🌴California Governor Gavin Newsom's 2025-26 budget froze new Medi-Cal enrollment for undocumented immigrants and imposed $100 monthly premiums starting in 2027 after the program cost $2.7 billion more than projected. His administration borrowed $3.4 billion from the state's general fund to cover unexpected costs while preparing for potential 2028 presidential campaign fundraising.

🌽Illinois Governor JPJB Pritzker ended the Health Benefits for Immigrant Adults program in July 2025, eliminating coverage for 30,000 undocumented residents to save $404 million annually. The program cost 286% more than the $1 billion projection when created in 2021, giving Pritzker political cover to blame 'Trump and Republicans tanking our national economy' for cuts.

🦆Minnesota Governor Tim Walz signed legislation ending undocumented adult eligibility for MinnesotaCare, stripping coverage from 17,000 people and saving $56.9 million through bipartisan support in the evenly divided House and Democratic-controlled Senate. Undocumented children retain eligibility, creating selective healthcare access based on age and political palatability.

House Republican reconciliation bills threaten to reduce federal Medicaid matching rates from 90% to 80% for expansion states covering undocumented immigrants, potentially costing 🌴California $3 billion annually in federal reimbursements. 🏜️Utah and 🌽Illinois have 'trigger laws' that would terminate entire Medicaid expansion programs if federal matching rates decline.

Fourteen states plus 🏛️D.C. use state-only funds to provide health coverage to undocumented children, with seven also covering adults, creating a patchwork system vulnerable to federal financial coercion. Emergency room visits by undocumented immigrants increased 23% as preventive care became inaccessible through eliminated state programs.

Progressive strategist Jennifer Driver warned the cuts 'feed into the conservative narrative that undocumented immigrants are a drain on our communities,' while National Immigration Law Center's Tanya Broder argued that 'terminating state coverage will compromise our collective health and healthcare infrastructure serving all residents.'

🌴California state Senator Scott Wiener advocated resistance, saying 'We need to stand our ground. California has made a decision that we want to provide healthcare to our residents regardless of immigration status,' but maintaining this position requires absorbing massive federal financial penalties.