Gov. Gavin Newsom is proposing an enrollment freeze that would impact undocumented adults and monthly Medi-Cal premiums for adults with “unsatisfactory immigration status” in his revised state budget proposal, which is set to be released on May 14.
The proposed adjustments for the 2025-2026 budget were listed in a fact sheet provided by the office of Newsom in an email to the Desert Sun.
Medi-Cal is the state’s Medicaid health care program. More than 14 million people were enrolled in Medi-Cal in March, the latest available figures on the Department of Health Care Services’ website.
The fact sheet partially cited increased costs due to higher enrollment and “higher-than-expected” utilization that has led to California making the “difficult but necessary steps to ensure fiscal stability and preserve the long-term viability of Medi-Cal for all Californians.” The changes, according to the fact sheet, are also the result of President Donald Trump’s tariff policy that is forecasted to weaken state revenue by $16 billion due to a “slowed economy.”
The California governor “remains committed to protecting immigrant communities who contribute to the fabric and economy of California,” the fact sheet read. “He refuses to turn his back on hardworking Californians, especially when it comes to their basic health care needs.”
What are the proposed changes to Medi-Cal impacting undocumented immigrants and others?
Medi-Cal enrollees 19 and older with “unsatisfactory immigration status,” or people whose immigration status makes them ineligible for Medicaid, would pay $100 monthly premiums beginning Jan. 1, 2027. Those with this status include undocumented immigrants, but also people with lawful status, read the fact sheet.
According to the fact sheet, this proposed premium is “in live with the average subsidized Covered California premium” of about $135 a month.
This adjustment would lead to $2.1 billion in estimated general fund savings by 2028 to 2029, the fact sheet read.
Additionally, there would be an enrollment freeze for full-scope Medi-Cal coverage for new, undocumented adult enrollees. Full-scope Medi-Cal covers services like doctor’s visits, dental, mental health care, and more, Health Services Los Angeles County explains. This is specific to those over age 19 and would not go into effect before Jan. 1, 2026. No one will be kicked off their health care under the freeze, and there is no impact on limited-scope coverage, such as emergency or pregnancy-related services, according to the fact sheet. The estimated general fund savings from this proposed change is $3.3 billion by 2028 to 2029.
Paris Barraza is a trending reporter covering California news at The Desert Sun. Reach her at pbarraza@gannett.com.
This article originally appeared on Palm Springs Desert Sun: Newsom budget revisal: What are the Medi-Cal proposals impacting undocumented Californians?
Reporting by Paris Barraza, Palm Springs Desert Sun / Palm Springs Desert Sun
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