California Democrats are considering a new tax to preserve Medi-Cal coverage for undocumented immigrants amid a budget shortfall. While Governor Newsom has proposed freezing enrollment, progressive lawmakers argue that cutting access would harm vulnerable communities. No formal tax proposal has been introduced, but discussions include expanding the MCO tax or introducing a targeted surcharge. Polls show most Californians oppose taxpayer-funded healthcare for undocumented residents, raising questions about political feasibility. Advocates say the move is about equity and public health, while critics warn it could deepen fiscal strain and fuel political backlash.

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