Wow, I never would've guessed California would run into financial trouble after coming up with something like this:
That was January 2024.
And just last month, Gavin Newsom's Department of Finance alerted lawmakers that they needed a $3.4 billion loan to cover healthcare costs for the state's Medi-Cal program, which is financed both by the state and federal government and had just been reworked to cover illegals.
Fast-forward to this week, and they're asking for even more money.
That initial $3.4 billion was to keep the program running through March, and now Newsom is getting $2.8 billion to keep the program running through June.
A quick reminder:
According to state data, roughly 1.6 million illegal immigrants are currently enrolled in Medi-Cal, part of the program's total 15 million enrollees. The state had initially projected the expansion would cost just under $6 billion for fiscal year 2024 - 2025. But just one year in, the costs have surged far past that estimate.
Newsom's latest budget proposal now puts the cost of covering illegal immigrants at $8.4 billion for 2024 - 2025, and $7.4 billion the following year.
Some salt in the wound here for Newsom:
Newsom justified this free healthcare plan, saying he's always been a believer in universal healthcare.
That's like me telling my wife I stand by my decision to bankrupt the family by golfing everyday because I've always been a firm believer in golf as an antidepressant.
It looks like Republicans don't have much of a voice when it comes to lawmaking in California, so look for more loans of similar value over the next few months. Republicans are trying to get an audit of Medi-Cal, but good luck with that.
On the bright side, at least conservatives who sit down for an interview on Newsom's podcast will have this wonderful gem of a failed universal-healthcare-for-illegals program to talk about during their interview.
Should make for some great content!
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