New SNAP, Medicaid requirements could cause thousands of Marylanders to lose benefits

BALTIMORE, Md. — New federal requirements for SNAP and Medicaid could have major implications for Maryland residents and the state budget beginning in 2027.

For SNAP, new work requirements will require affected recipients to work at least 20 hours a week or earn at least $215 a week to receive benefits.

Maryland officials estimate as many as 80,000 additional SNAP recipients will be subject to the requirements.

“Up to 80,000 new customers are going to be subject to these work requirements,” Larry Handerhan with the Maryland Department of Human Services said.

Eligibility will also become more restrictive for some non-citizens, who will need a green card to receive SNAP benefits.

The changes could also cost Maryland taxpayers more.

The state estimates it will face $43 million in increased cost sharing as Maryland's share rises from 50% to 75%. The state could face additional costs based on its SNAP payment error rate.

Maryland currently has a 13% payment error rate, putting it in the highest penalty bracket. The rate measures how accurately the state determines whether someone is eligible to receive benefits.

Maryland needs to bring the rate below 6% to avoid a penalty.

“We're very committed to getting it below 10% for federal fiscal year '26, so that we are not in that highest level of penalty," said Handerhan

Officials say Maryland has made significant progress lowering its payment error rate over the past four fiscal years.

Changes coming to Medicaid

Maryland is also preparing for significant changes to Medicaid.

The state estimates about 150,000 Marylanders could lose coverage over the next year as work and eligibility requirements change.

Under the new requirements, some non-citizens could lose Medicaid coverage unless they are children or pregnant.

“And our latest estimate was that this provision would impact about 4,500 Marylanders," Perrie Briskin with the Maryland department of Health said.

Medicaid redeterminations will also move from once a year to once every six months.

Maryland officials say they are working to automate portions of that process in an effort to make it more efficient.

“We're using AI where it makes sense," said Briskin. “We are working with state partners, and we also have, you know, a screener tool and extensive communication so that people know what's coming and how it impacts them.”

The state will have to determine the costs of the changes as they are implemented and decide whether Maryland can cover the increased expenses associated with both programs.

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