California votes yes to freeze health care access for some immigrants

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Summary

Medi-Cal enrollment changes

California lawmakers approved a budget proposal that would freeze enrollment in the state-funded Medi-Cal health care program for immigrants without legal status.

Budget shortfall response

The budget proposal, which aims to address a $12 billion deficit, includes the Medi-Cal enrollment freeze and other measures.

Public opinion shifts

A recent survey indicates that 55% of Californians now prefer lower taxes and fewer services, whereas for most of the past two decades, the majority preferred higher taxes and more social services.

Full story

On Friday, June 13, California state lawmakers approved a budget proposal that would freeze enrollment in a state-funded health care program for immigrants without legal status. It’s part of the state and Gov. Gavin Newsom’s plan to close a $12 billion deficit.

Medi-Cal program

Under the new plan, adult immigrants without legal status who are currently enrolled in Medi-Cal would be required to pay a $100 monthly premium starting in 2027. New low-income adults in that group would no longer be able to sign up.

Republican Assembly member Carl DeMaio said the budget cuts $11.2 billion in health care coverage for citizens, so $12.1 billion can go to health care for immigrants without legal status. DeMaio points to changes in the rules of the federal Medicaid program that impose a 10% penalty on federal funds for Medicaid in any state that provides health care to immigrants without legal status.

“Prioritizing illegal immigrants over your own citizens,” DeMaio said on the Assembly floor. “I would say I’m shocked, but it’s part and parcel with a lot of policies and rhetoric that I’ve seen from the other side in recent months.”

Democratic lawmakers said the enrollment freeze undermines California’s values and the state’s goal of universal health care.

“If we move forward with freezing Medi-Cal enrollment and charging premiums to our immigrant population, we are no better than the Trump administration,” Democratic Assemblymember Sade Elhawary said before the vote. “The federal administration targeted immigrant communities with force, and we are targeting them through this budget by basically cutting off their access to health care.”

California began expanding Medi-Cal coverage to all low-income adults, regardless of immigration status, in 2023. But the program became more costly than expected, with annual spending reaching about $8.5 billion from the state’s general fund. Approximately 1.6 million immigrants without legal status are currently enrolled, according to state data.

Illinois and Minnesota are also on track to end health care access for low-income adults without legal status because of budget shortfalls.

California state budget

Friday’s vote on a $325 billion spending plan comes ahead of a Sunday, June 15, deadline for lawmakers to pass a budget or forfeit their own salaries. The measure passed largely along party lines, backed by the Democratic majority. The new fiscal year begins on July 1.

Democrats rejected many of Newsom’s proposed cuts from May, including reductions to public transit, higher education and raises for state employees. However, they accepted provisions such as the Medi-Cal enrollment freeze and the elimination of coverage for weight-loss drugs like Ozempic.

Public opinion of California’s spending appears to be changing as well. The Public Policy Institute of California has conducted surveys of Californians since 2003.

For most of that time, the surveys showed Californians preferred to pay higher taxes and have more social services. However, in a survey released this week, 55% of Californians said they’d prefer lower taxes and fewer services.

Cole Lauterbach (Managing Editor) contributed to this report.

Tags: budget, California, Gavin Newsom, Health Care, Immigration, MediCal

[[KALÉ CAREY]]

CALIFORNIA LAWMAKERS APPROVED A STATE BUDGET PROPOSAL THAT WOULD FREEZE HEALTH CARE ENROLLMENT FOR IMMIGRANTS WITHOUT STATUS

THE CALIFORNIA GENERAL ASSEMBLY APPROVED THE 325 BILLION DOLLAR BUDGET AHEAD OF A SUNDAY JUNE 15TH DEADLINE.

GOVERNOR GAVIN NEWSOM AND LAWMAKERS AGREED ON CUTTING ENROLLMENT IN MEDI-CAL FOR IMMIGRANTS WHO CAN’T PROVE THEY ARE IN THE COUNTRY LEGALLY.

THOSE ALREADY ON THE STATE-FUNDED HEALTH CARE PLAN WILL GET TO KEEP THEIR COVERAGE BUT WILL NEED TO START PAYING MONTHLY PREMIUMS.

LAWMAKERS HOPE THIS WILL HELP CLOSE A TWELVE BILLION DOLLAR BUDGET SHORTFALL.

THE BILL PASSED BY A DEMOCRATIC MAJORITY, BUT ASSEMBLY MEMBER JESSE GABRIEL AND OTHER DEMOCRATS DID RAISE OBJECTIONS TO SOME OF ITS PROVISIONS..

“We cannot balance the budget on the backs of our most vulnerable. We cannot ignore the real challenges facing middle-class and working families. But we also refuse to ignore the real fiscal challenges facing our state. We hope that the solutions presented in our legislative budget can help to guide that conversation and that together we can pass a budget that meets the needs of our diverse communities in this unprecedented moment”

ASSEMBLYMEMBER CARL DEMAIO SAYS THIS PLAN DOESN’T GO FAR ENOUGH, AND WILL HURT CITIZENS.

“This budget contains 13.7 billion dollars in accounting gimmicks. It is not balanced. Raids on reserves, fund shifts pushing forward expenditures to future budget years. It underfunds public safety by not funding Prop 36, which is the voters’ priority, and underfunding critical wildland fire risk reduction programs.”

A NEW SURVEY FROM THE PUBLIC POLICY INSTITUTE OF CALIFORNIA SHOWS A MAJORITY OF CALIFORNIANS PREFER TO PAY LOWER TAXES WITH LESS SOCIAL SERVICES.

THAT’S A DRASTIC CHANGE FROM WHAT THAT SURVEY SHOWED IN THE PREVIOUS TWENTY YEARS.

Why this story matters

California's decision to freeze enrollment for undocumented immigrants in its state-funded health care program illustrates the impact of budgetary pressures on public services and highlights competing policy priorities and political divisions over health care access and immigrant rights.

Budgetary constraints

The enrollment freeze and premium increases for undocumented immigrants in Medi-Cal were implemented to address a $12 billion budget deficit, demonstrating how fiscal shortfalls can lead to reductions in social programs.

Health care access

Changes to Medi-Cal eligibility and costs affect the health care coverage of 1.6 million undocumented immigrants, raising questions about universal health care goals and the state's commitment to coverage for vulnerable populations.

Political and social divisions

The debate underscores ideological divides, with Republican lawmakers criticizing spending on undocumented immigrants and Democrats expressing concern about undermining the state's values and immigrant rights.