SACRAMENTO, CA – Following the devastating rollbacks to health care for Californians already announced this morning, Governor Newsom’s full budget proposal included even more bad news for Californians and their health care. Health advocates expressed outrage at the full 2025-2026 state budget plan unveiled today by Governor Gavin Newsom, which would cut key programs and pull back on promised access to Medi-Cal.
This morning, advocates already said “hell no” to the direct and unconscionable attacks on our immigrant communities through proposals to freeze enrollment for undocumented adults in Medi-Cal starting in January, and add a $ 100/month premium for low-income undocumented Californians to access their care starting in 2026.
Now health advocates speak out on further attacks to our care, pushing back on proposals to rip away vital dental, in-home support services, and long-term care benefits for undocumented and lawfully present Californians, rollback access for many seniors in Medi-Cal by reinstituting an asset limit, and limiting access to one class of prescription drugs.
The following is a statement from Amanda McAllister-Wallner, Executive Director of Health Access California, the statewide health care consumer advocacy organization:
“We are disappointed by the proposed cuts in the Governor’s May revised budget to California’s health care system—cuts that would inflict real harm on the health and wellbeing of families across our state. Slashing access and benefits and raising costs for only certain Medi-Cal enrollees is not only short-sighted—it’s cruel. As many as 20% of undocumented and lawfully present Californians will lose coverage due to cost, and then be barred from reenrolling. These are our neighbors, caregivers, workers, and loved ones, and denying health care threatens not only their lives but the health of our entire community.
“Every senior on Medi-Cal should be concerned about the reinstatement of the asset test. After years of hard fought advocacy, this barrier to care was just recently eliminated, making sure seniors did not need to impoverish themselves to receive needed care. It won’t save much money, but it will harm countless vulnerable seniors.
“This is a retreat from our state’s promise to create a more equitable and accessible system. It pulls back on hard-won progress in Medi-Cal just at the moment that our communities are under attack from our federal government and need care the most. California has been a national leader in health equity, and we cannot allow short-term budget concerns to dismantle that legacy.
“Governor Newsom’s budget is balanced on the backs of our state’s most vulnerable. It is more imperative than ever that our state legislators stand up to such a plan and reject these harmful and deadly cuts.
“Now is the time to invest—not divest—in our health. We urge Governor Newsom and the Legislature to deliver a budget that reflects our values: protecting access to care, maintaining our progress toward universal coverage, and ensuring that all Californians can live healthy, dignified lives.”
Health cuts proposed of note include:
- Blocking undocumented Californians from enrolling in Medi-Cal starting as soon as January 1. This would effectively end California’s efforts to enroll every Californian, regardless of immigration status.
- Adding a $ 100/month premium for adults with certain immigration statuses enrolled in Medicaid. Federal Medicaid policy recognizes that premiums for low-income individuals are a barrier to care and prohibits Medicaid premiums for those earning less than 1.5 times the federal poverty level, which is all adults in this expansion. In Covered California people at this income level would currently pay no premium, under the original ACA provisions they would pay $ 35 per month or less for a benchmark plan.
- Eliminates dental, in-home supportive services, and long-term care benefits for enrollees with certain immigration statuses creating a “separate but not equal” health care system depending on your immigration status.
- Reinstates the Medi-Cal asset limit of $ 2,000 making it more difficult for seniors in Medi-Cal to access their care.
- Ends coverage of GLP-1 inhibitors for certain conditions in Medi-Cal, setting a dangerous precedent by intervening in the doctor-patient relationship by banning one class of drugs for prescriptions.
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