Healthcare leader warns of devastating impact of Medicaid cuts

Illinois has 3.6 million residents who rely on Medicaid, with nearly one million directly affected by the proposed cuts.

CHICAGO, IL — February 26, 2025—Healthcare leader José R. Sánchez has issued a stark warning that the U.S. House of Representatives resolution to cut Medicaid funding would have devastating consequences for millions of Americans, including nearly one million recipients in Illinois.

The House narrowly passed the Republican-led budget resolution in a 217-215 vote on Tuesday evening, advancing a measure that, if enacted, would drastically reduce funding for essential healthcare programs. These cuts threaten access to medical care for millions of vulnerable individuals nationwide.

“This decision will have a devastating impact on our state,” said Sánchez, CEO of Humboldt Park Health and Chair of the Safety Net Hospital Association in Chicago. “If enacted, these cuts will jeopardize the financial stability of hospitals, forcing many to reduce services or shut down entirely, leaving our most vulnerable populations with nowhere to turn for care.”

Illinois has 3.6 million residents who rely on Medicaid, with nearly one million directly affected by the proposed cuts. Safety-net hospitals, which serve communities where 75-80% of patients depend on Medicaid, will be disproportionately impacted. Some may be forced to close, while others will have no choice but to cut essential services, further straining the healthcare system.

The economic impact of these cuts would be severe, leading to job losses, rising healthcare costs, and delays in medical care for those who need it most. Additionally, disruptions in transportation services would make it even more challenging for many to access healthcare facilities and essential resources such as food.

The consequences of these Medicaid cuts extend beyond healthcare. Families, seniors, individuals with disabilities, and children could lose access to critical medical services. Hospitals, already struggling to meet demand, would face financial devastation, resulting in closures and reduced availability of emergency and specialized care. Longer wait times, overcrowded hospitals, and limited medical resources would become the norm. Furthermore, job losses in the healthcare sector would contribute to economic instability in communities already facing financial hardship, said Sánchez.

As Chair of the Safety Net Hospital Association of Chicago and Board Chair of Wellness West, Sánchez urges the U.S. Senate to take immediate action to block this harmful resolution before it becomes law. He calls on elected officials—regardless of party affiliation—to recognize the catastrophic impact of these cuts and stand against them. Additionally, he is rallying healthcare professionals, community leaders, and faith organizations to mobilize, raise awareness, and advocate for the protection of Medicaid funding.

“These hospitals are our communities’ economic and social backbone,” Sánchez added. “If we don’t act now, we will see more uninsured individuals, hospitals collapsing under financial strain, and a total breakdown in healthcare access. Healthcare is a right, not a privilege. Let’s fight to protect it.”

Humboldt Park Health, along with Chicago’s Safety-Net Community Hospitals, provides critical healthcare services to some of the city’s most underserved populations. They work tirelessly to address healthcare inequities and ensure all residents have access to quality care.

Formerly known as Norwegian American Hospital, Humboldt Park Health (HPH) has been a cornerstone of healthcare on Chicago’s West Side for over 125 years. As a leading safety-net provider, HPH is dedicated to delivering comprehensive, patient-centered care with a strong focus on equity and wellness. It is also the first hospital in the Midwest and the eleventh in the nation to achieve the Health Equity Certification, underscoring its commitment to serving diverse communities. HPH offers various services, including primary and specialty care, emergency services, behavioral health, and wellness programs.

For more information, visit www.hph.care.