In an extraordinary act of financial mismanagement, California Governor Gavin Newsom (pictured above), a prospective 2028 presidential candidate, is taking out $6.2 billion in loans from the state’s general fund to meet a Medicaid funding shortfall – a direct consequence of his decision to add 1.6 million illegal aliens to the program.
While “borrowing” money might cover the gap in the short run, the true problem is that overloading welfare with millions of illegal aliens is financially unsustainable. Even worse, federal taxpayers are now on the hook for California’s far-left excess thanks to a Biden-approved scheme that lets the state take in billions of extra dollars from the federal government to fund Medicaid expansion.
The problems began in 2022 when Newsom and the state legislature celebrated becoming “the first state in the nation to provide universal access to affordable health coverage for lower-income individuals by providing coverage for Californians ages 26 to 49, regardless of immigration status.” This followed a 2019 decision to expand the taxpayer-funded health insurance plan to all residents 26 years old and younger, even illegals…