As federal attacks escalate, health, labor, and disabled community advocates call on Legislators to stand up for our health with revenue solutions that prevent Medi-Cal cuts and keep Californians covered

LOS ANGELES, CA – Following Governor Newsom’s release of his May Revise to the 2026-2027 state budget, the Fight for Our Health campaign, led by SEIU California, Health Access, and the California Pan-Ethnic Health Network, issued the following statement expressing concern that the budget proposal doesn’t include a strong enough plan towards sustainable, long-term revenue sources to offset the devastating impact of H.R. 1 and protect Californians’ access to health care.

“With the health care of millions of Californians on the line, Governor Newsom’s proposed budget doesn’t go far enough to meet this moment,” said Rachel Linn Gish, Interim Deputy Director, Health Access. “The Governor’s budget takes important steps to hold corporations accountable and address the health care affordability crisis by allocating $300 million for Covered California enrollees. However, our Medi-Cal program is under attack – H.R. 1 contains the largest health care cuts in American history, and just yesterday the Trump Administration targeted California families directly by stripping another $1.3 billion from Medi-Cal. With Washington’s single-minded focus on taking away our care, California must take bold action to ensure we have the revenue needed to protect our health care programs. The Senate has already put a solution on the table — a fair share contribution from the corporations receiving the biggest federal tax breaks to help fund the coverage those same workers depend on. We urge the Governor to work with the Legislature to make this a reality.”

Governor Newsom’s California budget included a new proposal to limit corporate tax credit use that could generate some revenue, but not nearly enough to keep Californians covered. The Senate solution should continue to be considered: a fair share contribution from the corporations pocketing the biggest federal tax windfall to help cover the health care costs of the workers they’ve left behind. A budget that ignores this reality — and this path forward — is a budget that asks working people to keep picking up the tab while corporations pocket the windfall.

“Without sufficient long-term, structural revenue solutions, California is making a choice to let our most vulnerable communities bear the consequences of Washington’s cruelty alone,” said Kiran Savage-Sangwan, Executive Director, California Pan-Ethnic Health Network. “The Senate and the Governor have each proposed one solution and we urge lawmakers to pursue all solutions that put Californians health over corporate profits. Immigrant families, communities of color, seniors, and people with disabilities cannot afford for Sacramento to kick this can down the road. California needs multiple revenue solutions and we need the Governor and the Legislature to get more done for health care before the final budget is signed.”

The Fight for Our Health coalition is calling on Governor Newsom and the California Legislature to include in the final state budget a long-term revenue solution that reflects the Senate’s fair share contribution framework, directs funds back to Medi-Cal and Covered California, holds the corporations benefiting most from federal tax windfalls accountable for their share of cost, and protects workers from discrimination based on their coverage status.

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