LOUISVILLE, Ky. (WDRB) — Dozens of people packed a Medicaid Oversight and Advisory Board committee meeting in Frankfort on Wednesday afternoon to advocate for Lee Specialty Clinic and urge state leaders to restore funding.
The Louisville clinic, funded through the Centers for Medicare and Medicaid Services and the Kentucky Cabinet for Health and Family Services, is being forced to significantly downsize after millions of dollars were cut from its budget.
As a result, more than 1,000 patients are expected to lose access to care beginning July 15.
"This is not just about one clinic," one supporter said during the meeting. "This is about protecting healthcare access, dignity, safety and quality of life for one of the most vulnerable communities."
The clinic provides medical care, dental services, therapy and behavioral support under one roof for patients with complex disabilities, many of whom families said struggle to receive care elsewhere.
In a statement June 12, a spokesperson with the Kentucky Cabinet for Health and Family Services said the state legislature reduced the Department for Behavioral Health, Developmental and Intellectual Disabilities budget by 4% in fiscal year 2027 and 7% in fiscal year 2028, forcing a total $4.5 million reduction for the clinic.
During Wednesday's meeting, Dr. Steven Stack, secretary of the cabinet, acknowledged it is facing broad budget constraints.
"The budget that was passed did not contain enough resources to do all the things the cabinet does," Stack said. "I don’t want to argue with the legislature in this venue."
Staff said most employees received 30-day termination notices June 11, and only eight employees are expected to remain.
While outpatient services will remain open for the next two years with the budget bill appropriation, the cabinet said it will serve significantly fewer patients.
Amy Cutter was at the meeting in support of her daughter, Kennedie, who has autism and Primrose Syndrome, a genetic disorder.
Cutter said Kennedie visits Lee Specialty Clinic at least once a week. Sometimes she rides bikes and works on communicating using an iPad. Finding proper care for Kennedie was a challenge, Cutter said, before she discovered Lee Specialty Clinic in 2020.
"The clinic is not a convenience, it is a lifeline," Cutter said. "And today, that lifeline feels like it is being ripped away from us."
The day before the meeting, members of the Kentucky House Democratic Caucus sent an open letter to House Speaker David Osborne asking that the $14 million set aside for debt service related to renovations to Legislative Research Commission's Capitol Annex.
"When faced with a choice between preserving healthcare for vulnerable Kentuckians and accelerating a building renovation, the General Assembly should choose people over bricks and mortar," the letter said.
Gov. Andy Beshear also weighed in Tuesday, calling the cuts "completely avoidable" and largely blaming the Republican majority in the General Assembly for not following the budget Beshear put forward.
Beshear said his proposed budget would have fully funded providers like Lee Specialty Clinic, Medicaid and senior meal programs.
"Right now, I’m working on a plan to save the Lee Specialty Clinic," Beshear wrote. "But, at best, it will be a Band-Aid to slow the bleeding from the failures in the budget."
Even if temporary funding is found, families warned the clinic’s long-term future remains uncertain beyond the next year.
Beshear is expected to discuss the budget cuts further Thursday at 12:30 p.m. during his weekly Team Kentucky update.
Copyright 2026 WDRB Media. All Rights Reserved.
