Ex-Biden official running in blue state gubernatorial race must tackle key issue amid skyrocketing costs
California gubernatorial candidate and former Health and Human Services Secretary Xavier Becerra said the state may need to rein in its Medicaid program as it faces concerns about costs partly related to those in the country illegally using the system.
Becerra, a Democrat who previously served as the Golden State’s attorney general, explained his stance in an interview with Fox 11 Los Angeles this week.
"I believe we should eventually get there," he said about allowing people to enroll in Medi-Cal even if they’re undocumented.
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"Can we afford to do it? That's where a governor has to decide... if we can’t afford it, we have to be realistic. If we can't afford it, how do we do it?" he added.
"But when you do the scrub… this is where it’s important, if you don’t have the dollars to do it, how do you do it? You need the money. California needs a balanced budget. You scrub it. If you find a way, you do it and don’t delay. But if you scrub it and you can’t figure out how to do it, then that’s the reality and that’s the choices we have," the former Biden official continued.
The overall Medi-Cal program was originally expected to cost $6 billion until a California budget official revealed that it’s projected to cost $9.5 billion this fiscal year. The governor’s office then asked for two separate loans, totaling $6.2 billion.
When asked by KCRA, Gov. Gavin Newsom, who is term-limited and will leave office in January 2027, said that while illegal immigrants in the program are not the whole issue, it’s a contributing factor.
"That’s partial," Newsom said last month.
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"With tough fiscal choices ahead, Governor Newsom, jointly with Pro Tem McGuire and Speaker Rivas, will evaluate proposals to rein in long-term spending – including in Medi-Cal – while working to protect the core health and social services Californians rely on," Newsom spokesperson Izzy Gardon said in a statement to Fox News Digital. The governor and his office have said rising costs have led to higher than expected Medicaid costs in other states that do not allow illegal immigrants to enroll.
"Immigration status doesn't matter," according to the California Department of Health Care services website, but Republicans have staunchly criticized allowing illegal immigrants in the program.
"Even Jerry Brown refused to expand Medi-Cal to all illegal immigrants because he knew it was fiscally irresponsible and unsustainable," California Senate Minority Leader Brian Jones tweeted last month. "Now under Newsom, legal residents are paying the price both financially and in reduced access to healthcare. The public deserves answers: Why are the costs so much higher than what Newsom promised? What is Newsom’s plan to fix the financial disaster he created?"
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The 2026 California governor’s race is expected to be contentious, as Becerra, former Rep. Katie Porter, former Los Angeles Mayor Antonio Villaraigosa, and Lt. Gov. Eleni Kounalakis are already in the race on the Democratic side. Reports swirl that former Vice President Kamala Harris could make her comeback into politics after losing the 2024 election by running for governor. On the Republican side, Riverside Sheriff Chad Bianco is currently in the race, and many others are expected to join him.