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Florida

Sen. Don Gaetz Urges Next Florida Governor to Review Pensacola Lawsuit Over KidCare Expansion

Florida Gov. Ron DeSantis has spent two years in court arguing with the federal government over a requirement that Florida ensure children enrolled in a Medicaid-funded safety-net healthcare program remain continuously eligible for one year. The policy, the DeSantis camp…

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Key points

  • State Sen. Don Gaetz is urging Florida’s next governor to re-examine an ongoing federal lawsuit in Pensacola before deciding whether to continue challenging federal KidCare regulations.
  • The legal dispute centers on federal requirements for 12 months of continuous coverage versus state rules requiring families to pay monthly premiums to maintain eligibility.
  • A federal judge in Pensacola pushed the litigation timeline into January 2027, placing the decision on how to proceed into the hands of the incoming state administration.

Northwest Florida Senator Calls for Reassessment of Federal Court Dispute

— State Sen. Don Gaetz is calling on Florida’s next governor to carefully re-evaluate an active lawsuit pending in Pensacola federal court before deciding whether to continue the state’s legal dispute with federal health officials, according to a report first published by the Florida Phoenix.

The legal challenge, initiated under Gov. Ron DeSantis, contests requirements set by the federal Centers for Medicare and Medicaid Services (CMS). Federal rules require states to maintain continuous 12-month eligibility for children enrolled in safety-net healthcare programs like Florida KidCare. However, Florida officials maintain that state law requires families to contribute monthly premiums to support program funding and foster personal responsibility, arguing that non-payment should result in disenrollment.

Gaetz, who represents Northwest Florida, emphasized that the incoming administration should evaluate the legal merits and consult state lawmakers before proceeding further in court.

“I don’t want to tell them what to do with the law, because I am not a lawyer,” Gaetz told the Florida Phoenix. “But before any governor goes into federal court to pursue litigation that was initiated by the previous governor, I would assume there would have to be, and I would argue there should be, a serious examination of whether it’s in the state’s interests and whether or not the litigation has legitimacy.”

Impact on KidCare Expansion and Local Families

The outcome of the legal battle directly impacts an estimated 68,000 children across Florida who could gain access to healthcare coverage under a 2023 state law expanding KidCare eligibility. The legislation raised the income cap for qualifying families from 200% to 300% of the federal poverty level—increasing the maximum qualifying income for a family of three from $54,640 to $81,960.

Although CMS approved the higher income threshold in late 2024, it conditioned the approval on Florida adhering to federal continuous coverage rules. The state rejected those terms and challenged CMS in federal court in Pensacola, arguing that enrollment rules and baseline eligibility are legally distinct and that monthly premiums remain essential to funding the state program.

During a 12-month period, state records show more than 43,000 children were removed from the KidCare rolls for unpaid premiums.

Pensacola Federal Court Timeline Pushes Decision to 2027

The active lawsuit in U.S. District Court in Pensacola originally involved public records requests before state health officials amended the complaint in May to challenge federal interpretations of eligibility laws. On June 30, a federal judge approved a joint order scheduling further proceedings into January 2027, effectively ensuring that the final decision on whether to pursue the case will fall to the next governor.

Gaetz stressed the importance of communication between the executive branch and state legislators before moving forward with further court proceedings.

“I want there to be some consultation with the Legislature, or at least with legislative leaders, before the [new] governor makes a decision to proceed with filing or continuing to pursue the litigation that’s in the Pensacola federal court right now,” Gaetz told the Florida Phoenix.

This article was produced with the assistance of AI and reviewed by our editorial team.

Based on reporting by Christine Sexton originally published by Florida Phoenix. Read the original story.

See a typo? Report it here.

Randy Breland is the Managing Editor of NewsWK Pensacola, covering local government, public safety, and Gulf Coast community news. A retired U.S. military veteran and Pensacola resident, Randy brings a commitment to accuracy and accountability journalism to Escambia County and the surrounding region. He has called the Gulf Coast home for several years and covers breaking news, civic affairs, and community events across Northwest Florida. https://www.linkedin.com/in/randybreland/ To contact Randy you can email him at News@pensacola.newswk.com

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