Missouri’s SDS Budget Cuts Announced 1/22/26

We were expecting cuts in the Governor’s proposed budget to Missouri Medicaid, given the impact of One Big Beautiful Bill Act (OBBBA), but we were not expecting that SDS would be singled out.

The following proposed cuts to the SDS program impact 3,527 individuals with disabilities and their families.

According to the Governor’s proposed budget, as filed under HB10 (MO House of Representatives), the following are the changes coming to SDS ONLY:

• Budgets would be cut to 93% of the lower limit of the last rate study, effective July 1, 2026 – the net effect is:
  • PA and Med PA budget hourly allocation reduced to $26.04 (PA cut of $6.96/per hour, and Med PA cut of $9.96/per hour). (The maximum hourly pay rate for both PA and Med PA would be $22.88)
  • These cuts affect all SDS employers and all employees – current and new.
• Elimination of the community specialists (CS) service from SDS
• Elimination of individual goods and services (IDGS) service from SDS

FYI – There have been no cuts to provider rates for PA services. There are cuts for provider day habilitation rates.

THIS IS A VERY SERIOUS DEVELOPMENT, and we are monitoring it daily. We are preparing a strategy and identifying the proper people who need to hear from us. We will be communicating with all of your through email and social media with next steps.

For now, please contact your legislators and tell them that cuts to SDS will endanger your family’s ability to keep your loved one safely in your home. Tell your family, caregivers, and friends to do so as well. Set up your network to be ready for our next action steps and let us know the elected leaders you have contacted at [email protected].

Use our convenient legislator tool to find your nearest senator or representative and all of the options to reach out to them by clicking here.