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Newsom Outlines $12 Billion Deficit and Freeze on Health Programs for Illegal Immigrants

by Andrew Powell
May 14, 2025 at 6:22 pm
in News
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Newsom Outlines $12 Billion Deficit and Freeze on Health Programs for Illegal Immigrants

CERES, CALIFORNIA - APRIL 16: California Governor Gavin Newsom speaks during a news conference at Gemperle Orchard on April 16, 2025 in Ceres, California. Governor Gavin Newsom and California Attorney General Rob Bonta have filed a lawsuit in federal court challenging the Trump administration's use of emergency powers to enact sweeping tariffs that hurt states, consumers, and businesses. The tariffs have disrupted supply chains, increased costs for the state and Californians, and inflicted billions in damages on California’s economy, the fifth largest in the world. (Photo by Justin Sullivan/Getty Images)

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California Gov. Gavin Newsom (D) wants help to freeze enrollment in a state-funded health care program for illegal aliens as the state faces a $12 billion deficit.

According to the Associated Press, Newsom made the announcement Wednesday, outlining a $322 billion state spending plan for the coming fiscal year.

Newsom reportedly directed the blame towards federal tariff policies and a volatile stock market, which California relies on for revenue via tax on capital gains.

The Democratic governor also took aim at President Donald Trump, saying his economic policies could reduce California’s revenues by $16 billion in the future.

“California is under assault,” Newsom said. “We have a president that’s been reckless in terms of assaulting those growth engines.”

Budget negotiations are now underway with California lawmakers, which needs to be signed by June.

Assembly Republican Leader James Gallagher called out Newsom for laying the blame for California’s money woes on Trump.

“Newsom’s finger-pointing on the budget shortfall is the biggest load of crap I’ve ever seen from a politician, and he shovels out a lot of it,” Gallagher said. “We’re in this mess because of his reckless spending, false promises, and failed leadership.”

Newsom said that the freeze on health care for illegal aliens, does not mean California doesn’t support them.

“No state has done more than the state of California; no state will continue to do more than the state of California by a long shot. And that’s a point of pride,” Newsom said.

The move has garnered pushback from Newsom’s own party, however, with Democratic state Sen. Dave Cortese saying he opposes the plan.

“Congress may be walking away from its obligation to the poor, the elderly, and the disabled, but California will not,” Cortese said in a statement.

Masih Fouladi, executive director of the California Immigrant Policy Center said the proposal goes against the commitment that was already made by the state.

“Questions about the practicality of the program aren’t even something that we want to entertain with,” Fouladi said. “The proposal just doesn’t match with our values as a state.”

Tags: CaliforniaDeficitDonald TrumpGavin Newsomillegal immigrantspoliticsU.S. News
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Andrew Powell

Andrew Powell

IJR, Contributor Writer

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