California Takes Out $3.44 Billion Loan to Pay Growing Medi-Cal Costs

State senator says Republican lawmakers will demand a full hearing to find how the money will be spent.

California Gov. Gavin Newsom speaks to reporters at the Davis Ranches in Colusa, Calif., on Dec. 10, 2024. Travis Gillmore/The Epoch Times

California borrowed $3.44 billion this month to pay for cost overruns for its state-funded health care plan, the finance department reported on March 12.

The loan drew criticism from some lawmakers as they blamed the state’s decision last year to fund health care costs for illegal immigrants.