The latest audit report released by the Centers for Medicare & Medicaid Services (CMS) in the United States shows that despite explicit federal laws prohibiting it, over $1 billion in Medicaid funds have been utilized for illegal immigrants, with California leading in such expenditures. Federal agencies are taking steps to recover these funds and hold the responsible states accountable.
According to preliminary audit results released on Friday, October 31, during the period of 2024 and 2025, California alone spent $1.3 billion in Medicaid funds to provide healthcare services to undocumented immigrants.
During this timeframe, aside from California, four other states and the District of Columbia also allocated substantial Medicaid funds for illegal immigrants.
Specifically, Illinois spent $29 million on healthcare for undocumented immigrants; Oregon spent $5.4 million; the District of Columbia and Washington state each spent $2 million; and Colorado allocated $1.5 million.
These states and the District of Columbia have not responded to requests for comments.
A spokesperson for the Department of Health and Human Services stated to The Epoch Times on October 31, “Protecting Medicaid from waste, fraud, and abuse is not optional, it’s required by law. Every dollar misused on illegal medical expenses is a dollar taken from vulnerable Americans.”
The spokesperson emphasized, “Federal law prohibits the use of Medicaid funds for illegal immigrants, but several Democrat-led states are willfully violating this. The Trump administration will not tolerate this situation. CMS is actively conducting audits, reclaiming every dollar, and holding states accountable.”
The “Medicaid program” currently provides healthcare services to approximately 78 million Americans, many of whom are from low-income groups.
In accordance with federal law, the program is intended for U.S. citizens and certain legally recognized immigrants, such as refugees.
Exceptions mandated by law include providing emergency medical services to undocumented immigrants who meet other qualifying criteria, as well as offering services to immigrant children and pregnant women protected under the Deferred Action for Childhood Arrivals program.
Health and Human Services Secretary Robert F. Kennedy Jr. stated, “Medicaid is a lifeline for vulnerable Americans – I will protect it from abuse. We are enhancing oversight of enrollment to safeguard taxpayer money and ensure these critical programs serve only those who truly qualify under the law.”
CMS has announced plans to begin providing updated information monthly to states, listing names of individuals not verified as citizens or legal immigrants through federal databases.
In August of this year, a federal judge blocked CMS from sharing Medicaid beneficiary data with the Department of Homeland Security responsible for immigration enforcement.
Recently, Health Department Deputy Secretary Jim O’Neill highlighted some instances on the social media platform X, where certain undocumented immigrants, despite committing serious crimes, are still receiving Medicaid benefits.
One such case disclosed on Friday revealed that a 53-year-old Cuban national convicted of murder was still receiving $1,537 in benefits through Medicaid.
These audit findings have sparked discussions on ensuring the lawful utilization of federal Medicaid funds and enhancing supervision of state-level programs.