California Limits Medi-Cal for Undocumented Immigrants From 2026

California Governor Gavin Newsom has proposed significant rollbacks to Medi-Cal expansions that had provided free healthcare to undocumented immigrants, aiming to address the state's growing budget deficit, now estimated at $12 billion. The revised 2025-26 budget would freeze enrollment for new undocumented immigrants aged 19 and over starting in 2026, while existing enrollees would retain their benefits; children under 19 would remain eligible. Additionally, beginning in 2027, those undocumented immigrants already on Medi-Cal would be required to pay a $100 monthly premium, which is expected to raise $2 billion in the first year. These measures are projected to save California billions of dollars, but critics argue they come too late to prevent financial strain caused by previous expansions. The cuts follow federal pressures, including potential reductions in federal matching funds for Medi-Cal recipients added during Obamacare expansions, further complicating the program’s fiscal outlook. Opponents of the rollbacks contend that the expansions were necessary but mismanaged, while supporters emphasize the need to prioritize healthcare resources for legal residents amid budget shortfalls.