California Democrats Propose Bill for Medi-Cal Coverage for Undocumented Immigrants
Two Democratic lawmakers in California have put forth a proposal aimed at reinstating full Medi-Cal coverage for undocumented individuals aged 19 and above.
In June 2025, Governor Gavin Newsom and the State Legislature decided to temporarily suspend new enrollments for undocumented immigrants to receive full medical benefits. This decision sparked criticism regarding potential impacts on taxpayers. Starting in January, those already enrolled will only receive limited coverage, such as emergency care and pregnancy services, funded by federal resources, while new applicants will be excluded from benefits like prescription drugs and routine medical visits.
Democratic State Senator Maria Elena Durazo and Congressman Joaquin Arambula are behind this new initiative. Known as the Medi-Cal Access Restoration Act (Senate Bill 1422), it seeks to lift the suspension and allow undocumented individuals aged 19 and older to access the full array of Medi-Cal services, albeit with some restrictions like premium payments and selected dental benefits.(Related: Illegal immigration is just the tip of the iceberg of problems in the trucking industry)
The language in SB 1422 indicates that “individuals 19 years of age or older without satisfactory immigration status would be eligible for the full range of benefits under Medi-Cal, subject to certain limitations.” It outlines that since counties determine eligibility, the bill will impose a mandatory local program for Medi-Cal eligibility changes.
California is on track to become the first state to offer expanded Medicaid to all undocumented immigrants by 2024. An estimate indicates there are around 700,000 undocumented immigrants in the state, with the expansion occurring alongside an anticipated budget shortfall of $68 billion.
By March 2025, estimates suggest that California will expend over $8.4 billion on healthcare for undocumented immigrants this fiscal year—substantially exceeding previous projections by about $5 billion.
In response to mounting public pressure regarding the costs, Newsom proposed a freeze on new registrations for those aged 19 and older starting in May 2025. An estimated 1.6 million undocumented immigrants already receiving benefits would be unaffected, as detailed by CalMatters.
Durazo defended the proposal, contending that “withholding basic health coverage doesn’t save money; it can lead people into debt. When individuals resort to emergency rooms, the costs escalate for all of us.”
Yet, even with a freeze imposed on new admissions, California projected over a $10 billion deficit for 2025, with expected shortfalls of nearly $3 billion in 2026, according to KTLA.
Supporters of the bill assert that a registration freeze won’t truly eliminate healthcare needs; rather, it would merely transfer financial burdens to counties, hospitals, and emergency facilities. Additionally, officials note that undocumented immigrants contribute about $48.5 billion annually in taxes to state and local economies, making up roughly ten percent of California’s workforce.According to KTLA.
