California Gov. Gavin Newsom admitted that the high Medi-Cal spending, which is the state’s version of the Medicaid program for low-income Golden Staters, is partly due to illegal immigrants being allowed to take part in the program, but that it’s part of a larger cost issue nationwide.
“That’s partial,” Newsom said when asked by a KCRA reporter about the $9.5 billion price tag for the program, which the Newsom administration is having to ask for $6.2 billion in loans to help cover.
A $3.4 million loan was first requested last week, then another $2.8 million was asked for. He further told the local outlet that it was “something we previewed in the January budget.”
“Yeah,” he said when asked by the outlet if it would be the end of requests made by the state’s Executive Branch for more funding this fiscal year.
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“With tough fiscal choices ahead, Governor Newsom, jointly with Pro Tem McGuire and Speaker Rivas, will evaluate proposals to rein in long-term spending — including in Medi-Cal — while working to protect the core health and social services Californians rely on,” Newsom spokesperson Izzy Gardon said in a statement Tuesday to Fox News Digital.
Newsom and the governor’s office have argued that similar problems in Colorado, Pennsylvania and Indiana make the Golden State’s situation less unique.
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Medi-Cal is the state’s affiliate of Medicaid, which is a health insurance program for low-income residents in the Golden State. The program receives taxpayer dollars at both the state and federal levels.
The $9.5 billion cost was a major increase to the $6 billion projected for the program. It has earned the criticism of numerous Republican lawmakers because of the ability to enroll when “immigration status doesn’t matter,” according to the California Department of Health Care services.
“That’s a staggering $6.2 billion over budget…and the costs keep climbing with no end in sight,” California Senate Republican Minority Leader Brian Jones, said in a post on X on Monday. “Californians should not be forced to shoulder the burden of radical Democrats’ reckless financial mismanagement.”
“Even Jerry Brown refused to expand Medi-Cal to all illegal immigrants because he knew it was fiscally irresponsible and unsustainable,” Jones added. “Now under Newsom, legal residents are paying the price both financially and in reduced access to healthcare. The public deserves answers: Why are the costs so much higher than what Newsom promised? What is Newsom’s plan to fix the financial disaster he created?”
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Of the 15 million people in the Medi-Cal program, an estimated 1.6 million are in the United States without proper documentation, according to the state.
Fox News’ Jamie Joseph contributed to this report.
