California needs $3.4B loan to cover health care costs as state provides insurance to undocumented residents [WAIT 'til you see what the governor's office said.]
Letter doesn’t say it, but state leaders expanded Medi-Cal last year to provide health insurance to undocumented people.
The administration underestimated how much that would cost.
Last month, @carldemaio pressed the admin about the total cost of the expansion.
Original estimate was $6 billion this year, but so far that's now $9.5 billion, most of which is from general fund.
Speaker Rivas then removed DeMaio from the committee.
The loan will come from the state's general fund, an account used for economic uncertainties. Still taxpayer dollars.
Finances are already a bit tight and uncertain at the moment, as lawmakers have been discussing for the last several weeks.
Newsom’s spox @iGardon:
“This isn’t new — as the admin outlined in the Governor’s January budget proposal, additional funding is needed to support Medi-Cal. Rising Medicaid costs are a national challenge, affecting both red and blue states alike. This is not unique to CA”
My reply:
And Lance Christiansen’s (President of California Policy Partners & 2022 CA Supe of Public Instruction nominee) reply:
And BTW: This will NOT alleviate the burden on Emergency Room visits by illegal aliens. Arguably, some of this obscene sum of money will go to hospitals treating uninsured non-citizens who are here illegally.
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