‘Needs to resign’: California blasted for asking for loan amid skyrocketing illegal healthcare costs

The California Department of Finance recently approved a $3.44 billion loan to cover a gap in Medi-Cal spending, which some critics attribute to the costs of providing healthcare to illegal immigrants. However, the governor’s office insists that the situation is not unusual.
The state initially projected $6 billion in Medi-Cal costs, but that figure has now ballooned to around $9.5 billion. This increase comes after a law was passed allowing individuals to qualify for the program regardless of their immigration status. Medi-Cal, California’s Medicaid system, is funded by both federal and state taxpayer dollars.
Opponents of extending the program to undocumented immigrants express concerns about the financial burden it places on taxpayers. Representative Carl DeMaio from San Diego accused Governor Gavin Newsom of deceiving the public and burdening California taxpayers with billions of dollars in healthcare costs. DeMaio was even removed from the California State Assembly budget committee after questioning a state budget official about the increased Medi-Cal spending.
In response to the criticism, Governor Newsom’s office pointed out that several other states, including Pennsylvania, Colorado, and Indiana, are also struggling with rising costs in their state-based healthcare programs. The governor’s spokesperson, Izzy Gardon, emphasized that additional funding is necessary to support Medi-Cal and that this issue is not unique to California.
Despite the pushback, California continues to face scrutiny for its policies regarding illegal immigrants, whether it’s related to healthcare eligibility or sanctuary policies. The state remains at the forefront of the debate over how to address the needs of undocumented individuals while balancing the financial concerns of taxpayers.