Polis Budget Cuts Threaten Health Care Access for Medicaid Patients

By Brandon Richard | Denver7

Gov. Jared Polis says the cuts helped rebalance the state budget after Congress passed President Trump's tax bill

DENVER — Coloradans may be forced to pay more and wait longer for health care treatment due to some of the budget cuts Gov. Jared Polis announced this week.

Polis said the cuts were necessary to help rebalance the state budget after a Republican federal tax and spending bill, H.R.1. (One Big Beautiful Bill Act), reduced the state’s revenue and created a $783 million budget gap.

“Unlike the federal government, we have to balance our budget,” Polis said.

The governor made more than $250 million in cuts and redirected spending across departments.

“What H.R.1 does in a way is it makes these cuts, and then it makes states be the bad guys in delivering the news,” Polis said.

Colorado spends about one-third of its annual budget on health care, so it may come as no surprise the Colorado Department of Health Care Policy and Financing took the biggest hit with more than $79 million in cuts.

About half of that was caused by the governor rolling back a 1.6% increase of Medicaid provider rates, which is money the state pays to health care providers for delivering services to Medicaid patients.

The Colorado Hospital Association (CHA) said it’s disappointed the provider rate increase was removed.

“Colorado hospitals are already navigating very difficult financial pressures, and this setback further strains the resources needed to care for patients and communities,” CHA said in a statement. “We recognize the tough choices required in this budget process, but reductions to provider rates – particularly alongside other health care cuts stemming from H.R. 1 – add to the challenges ahead.”

The governor also cut dental provider rates.

Dr. Jeff Kahl, a dentist and former president of the Colorado Dental Association, said dental provider rates weren’t addressed for a long time, leading to fewer options for Medicaid patients.

“What we saw from 2018 to 2024 was that there were less dentists in the state of Colorado who were willing to see patients who were insured through Medicaid programs,” said Kahl. “The Dental Association worked really hard with the Joint Budget Committee to find a purposeful way to address the 25 procedures that we felt were the most important things for the overall health of people in Colorado. In 2024, we raised the rates on those 25 procedures.”

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