States sue Trump administration to block Medicaid work requirements

Democratic attorneys general from Oregon, Minnesota, New Mexico, and Washington filed a lawsuit on November 5, 2026, challenging the Trump administration's Medicaid work requirements enacted in 2025. The rules mandate 80 hours monthly of work or qualifying activities for enrollees aged 19 to 64. State officials warn the administrative burden could strip healthcare from over 120,000 residents in Washington and thousands in Oregon.

Details of the multi-state lawsuit

• ▪A lawsuit filed in the U.S. District Court in Oregon names Centers for Medicare and Medicaid Services Administrator Mehmet Oz and U.S. Secretary of Health and Human Services Robert F. Kennedy as defendants
• ▪The Democratic attorneys general of Oregon, Minnesota, New Mexico, and Washington filed a lawsuit to block Medicaid work requirements

Federal Medicaid work requirement rules

• ▪The 2025 federal tax and spending law requires Medicaid enrollees aged 19 to 64 to submit monthly paperwork showing 80 hours per month of employment, education, or volunteering
• ▪The Medicaid work requirements under the 2025 federal law contain exemptions for individuals who are pregnant, postpartum, disabled, medically frail, or caring for children under age 14

Estimated impact on state enrollees

• ▪Oregon state officials estimate that nearly 40% of the 1.4 million Oregon Health Plan enrollees face work requirements, with one-third risking coverage loss due to paperwork
• ▪Washington state officials estimate that at least 20% of Apple Health Medicaid enrollees, approximately 120,000 residents, could lose healthcare coverage under the new paperwork rules tied to the 2025 Medicaid work requirements

Attorneys general criticize the rules

• ▪Washington Attorney General Nick Brown stated that Medicaid administrative changes will force individuals to lose health insurance and rely on public hospital emergency care
• ▪Oregon Attorney General Dan Rayfield criticized the federal 2025 One Big Beautiful Bill, stating that removing healthcare access over paperwork represents bureaucratic cruelty