A new study alleges California’s path of large federal taxes funds towards healthcare for illegal immigrants.
This was claimed in a research by EPIC and the Paragon Health Institute connecting California’s Medicaid provider fees to around$ 4 billion in evident state funding for illegal immigrants ‘ care and related programs, though EPIC indicates this money emanates from federal payouts.
” They are exploiting an existing loophole within law”, Paul Winfree, president and CEO of the Economic Policy Innovation Center ( EPIC ), told Fox News Digital. ” State can do these company fees to funnel funds back to the state, that they are next using to pay for, to place illegal immigrants on Medicaid. That’s pretty actually what’s going on”, he said.
Recent legislation requires states to meet Medicaid provider income with equal payments, with the federal government providing 60 % corresponding funds to assist states with Medicaid expenses.
” Medicaid investing is supposed to be simultaneously financed by the federal government and state. But, states are exceedingly designing Medicaid funds laundering schemes that result in huge federal expenditures without any state economic obligation”, the paper said.
” The state of California, colluding with insurance companies who cover Medicaid beneficiaries, has created one of the most outrageous ones yet, a money laundering scheme that results in California obtaining more than$ 19 billion in federal money without any state contribution over the period from April 2023 through December 2026″ it added.
The document also noted these funds were “used to implement major expansions in the Medicaid program to fund illegal immigrants and long-term care ( LTC ) for the wealthy”. ” This scheme enriches insurers, attracts illegal immigrants to the United States, and adds mountains to the federal debt, all at the expense of working Americans”, it said.
Closing this provider tax loophole could save up to$ 630 billion, according to Winfree, as Republicans pursue significant budget savings through reconciliation.