New Data Suggests Significant Increase in Ambulance Costs in California
The Department of Homeland Security (DHS) has pointed to alarming new figures from California, indicating that taxpayer-funded ambulance transport costs could see a staggering increase of up to 383%. This statistic is being used by the Trump administration to criticize California Governor Gavin Newsom, particularly regarding his decision to provide medical services to undocumented immigrants through state- and federally-funded Medicaid.
Both DHS and the White House have been vocal about their criticisms of how undocumented immigrants are accessing medical benefits, particularly emergency services. This issue played a significant role in the recent discussions that contributed to the government shutdown.
“President Trump has made it clear that he intends to protect Medicaid for those who meet qualifications,” stated DHS Assistant Secretary Tricia McLaughlin. “With President Biden allowing millions of undocumented immigrants into the country, we need to explore measures to ensure that Medicaid benefits are reserved for law-abiding Americans.”
Earlier this year, California was forced to freeze Medi-Cal enrollment for undocumented immigrants, underscoring a need to better manage this situation. McLaughlin noted that this change signals that the state should understand the financial implications of such policies.
In May, Newsom announced a plan to freeze new Medi-Cal enrollments for undocumented individuals starting in 2026. Additionally, he indicated intentions to introduce a premium for those already enrolled beginning in July 2027.
The California Legislature grapples with these measures, leading to a budget that reflects significant adjustments to Medicaid for undocumented adults. Initially, Newsom aimed to establish a $100 monthly benefit; however, this was negotiated down to $30 by Democratic lawmakers.
Undocumented individuals not currently enrolled in Medi-Cal will lose eligibility as of 2026. While they generally receive Medicaid through emergency services, ambulance transport stands out as a particularly costly area for taxpayers. Data from the California Department of Health Services shows that, starting in 2022, the cost of taxpayer-funded ambulance trips jumped from $339 to $1,168 by 2024.
California has made two requests to the Centers for Medicare and Medicaid Services (CMS) to raise ambulance transport fees further, projecting increases of $1,597 in 2025 and $1,637 in 2026—amounting to nearly 382%. Although the specific reasons for the rise in costs haven’t been detailed by the department, DHS has hinted at a relationship between the number of undocumented immigrants receiving services and the increased financial burden.
DHS emphasized the importance of gathering detailed information on undocumented immigrants who qualify for health benefits, arguing it will help identify public safety and security concerns. “California leaders need to prioritize Americans over illegal immigrants,” McLaughlin added.
Additionally, California benefits from federal Medicaid assistance through intergovernmental transfers (IGT), a practice that allows the state to augment Medicaid spending funded by federal taxes. This loophole might contribute to the inflated ambulance costs, as seen in California where public transportation rates have surged while private provider rates remain much lower.
Overall, while other states have found ways to maximize Medicaid funding, California’s sizable undocumented population makes it a focal point in the Trump administration’s immigration enforcement efforts.
Fox News Digital reached out to Newsom’s office for a statement but has yet to receive a response.
