The California state legislature has passed a measure that will use an Affordable Care Act (ACA) loophole called an “innovation waiver” to offer healthcare subsidies to illegal aliens. Through the innovation waiver a state can apply to expand coverage as along as they pay the extra costs, which could be in the billions.
If the measure is approved, it would make 390,000 illegal aliens living in California eligible for healthcare subsides. The average federal subsidy is around $3,300, which means this waiver could cost California taxpayers $1.3 billion annually. Some estimate that California provides larger subsides, especially for lower-income families that are closer to $5,200, which would raise the price tag for taxpayers to over $2 billion annually.
The bill was passed by the state legislature and awaits the signature of Calif. Governor, Jerry Brown. Once signed the waiver must receive final approval from the Obama administration.
Illegal aliens are supposed to be banned from receiving subsidies under Obamacare, however around 500,000 illegal aliens received around $750 million in subsidies in 2015 alone.
It is not clear if the illegal aliens will receive the same amount in subsidies as American citizens but if this waiver is approved it would be a heavy burden to a state already drowning in debt. Last month Gov. Brown sent out a press release saying that the state could not pay off the $430 billion it already owes and the governor’s office projects that California will have a $4 billion budget deficit by 2019.
Read more on this story at Immigration Reform.com.
Updated: Tue, Jun 28th 2016 @ 2:05pm EDT