Nov. 18 Federal Update: Advocacy After the 2024 Election

We recognize organizations and communities may be experiencing unease and uncertainty following the results of the 2024 election.

To assist in navigating changing political landscapes, Social Current invites you to a free webinar designed to empower nonprofits with the knowledge and tools for effective advocacy and policy engagement. The webinar offers an opportunity to grow your organization’s expertise in policy and advocacy through strategies to channel concerns into actionable advocacy plans. Interactive sessions will detail key tactics to advance organizations’ missions and strengthen the communities served.

The webinar is scheduled for Wednesday, Dec. 4, from 1-2:30 p.m. ET. Participants will gain a comprehensive understanding of building policy literacy, crafting compelling narratives, engaging in coalition building, and developing disciplined messaging strategies.

State Ballot Measures

Abortion Access
Ballot measures to enshrine the right to abortion into states’ constitutions passed in seven states: Arizona, Colorado, Maryland, Missouri, Montana, New York, and Nevada. Ballot measures to expand abortion access failed in Florida, Nebraska, and South Dakota. Access to abortion impacts maternal health.

Minimum Wage
Voters in Missouri and Alaska approved measures to raise the states’ minimum wage and require employers to provide earned paid sick time. Alaska’s minimum wage will increase to $15 per hour by 2025 and Missouri’s to $13.75 per hour by 2026.

Online School Meal Fees are Terminated for Low-Income Families

The U.S. Department of Agriculture announced processing fees will not be charged to students eligible for free or reduced-price school meals, effective during the 2027-2028 school year.

School districts often partner with processing companies to offer families online, cashless payment systems. While the fees and rates can be negotiated, the concentration of just three leading companies limits competition and complicates contract negotiations.

These processing fees present critical challenges to families, especially those with lower incomes who rely on weekly transactions. On average, companies charge approximately $2.37, or 4.4% of the total transaction, each time money is added to a child’s account. The U.S. Department of Agriculture estimates families who qualify for free or reduced-price lunch pay nearly sixty cents per dollar in fees when paying electronically. 

The rule is expected to generate significant cost savings for families, as school lunch fees collectively cost upwards of $100 million each year.

Centers for Medicare & Medicaid Services Improve Access and Care Standards

The Centers for Medicare & Medicaid Services (CMS) have finalized several key healthcare policies to improve access and care standards. For example, Medicaid and the Children’s Health Insurance Program (CHIP) have mandated continuous 12-month eligibility for children under 19 (with restrictions on disenrollment for nonpayment during that period). Additionally, new obstetrical care standards require facilities to be prepared for emergencies as well as staffed by trained professionals. Expanded preventive care now includes coverage for follow-up colorectal cancer screenings and HIV pre-exposure prophylaxis (PrEP). Medicaid clinic services will also be more flexible, with exceptions for Indian Health Service and Tribal clinics, behavioral health clinics, and rural clinics to deliver care outside traditional settings.

CMS is emphasizing health equity through new quality reporting requirements for surgical centers, rural hospitals, and outpatient facilities, including screenings for social drivers of health and patient understanding of recovery. Telehealth policies have also been expanded, making audio-only telehealth permanent and exploring coverage for remote diabetes, nutrition, and mental health services under Medicare. These changes aim to increase healthcare access, enhance quality, and address social and health disparities across populations.

Updates from the Judiciary

Texas Court Considers Overtime Rule
On Nov. 8, the Eastern District Court of Texas held oral arguments on the legality of an overtime rule issued by the Biden Administration’s Department of Labor. The rule aims to expand overtime pay eligibility to salaried workers earning less than $58,656 annually, potentially affecting four million employees. Texas and several business groups have sued, claiming the rule exceeds the Department of Labor’s authority under the Fair Labor Standards Act (FLSA), additionally violating the Administrative Procedure Act. They have requested a preliminary injunction, which currently applies only to Texas employers, be expanded nationwide.

While parts of the rule are already in effect, the salary threshold increase to $58,656 for overtime exemptions is set to take effect on Jan. 1, 2025. U.S. District Judge Sean Jordan previously granted the preliminary injunction to block the rule in Texas while litigation continues. The U.S. Court of Appeals for the Fifth Circuit has also weighed in, affirming the Department of Labor has the authority to use salary as a factor for determining overtime eligibility, but warned the agency’s power is not unlimited. The case currently remains unresolved as further legal proceedings unfold.

Court Upholds Emergency Health Care to Undocumented Immigrants
On Nov. 8, the Florida First District Court of Appeal ruled that the state cannot require hospitals to return Medicaid payments made retroactively for emergency care provided to undocumented immigrants. While undocumented citizens are generally ineligible for Medicaid, federal law mandates that states offer limited Medicaid coverage for emergency medical situations involving migrants, such as dialysis, childbirth, or trauma.

The court’s decision reinforces a key ruling from 2019, which found that Florida cannot pursue Medicaid fraud cases related to these payments, including actions by the state’s Bureau of Medicaid Program Integrity (MPI), a fraud detection unit. The court clarified that the recent changes to the Medicaid laws do not override the 2019 ruling.

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