Gavin Newsom says California faces a $12 billion deficit and wants to freeze undocumented immigrant health program access

California is facing a $ 12 billion deficit, the governor of the state, Gavin News, wants to help closing through freezing in the state’s health care program for immigrants who live in California without legal status.

Newsom announced the deficit and its plan to cover it on Wednesday, as it set a government spending plan worth $ 322 billion for the next fiscal year.

In addition to high spending, newsom has blaming the wide economic uncertainty, including federal tariff policies and the volatile stock market. California depends greatly on revenues from a tax on capital gains.

Newsom, a democracy, highlighted California’s contributions to the American economy and the global economy and said that President Donald Trump’s economic policies can reduce the state’s revenues by $ 16 billion in the coming years.

“California is under attack,” he said. “We have a president who was reckless in terms of assault on these growth engines.”

It now opens budget negotiations with legislators. The final budget must be signed by the end of June.

Republican leader, James Gallagrom, criticized the association for blaming many of the state budget problems on Trump.

Gallaghar said: “The preparation of the news of the news on the lack of budget is the largest load of nonsense that I have ever seen from a politician, and he was sweeping a lot of it.” “We are in this chaos due to its reckless spending, false promises, and a failed leadership.”

Freezing on migratory health care

The decision highlights the newsom struggle to protect the priorities of liberalism from the budget challenges in its last years on the job, while weighing its next political movement, which can include the presidential tour.

Immigration has become a strong issue in the national level. Nearly half of the Americans agree to President Donald Trump’s most striking approach, according to a poll conducted by AP-NORC in April. Meanwhile, Republicans in congress threatened to reduce the medical aid funds of the countries that registrate immigrants who live in the country illegally.

New Zemm said that freezing does not mean that California is backing from its support for migrants.

He said: “No state has done more than California. No state will continue to do more than California with a long bullet. This is a pride point.”

California was one of the first states that extend to the advantages of free health care for all adult poor people, regardless of the migration state last year, an ambitious plan described by newsom to help more in the country overcrowding in the country near the goal of comprehensive health care. But the cost lasted 2.7 billion dollars more than the administration expected. The country has more than 1.6 million people without legal status registered in the health care program this fiscal year, according to the budget.

In March, newsom suggested that he was not considering retracting the health advantages of migrants because the state was wrestling with a minimum of $ 6.2 billion. He also defended the expansion over and over, saying that he provides state money in the long run. The program is funded by the state and does not use federal dollars.

Under the newsom plan, low-income adults will not be without a qualified legal status to apply for Medi-Cal, a Medicaid program in the state, starting in 2026. Those who have already registered will not be expelled from their plans, and changes will not affect children. Newsom has not said how long will freeze will continue.

Starting in 2027, adults with “unsatisfactory migration” will have to pay a monthly installment of $ 100. The Ruler’s Office said that this is in line with the average cost paid by those who are involved in Heath plans supported through the California market. There is no bonus for most people on Medi-Cal.

“We believe that people should have some skin in the game in terms of its connection with contributions,” New Nooring said.

The newsom office estimated that the changes will provide the country 5.4 billion dollars by the fiscal year 2028-2029.

Medi-Cal expanded, along with other factors such as high pharmacy costs and the largest joining of the elderly, forced California to borrow and clarify new financing to connect the hole to billions of millions earlier this year. California provides free health care for more than 39 million people.

Senator Dev Cortez, a democratic state, said he opposes the New Tirm plan to expand the coverage of some immigrants without legal status.

“Congress may go away from his commitment to the poor, the elderly and the disabled, but California will not do so,” Cortez said in a statement.

Masé Fouladi, Executive Director of the California Migrant Policy Center, said that New News is inconsistent with the commitment that the state is subjected to migrant society.

“Questions about the practical application of the program is not even something that we want to entertain,” he said. “The proposal does not match our values ​​as a country.”

This story was originally shown on Fortune.com

2025-05-15 09:26:00