Nebraska Medicaid Cuts Cost 64-Year-Old Man His Cancer Care

Eli McCreary was told his health coverage had ended while he was being treated for kidney cancer.

McCreary, a 64-year-old resident of Omaha, Nebraska, received a phone call from a hospital affiliated with CHI Health in June. The hospital informed him that his Medicaid benefits were no longer active. Staff told him they would cancel upcoming appointments unless he paid for them out of pocket. McCreary canceled a CT scan and other tests. He also delayed a follow-up with a specialist who travels to Omaha from another city. He said he missed a one-month treatment window because of the delay.

Nebraska began enforcing federal Medicaid work requirements on May 1, 2026. The state became the first to implement these rules under the One Big Beautiful Bill Act. Most other states are scheduled to start similar requirements eight months later. Approximately 70,000 adult Medicaid recipients in Nebraska must prove they work or participate in similar activities for 80 hours each month. Those who do not qualify for an exemption must meet this standard to keep their coverage. The state budgeted 8.2 million dollars over two years to hire contractors to manage these changes.

McCreary said a call center representative told him he needed a job to stay enrolled. He reported that the representative said, "You're required to do work to stay on," and noted that he had not fulfilled the requirement. McCreary has battled drug addiction for decades. He completed a substance use treatment program in March 2026. He also has diabetes and chronic obstructive pulmonary disease. He said he could not walk well or breathe easily. He asked what job he could get in that condition.

Nebraska Department of Health and Human Services spokesperson Jeff Powell said the rollout has been successful. State data showed that 86% of affected applicants met the requirement or qualified for an exclusion. Powell said 93% of existing enrollees kept their coverage. He noted that the state relies on private contractors for staffing when hiring state employees is impractical. Two companies, Public Consulting Group and Covendis, provide support for the Medicaid system.

Advocates and clinics report confusion among enrollees. Kenny McMorris, CEO of the Charles Drew Health Center in North Omaha, said wait times at the state call center increased. Average wait times doubled from 13 minutes in May to 26 minutes in July. The center received more than 101,000 calls in August, a 66% increase from May. McMorris noted that roughly half of his center's 13,385 patients are on Medicaid. Of those patients, 42% are subject to the work requirements. He said working people often do not have time to sit on the phone for long periods.

McCreary said he called for help but reached a call center for Supplemental Nutrition Assistance Program accounts rather than the state Medicaid line. Powell said the state has no record of McCreary calling the health department. McCreary said the worker could not explain why the rules applied to him. He had previously worked as a driver for an asphalt services company until his health prevented him from continuing. He said he does not have an account on the state's online portal and prefers to handle matters by phone or in person. He is not sure if he missed mailed notifications about his coverage.