California Governor Gavin Newsom announced plans to halt enrollment of low-income undocumented immigrants in a state-funded health care program from 2026 due to an unexpected cost increase. This decision, amidst economic uncertainty, signals Newsom's struggle to maintain his liberal health care objectives amid a budget shortfall. The proposal will also require existing enrollees to pay monthly premiums starting in 2027. The changes will not affect children and reflect a shift in the state's previously ambitious universal health care goals.
Under Newsom's plan, low-income adults without legal status will no longer be eligible to apply for Medi-Cal, starting in 2026, as the state faces economic challenges.
Newsom's decision highlights his struggle to protect liberal policy priorities amid budget challenges, faced with a $6.2 billion Medicaid shortfall.
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