Kentucky addiction recovery efforts face challenges amid Medicaid cuts

LOUISVILLE, Ky. — Isaiah House, Kentucky’s largest non-profit provider for addiction recovery, has had to make some tough decisions in light of federal funding cuts.

The ‘big, beautiful bill’ cuts over $1 trillion in Medicaid and Medicare. Isaiah House has been hit by the Medicaid funding cuts, and started making changes in January 2025. About 10% of their staff have been laid off across the state, including their location in Louisville.

“Isaiah House remains firmly committed to our mission of saving lives, restoring families, and improving communities for those suffering from substance use disorder,” said Isaiah House CEO, Nick Wren. “While these changes have been difficult, we are confident in our ability to move forward, adapt, and continue delivering the high-quality care and support that our clients and communities depend on. Our focus remains on hope, healing, and building a stronger future.”

People gathered in Jefferson Square Park, Saturday morning, to call for protection for these government healthcare programs. Pat and Judy Hartlage came out to back the benefits programs, worried about the poor Kentuckians, the elderly, and children that all depend on it…

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