Kim wants timeline on when California will pay back misused Medicaid funds

U.S. Rep. Young Kim (R-CA) recently expressed concern over reports from the Centers for Medicare & Medicaid Services (CMS) that California misused more than $1.3 billion in federal Medicaid funds to provide non-emergency healthcare services for illegal aliens. 

“This raises serious issues regarding California’s improper use of taxpayer dollars and jeopardizes access to care for California’s legal residents who depend most on these vital healthcare services,” wrote the congresswoman in a Jan. 22 letter sent to California Gov. Gavin Newsom, a Democrat.

The Personal Responsibility and Work Opportunity Reconciliation Act of 1996 prohibits illegal aliens from accessing most federal benefits, including Medicaid, wrote Rep. Kim, while the One Big Beautiful Bill Act of 2025 included language to further limit Medicaid eligibility to lawful permanent residents, with limited exceptions. 

“While Medicaid funds may cover emergency services regardless of immigration status, CMS’s audit revealed that these federal dollars were improperly used for non-emergency care for illegal aliens,” she wrote. “Such misuse and diversion of resources away from California’s most vulnerable citizens reflects a failure to responsibly manage taxpayer funds.”

On Jan. 19, CMS requested that California reimburse the federal government for Medicaid funds that were improperly claimed, according to Rep. Kim’s letter, which includes her request that Newsom answer several related questions. 

For instance, she wants to know when Newsom’s administration will cease providing Medicaid-funded healthcare services to individuals who are not legally eligible under federal law, and what its plan and timeline are to repay the federal funds that CMS has determined were improperly claimed.

“I look forward to your responses so that we can continue to protect Americans’ access to health care and restore fiscal responsibility,” wrote Rep. Kim.