Gov. Gavin Newsom on Wednesday backtracked on enrolling illegal migrants into California’s taxpayer-funded health care program — blaming the abrupt move on its higher-than-expected price tag.
The Democrat — who reportedly has eyes on the White House in 2028 — said he now wants to stop enrolling more low-income immigrants in Medi-Cal, the state’s Medicaid program, from 2026 and begin charging those already enrolled a monthly premium the following year.
The about-face comes after Newsom insisted in March that he would refuse to roll back health benefits for illegal migrants even as the Golden State was grappling with a $6.2 billion Medicaid shortfall.
He said the reversal was driven by the high costs, as well as uncertainty from the Trump administration’s tariff policies.
The health care program, which is state-funded and does not use federal dollars, cost $2.7 billion more than Newsom’s administration had anticipated.
“The state must take difficult but necessary steps to ensure fiscal stability and preserve the long-term viability of Medi-Cal for all Californians,” his office said.
His office didn’t say how long the program freeze would last.
Still, the move highlights Newsom’s struggle to protect his liberal policy priorities amid budget challenges in his final years on the job.
Under the changes, illegal migrants who are already enrolled won’t be kicked off their plans, Newsom’s office said, adding that children won’t be affected.
Starting in 2027, those migrants with “unsatisfactory immigration status” on Medi-Cal, including those without legal status and those who have legal status but aren’t eligible for federally funded Medicaid, will also have to pay a $100 monthly premium.
The administration said that move is in line with the average cost paid by those who are on subsidized health plans through California’s own marketplace.
In total, the freeze is estimated to save the state $5.4 billion by 2028-2029.
With Post wires
