New Law Dismantles Critical Health and Safety Net Systems
This legislation will profoundly and irrevocably harm society and threaten the health and wellness of communities in our region.
On July 3, 2025, Congress approved a budget bill that slashes more than $1 trillion from Medicaid, SNAP, and other essential safety net programs— gutting critical supports that people across the country rely on to survive. With new work requirements, stricter eligibility rules, and reduced state-level funding, this legislation will destabilize the providers and systems our communities depend on most.
The consequences of this bill will be swift and severe.
We are grateful to the advocates across Illinois who have sounded the alarm, built a path forward and fought tirelessly to lessen this bill’s impact. We stand alongside our partners, such as Protect Our Care Illinois (funded through HFC), the Chicago Coalition to End Homelessness, the Shriver Center on Poverty Law, and Legal Council for Health Justice, whose work is critical in this moment.
Some Key Takeaways:
- Changes to SNAP will slash benefits for more than 360,000 residents across Illinois.
- Illinois and most other states will have to cover a greater portion of costs for SNAP under the law, including benefits based on the state’s error rate of over- and under-payments on benefits.
- Those now at risk of losing work exemptions in Illinois include 23,000 unhoused people, veterans and youth who have aged out of foster care.
- Millions of Americans will lose health care, including an estimated 330,000 Illinoisans. In Illinois, Medicaid covers one in four people in Illinois — 3.4 million in our state — including 1.5 million children.
- The bill threatens hundreds of reproductive health care clinics across the country, forcing the closure of 200 Planned Parenthood clinics—90% of which are located in states where abortion is legal.
As these harmful provisions take effect—some immediately and others by 2027—they will deepen longstanding inequities and create new barriers for communities already pushed to the margins. This is more than a budget decision; it is a step away from care, justice, and equity.
Michael Reese Health Trust is committed to protecting and strengthening the systems that support people’s health and well-being. We will continue to learn about the impacts of the law, work in solidarity with stakeholders and experts to reduce its harm, invest in safety net programs, and uplift approaches that prioritize care, dignity, and access. Initiatives like Staying Strong and the Health First Collaborative (HFC) exemplify how we are working in partnership with communities to meet urgent needs.
This moment calls for collective action, solidarity, and fierce compassion. We remain dedicated to supporting the well-being of our partners and fostering resilience within the communities they serve.
Together, we will continue to stand united — advocating for inclusive, equitable, and healthy communities with the urgency this moment demands.
Stay connected for the latest updates and news.
Contact Dr. Rashonda Johnson, Program Director, Strategic Initiatives for more information on Health First Collaborative.
Contact Jennifer Rosenkranz, Program Director, Domestic Violence for more information on Staying Strong.