
California Governor Gavin Newsom issued a warning on Friday that as many as 3.4 million residents of the state could lose their Medi-Cal health insurance if a proposed federal budget bill currently moving through the U.S. Senate becomes law.
The governor’s statement underscores growing concerns over the potential impact of federal legislation on state-administered public health programs. Medi-Cal, California’s Medicaid program, provides essential health coverage to low-income individuals and families. Any changes to its funding or eligibility requirements could significantly affect millions of people who rely on the program for basic healthcare services.
While full details of the budget bill have not yet been disclosed, preliminary analysis by state officials suggests that provisions within the legislation could reduce federal support for Medicaid, thereby forcing California to reevaluate or cut coverage for existing beneficiaries.
“If this bill passes as currently written, we estimate that 3.4 million Californians could lose their Medi-Cal coverage, putting their health and financial security at risk,” said Governor Newsom. He added that such changes would disproportionately affect vulnerable populations across the state.
In light of the potential implications, Newsom urged federal lawmakers to consider the real-world consequences of the proposed cuts and to seek alternatives that would preserve access to care for those in need.
California’s Medi-Cal program serves approximately 15 million residents, one of the largest Medicaid populations in the nation. The anticipated threats from the federal budget bill arrive at a time when the state is still recovering from pandemic-related public health and economic challenges.
Advocacy groups and healthcare providers have also voiced concern, arguing that the proposed federal measures would undermine efforts to expand and maintain accessible healthcare in California.
The U.S. Senate has not yet voted on the bill, and negotiations remain ongoing. Meanwhile, state officials continue to analyze the legislation’s potential impacts and explore policy responses to safeguard coverage for those who depend on Medi-Cal.
The situation remains fluid, and further developments are expected in the coming days as the legislative process unfolds in Washington, D.C.
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