DeMaio also warns that the Democrat budget plan uses “Enron-style” accounting gimmicks to pretend that it is balanced. Photo courtesy of Assemblyman Carl DeMaio Team


SACRAMENTO, CA (MPG) - June 13 marked the official deadline for Calif. state legislators to pass the annual state budget – but California State Assemblymember Carl DeMaio spoke against the budget plan to expose how the bill contains a “poison pill” that will cut $11.2 billion in funding from MediCal programs for citizens who are the most needy in the state – all because Democrats want to gift $12.1 billion in free healthcare coverage to illegal immigrants.

"By passing this shameful budget, California Democrat politicians are once again prioritizing the needs of illegal immigrants over the needs of the struggling citizens of California," said Assemblyman Carl DeMaio.

DeMaio specifically points to the pending changes in rules governing the federal Medicaid program – which Governor Gavin Newsom and Calif. Democrats have been warned about – that would impose a 10% penalty in federal funds for Medicaid on any state that provides healthcare coverage to illegal immigrants. DeMaio’s office released a financial assessment of the impact to California in the coming year: $11.2 billion in penalties.

DeMaio warns that those penalties will result in immediate cuts in services to citizens in California – including the poor, the disabled and the elderly.

“Governor Gavin Newsom and California Democrat politicians clearly know damn well that their decision in this budget to gift $12.1 billion in free healthcare coverage to illegal immigrants will come directly at the expense of our own citizens who are the most needy – such as the elderly, low-income children, and the disabled – but they simply do not care,” said DeMaio.

DeMaio also warns that the Democrat budget plan uses “Enron-style” accounting gimmicks to pretend that it is balanced. DeMaio and fellow Republicans plan to offer an amendment to the budget to correct the biggest flaws in the budget plan, including:

End High Speed Rail: Cancelling $1 billion in the budget for this wasteful boondoggle which DeMaio says state politicians use to reward their campaign contributors.

Protect Public Safety: Fully fund implementation of Proposition 36 to give police and prosecutors the ability to arrest and punish criminals – while also providing $1 billion for wildfire risk mitigation.

Eliminate Illegal Immigrant Healthcare: Save $12.1 billion – and eliminate the $11.2 billion in penalty cuts to citizens on MediCal.

In January, DeMaio – who is a nationally-recognized government budget expert – exposed billions in budget overages in the state’s Medi-Cal program stemming from the decision in 2024 to grant full healthcare coverage at taxpayers’ expense to all illegal immigrants in the state. DeMaio exposed that the program this year cost $10 billion – and is projected to cost $12.1 billion next year.

DeMaio has since called on the federal government to audit and investigate the entire Medi-Cal program for possible illegal use of federal funds for the coverage of undocumented individuals.

DeMaio will deliver remarks during the budget debate this morning on the Assembly Floor. DeMaio is available by phone or zoom for interviews – or in-person at the State Capitol.