporations are profiting from the policy behind the scenes. The state also listed at least six contractors costing more than $250,000 each, with one individual’s compensation exceeding $1.8 million.
McCreary said he eventually called for help but reached a private call center handling food stamps, not the state Medicaid line. He does not have an account on the state’s online portal and prefers phone or in person contact. He said it is possible he missed letters regarding his coverage. Attorneys who reviewed his case said his substance use disorder and cancer should have exempted him from the work requirement. The Congressional Budget Office estimates these changes will leave 5.3 million more people uninsured by 2034.
