SACRAMENTO, CA — The California Budget & Policy Center (Budget Center), in collaboration with the California Immigrant Policy Center (CIPC), released a new report today: How Federal and State Budget Cuts Threaten Latinx Californians. The report details how harmful recent federal and state budget cuts are slashing access to health care, food assistance, child care, housing, and higher education, which disproportionately harm Latinx — the state’s largest racial and ethnic group — and immigrant Californians.
The report highlights how the recently enacted federal budget — supported by all California Republican representatives and signed by the Trump administration — includes trillions of dollars in cuts to programs that millions of Californians rely on to meet their basic needs. At the same time, California state leaders have imposed harmful cuts to vital services and introduced harmful premiums to Medi-Cal that apply only to certain immigrants, exacerbating the damage caused by federal actions. Together, these decisions jeopardize the health, safety, and economic security of Latinx and immigrant families and communities across the state.
“There is no California without Latinx Californians, and recent state and federal cuts put their health and well-being at serious risk,” said Hannah Orbach-Mandel, policy analyst at the California Budget & Policy Center. “Instead of further targeting Latinx families with harmful cuts, state leaders must take bold action to protect and restore access to food, housing, health care, and education for all Californians.”
The analysis shows:
- Health care: More than one-third of Latinx Californians (33.9%) are covered by Medi-Cal, including 42% of Latinas. Federal and state cuts to Medi-Cal could result in more than 1 million Latinx Californians losing health coverage.
- Food assistance: Over 1 in 4 Latinx Californians receive CalFresh, and more than half of WIC participants are Latinas. Federal cuts to food programs mean billions in lost funding and stricter eligibility rules, directly threatening families’ ability to put food on the table.
- Child care: Latinx families face the highest costs relative to income, with single Latina mothers spending more than 70% of their income on child care without subsidized programs. New federal restrictions on Head Start access will further reduce affordable child care options.
- Higher education: Pell Grants help over 400,000 Latinx students attend college, covering nearly three-quarters of California State University (CSU) tuition. Cuts to Pell Grants would make higher education even less affordable, blocking pathways to opportunity.
- Housing: More than half of Latinas (54%) are rent burdened, and proposed federal cuts to housing assistance will deepen instability and hardship for Latinx renters already struggling to afford housing.
- Immigration enforcement: While slashing safety net programs, the federal budget boosts immigration enforcement with over $170 billion in unrestricted funding, intensifying fear and instability in Latinx and immigrant communities.
“This report demonstrates that Latinx Californians, many of whom are immigrants or from mixed-status families, will be directly and disproportionately harmed by the latest budget cuts and made worse by the intensifying federal attacks targeting immigrant communities,” said Edgar Ortiz, economic justice supervisory policy manager at the California Immigrant Policy Center. “While these cuts and attacks present strong challenges, our state elected leaders’ resolve and response must be stronger so that all Californians, no matter their immigration status, have access to essential services and opportunities to live safely and thrive.”
The report urges state leaders to reject harmful federal policies and ensure that California does not exacerbate inequalities through its state budget choices. Policy recommendations from the Budget Center and CIPC include raising new, ongoing state revenue through corporate tax reforms, protecting access to Medi-Cal and CalFresh, investing in affordable housing, and increasing funding for immigrant legal services.
California’s future depends on ensuring Latinx Californians — and all communities — have the resources they need to achieve economic security as prices continue to rise.
For more information, visit www.calbudgetcenter.org/resources/.
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About the California Budget & Policy Center:
The California Budget & Policy Center (Budget Center) is a nonpartisan research and analysis nonprofit advancing public policies that expand opportunities and promote well-being for all Californians.
About the California Immigrant Policy Center:
The California Immigrant Policy Center (CIPC) is a constituent-based statewide immigrant rights organization with offices in Los Angeles, Sacramento and Fresno. It is a leading immigrant rights institution in the state. CIPC advocates for policies that uphold the humanity of immigrants and refugees in California by transforming systems to achieve racial, social, and economic justice.
