State Policy · NM
New Mexico Projects 89,000 Medicaid Enrollees Could Lose Coverage Under Federal Work Requirements
New Mexico state officials estimate approximately 89,000 Medicaid enrollees — roughly 10% of total program enrollment — could lose coverage when federal work requirements in the "One Big Beautiful Bill Act" take effect. State agency leaders announced the projection during a Monday news conference. The work requirements represent a significant shift in Medicaid eligibility policy that would require certain adult enrollees to meet work or work-related activity thresholds to maintain coverage. The projected coverage losses would directly affect state budget planning, MCO enrollment, provider revenue, and uncompensated care levels.
Why it mattersA 10% enrollment reduction would materially affect MCO capitation revenue, network utilization patterns, and require state agencies to implement new eligibility verification and tracking systems for work requirements.