March 26, 2025

California to Spend $8.4 Billion This Year on Health Care for Illegal Aliens

According to the California Department of Finance, the State of California will spend more than $8.4 billion on taxpayer-funded Medicaid health benefits for illegal aliens this fiscal year, over $5 billion more than initially estimated

Last year, California became the first state to offer free, taxpayer-funded health care through Medicaid to all illegal aliens in the state. This expansion is proving far costlier than originally projected and is already straining the Medi-Cal program that vulnerable Californians rely on for health care. 

At a recent California State Assembly Budget Committee hearing, California state budget officials revealed how much the State of California is actually spending to provide health care to illegal aliens. 

WORD ON THE STREET

VIDEO: California Assembly Budget Committee, Monday, February 10, 2025

Unknown

THE BOTTOM LINE

California is one of eight states that has expanded their Medicaid programs to provide taxpayer-funded health care to illegal aliens. While federal law currently prohibits federal Medicaid funding from going to illegal aliens, with the exception of emergency services, recent watchdog reports expose how federal taxpayers pick up the tab for these state expansions of Medicaid. For instance, California is financing its expansion of Medicaid to illegal aliens by implementing a budget gimmick to draw down increased federal funding, placing American taxpayers on the hook for the free health care California is giving to illegal aliens. 

The Medicaid program is a critical lifeline for the most vulnerable Americans. House Republicans are committed to strengthening and protecting Medicaid, so it can continue serving the most vulnerable Americans for generations to come. Dangerous expansions of Medicaid to cover illegal aliens and waste, fraud, and abuse divert resources from Medicaid beneficiaries and add to our country’s out-of-control $36 trillion national debt. 

It’s time to face reality. The era of spending without limits or accountability has reached its breaking point. We must start by reducing the debt, a challenge that’s daunting but not insurmountable, and focus our resources on those who need it most. 

The House-passed Budget Resolution lowers our overall indebtedness by reducing the debt-to-GDP ratio by ten percentage points and sets forth a legislative blueprint that empowers Congress to cut waste, fraud, and abuse while preserving programs for the most vulnerable. 

MORE FROM THE HOUSE BUDGET COMMITTEE

Read Chairman Arrington’s statement on CBO’s report confirming the Biden Administration spent over $16.2 billion on emergency health care in Medicaid for illegal aliens HERE
 
Read about how California extended free taxpayer funded health insurance to illegal aliens through the state’s Medicaid program HERE