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By Vincent Tilford, President & CEO, Hannan Center

For a century, the Luella Hannan Memorial Foundation, now known as the Hannan Center, has been a pillar of support for older adults in metro Detroit. Concerned about seniors facing financial hardships, Luella Hannan, the wife of William Hannan and heiress to his fortune, set out to build a home for those with nowhere else to turn during crisis times. Her plans to develop a retirement home fell through when she could not secure a suitable development site. So, she pivoted to providing monthly living stipends for seniors.  

During the Great Depression, but before the creation of Social Security, Medicare, and Medicaid, the demand for Hannan’s assistance nearly bankrupted the organization’s resources, forcing it to turn many seniors away. That moment in history feels strikingly relevant today.  

President Donald Trump’s recent executive orders propose sweeping changes to federal programs that millions of Americans rely on. These include an $880 billion reduction to Medicaid, job cuts at the Social Security Administration (SSA), layoffs at the Department of Veterans Affairs (VA), and reductions in Medicare reimbursement rates. Slashing support to these essential insurance and safety net programs will plunge Michigan’s seniors and vulnerable populations into a crisis reminiscent of the 1930s. 

Medicaid is a critical safety net for low-income individuals, including many older adults. KFF, a leading nonpartisan organization focused on health policy and health-related issues, reported that more than 2.6 million Michigan residents depend on Medicaid for health care coverage. This number includes 157,000 seniors, 326,000 people with disabilities, and over 1 million adults covered under the Healthy Michigan Plan. KFF also reports that Medicaid covers 38% of all births in the state.   

According to KFF, there are at least 53,000 people – seniors, children, and individuals with disabilities— in every Congressional District that rely on Medicaid. In Southwest Michigan alone, over 270,000 residents depend on it for health care, according to the Michigan Health and Hospital Association. In Kalamazoo County, nearly one in four, or more than 60,000 residents, use Medicaid. Across Calhoun County and neighboring areas like Berrien and Van Buren counties, as many as one-third of residents are enrolled in the program. These proposed cuts would force Michigan into an impossible choice: raise taxes to fill the gap or reduce coverage—both of which would harm families. 

Beyond Medicaid cuts, the SSA plans to reduce its workforce. Long wait times at government offices are already frustrating, but fewer SSA employees will only exacerbate delays in retirement benefits and disability claims. These delays create an existential crisis for those who rely on Social Security checks to cover necessities like housing and food. 

Meanwhile, the VA intends to lay off 80,000 employees by August—rolling back staff levels established under the PACT Act. This legislation expanded veterans’ health care and benefits for those exposed to toxic substances during military service.  

Senior veterans in Michigan already face long wait times at VA centers like the one in Detroit; losing more staff will lead to even longer delays or force some veterans to seek unaffordable private care—or worse yet—go without treatment altogether. 

The current administration is also sending Medicare to the cutting room floor. The 2025 Medicare Physician Fee Schedule (PFS) includes a 2.83% reduction in the reimbursement payments that hospitals and physicians receive.  

Previous Medicare reimbursement reductions have strained local hospitals in rural Michigan, forcing some to reduce services or close entirely. With the median age for counties in Michigan’s northern lower peninsula being among the highest in the nation, those communities can’t afford to have more hospital closures or doctors refusing to accept more Medicare patients because of low reimbursement rates. 

An NIH-funded study found that past Medicare reimbursement cuts negatively impacted patient outcomes. Additional funding reductions could lead to more hospital closures or force physician practices to turn away Medicare-insured patients. Families providing care for aging parents or disabled relatives would face even more tremendous financial strain as they try to fill gaps left by these cuts. Local economies would also suffer as federal healthcare investments disappear. 

Michigan’s congressional representatives will be crucial in deciding whether these cuts move forward. Two key figures—John James (MI-10) and Debbie Dingell (MI-6)—sit on the House Committee on Energy and Commerce, which oversees Medicaid funding. Representative Dingell has consistently championed Medicare, Medicaid, and Social Security programs while advocating for veterans.  

Representative James, who is a veteran, faces a tough decision.   Will he align with his party’s budget proposals or stand up for constituents who rely on Medicaid and VA services? Their choices will have profound consequences for Michigan residents. 

Hannan’s history reminds us that when safety nets fail, communities must step up—but even organizations like Hannan have limits when resources are stretched too thin. During the Great Depression, Hannan was forced to turn away seniors because it simply couldn’t meet demand. We cannot let history repeat itself. 

Michigan’s representatives must act now to protect older adults from these devastating cuts. Their votes will determine whether seniors live with dignity—or endure another era of uncertainty.