Taxpayers to Cover Costs of California’s $3.1 Billion Healthcare Program for Undocumented Migrants

California started the new year by making history, becoming the first state to expand its state healthcare program to include all undocumented immigrants. This move means that approximately 700,000 undocumented immigrants living in California will now have access to healthcare coverage.

The program, which is estimated to cost taxpayers around $3.1 billion, brings California one step closer to its goal of providing universal healthcare to its roughly 39 million residents. California State Sen. Marรญa Elena Durazo praised the move, calling it a “historic investment” that demonstrates the state’s commitment to healthcare as a human right.

California is now the most populous state to guarantee healthcare coverage to undocumented immigrants, although Oregon began doing so in July. Previously, undocumented immigrants were not eligible for full coverage health insurance but could receive emergency and pregnancy-related services under Medi-Cal if they met certain eligibility requirements, including income limits and California residency.

In 2015, California extended health care benefits to low-income children without legal status. Under the new plan, which is one of California’s most ambitious coverage expansions in a decade, every undocumented immigrant between the ages of 26 and 49 will receive full coverage.

Governor Newsom’s office emphasized the state’s belief that everyone deserves access to quality, affordable healthcare coverage, regardless of income or immigration status. They stated that through this expansion, California aims to ensure that families and communities across the state are healthier, stronger, and able to access care when needed.

Despite these positive intentions, the plan to expand healthcare insurance to thousands of undocumented migrants has faced criticism. The California Senate Republican Caucus highlighted the state’s budget deficit and questioned whether now was the right time for such a significant policy change.

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Senate Minority Leader Brian Jones also expressed concerns about the cost, citing estimates that put the annual cost of providing Medi-Cal to all undocumented immigrants at over $6.5 billion. He argued that with over 300,000 undocumented migrants crossing into California from the Mexico border in 2023 alone, the costs of the program would only increase. Jones called on Democrat politicians to work with Republicans to freeze the expansion of Medi-Cal for undocumented immigrants while the state balanced its budget.

However, studies have shown that undocumented immigrants actually use fewer healthcare resources than non-immigrants. According to the health policy research nonprofit KFF, about 50% of undocumented immigrant adults in America are uninsured, compared to just 8% of U.S.-born citizens. This is largely because undocumented adults are more likely to work jobs without health benefits and face eligibility restrictions for federal programs.

Dr. Efrain Talamantes, chief operating officer at AltaMed in Los Angeles, the largest federally qualified health center in California, sees the expansion of healthcare coverage to undocumented immigrants as a positive step. He believes that providing comprehensive care to all residents will help keep communities healthier overall.

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