California Governor Gavin Newsom introduced a new budget proposal that would freeze the enrollment of new adult undocumented immigrants into the Medi-Cal public health program beginning in January 2026, as part of a plan to address the state’s growing deficit estimated at $16 billion.
In addition, the proposal includes charging a monthly premium of $100 to undocumented immigrants who are already enrolled, beginning in January 2027. Currently, about 1.6 million people without legal immigration status are enrolled in the program.
Why is this change being considered?

According to the California Governor’s Office, the state spends about $8.5 billion annually to provide health coverage to undocumented immigrants through Medi-Cal.
The objective of these new measures is to save at least $5.4 billion over the next few years, in the midst of a period of fiscal uncertainty.
Factors such as volatility in the markets, declining tax revenues, and tensions with the Federal Government, especially under President Donald Trump’s administration, have pushed the state to take drastic measures to balance its budget.
Who would keep their coverage?

The proposal would not eliminate coverage for those already enrolled.
Nor would it affect undocumented children, who will still be able to access Medi-Cal if they meet the requirements.
That is, current beneficiaries would continue to be covered, but no new undocumented adults would be accepted after 2026.
These modifications represent a significant step backward from the California governor’s previously stated goal of achieving universal health coverage regardless of immigration status.
Impact for Hispanics

The Hispanic community represents a high percentage of undocumented immigrants in California.
This proposal would directly affect access to health care for undocumented Hispanic adults.
A group that already faces obstacles to receiving adequate medical care.
The proposal would not eliminate coverage for those already enrolled
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Civil rights and health organizations have already expressed their concern.
They describe the measure as a threat to the welfare of thousands of working families who depend on this system for basic and preventive care.
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