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Budget targets end adult MinnesotaCare for undocumented immigrants while preserving children's coverage; reinsurance funding shifted
Summary
As part of the budget targets, leaders announced MinnesotaCare coverage for undocumented adults would end on Dec. 31, 2025, while coverage for undocumented children on MinnesotaCare would continue; the targets also shift reinsurance costs off the general fund and toward a combination of the Health Care Access Fund and insurance payers.
Leaders at Tuesday’s press conference said the budget targets include ending MinnesotaCare coverage for undocumented adults effective Dec. 31, 2025, while allowing MinnesotaCare coverage for undocumented children to continue.
Officials framed the decision as a fiscal compromise. Speakers said the state originally projected roughly 5,700 undocumented adults would enroll in the program after January 1, but by April 24 that number had risen to more than 20,000, a growth they described as fiscally unsustainable for the state general fund.
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