Santa Cruz County Faces Insurance and Social Service Funding Challenges

Santa Cruz County experienced a significant reduction in its uninsured population after the Affordable Care Act (ACA) was enacted in 2010, dropping from 18% uninsured to 6%. However, recent federal policy changes and proposed cuts under the Trump administration have raised concerns about potential increases in uninsured rates and reductions in essential social services, including Medicaid and CalFresh programs.

 Health care providers and nonprofit organizations in Santa Cruz County have observed that these federal cuts could severely impact more than 35,000 residents enrolled in Medi-Cal, the state's Medicaid program. Local health leaders highlight that stricter Medicaid eligibility and funding reductions have led to losses in coverage in other states, forecasting similar effects locally. In response, a coalition of 23 nonprofits, including hospitals, clinics, schools, and social service agencies, formed the Pajaro Valley Collaborative to coordinate efforts to mitigate these impacts and sustain vital community health and nutrition services.

 Food insecurity and housing affordability compound the challenges faced by residents, with a local food bank reporting a rise in demand from 55,000 to 72,000 food assistance recipients since before the pandemic. The University of Wisconsin Population Health Institute's data reveals additional social determinants impacting health, such as increased child poverty, disparities in premature death rates among Black and Hispanic populations, and significant expenses for childcare, further stressing low-income families. These developments underscore the interconnectedness of health insurance coverage, social service funding, and community well-being in Santa Cruz County, prompting local organizations to advocate for coordinated responses amid changing federal and state health care policies.