Resolution Urging Reconsideration of the Proposed Budget’s Draconian Asset Limitation Provision to Qualify for Medi-Cal Coverage

WHEREAS, Governor Newsom’s 2025-26 May Revision Budget proposal1 includes a provision to reimpose a draconian asset limitation of just $2,000 per individual or $3,000 per couple for seniors and disabled adults to qualify for Medi-Cal coverage – a level that is so low that it bears little resemblance to the actual needs of recipients or the realities of the current cost of living in our state, and

WHEREAS, Medi-Cal covers approximately 15 million people, more than one-third of California’s population, analysis has shown that the same stringent asset limitation of $2,000/$3,000 in the Supplemental Security Income (SSI) program, which has not been updated to reflect cost of living increases since 1989, “creates significant challenges for applicants, beneficiaries, and SSA [Social Security Administration], which is underfunded and overworked,”2  and 

WHEREAS, adding an additional asset limitation on top of the current income limitations is simply punishing people who are already struggling to make ends meet, adds an extra administrative burden on both recipients and program administrators, directly hurts the ability of individuals and families to build a minimum financial foundation to climb out of poverty, and achieves savings solely through blocking people in need from affordable health care rather than addressing core expense or efficiency considerations; 

THEREFORE, BE IT RESOLVED, that the Sonoma Democratic Party calls upon Governor Newsom and the State Legislature to keep an income-based eligibility structure in place and seek less harmful avenues to achieve budget savings; and

BE IT FURTHER RESOLVED, that the Sonoma Democratic Party calls upon its members and allies to reach out directly to Governor Newsom and our state legislators asking them to reverse course on this flawed proposal. 

NOTES: 

     1 – https://ebudget.ca.gov/2025-26/pdf/Revised/BudgetSummary/HealthandHumanServices.pdf 

     2 – https://www.cbpp.org/research/social-security/the-case-for-updating-ssi-asset-limits 

Resolution adopted by the Sonoma County Democratic Party on June 10, 2025