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Trump Budget Bill Cuts SNAP And Medicaid In California

Millions of Californians face food and health care insecurity as new federal law slashes aid and shifts costs to states, with rural Trump-voting counties among the most affected.

6 min read

On July 4, 2025, President Donald Trump signed into law the so-called "Big Beautiful Bill," a sweeping federal budget reconciliation measure that promises to reshape the social safety net for millions of Americans. The bill, officially known as the 2025 Federal Budget Reconciliation Bill, enacts deep cuts to the Supplemental Nutrition Assistance Program (SNAP) and Medicaid, two of the country’s most vital anti-poverty programs. While the legislation aims to extend Trump-era tax cuts, it does so at the expense of those who rely on food assistance and health coverage—particularly in states like California, where the consequences are poised to be especially severe.

SNAP, which helps more than 42 million Americans afford groceries each month, will see its federal funding slashed by approximately $186 billion through 2034, according to the Congressional Budget Office, as reported by CNBC. The cuts are paired with significant cost shifts to states, which now must shoulder up to 15% of SNAP benefit costs depending on their payment error rates, and an increase in administrative cost coverage from 50% to 75%. In 2024, the average state error rate stood at 10.9%, meaning many states—including California—will be on the hook for the maximum share. California alone could owe $1.8 billion for SNAP funding in 2028, Feeding America estimates.

But the changes don’t stop there. The "Big Beautiful Bill" expands work requirements for able-bodied adults ages 18 to 64 without dependents, who must now prove at least 80 hours of work per month to stay eligible for SNAP. This extends the previous age range, which only applied to adults up to 54. Veterans, unhoused people, and those recently aged out of foster care will no longer be exempt from certain work requirements. Additionally, SNAP benefits will now be more strictly limited to lawful permanent residents and U.S. citizens.

"For decades, SNAP has been there for low-income families, and as a result, we have largely eliminated severe hunger and malnutrition in this country," Katie Bergh, senior policy analyst at the Center on Budget and Policy Priorities (CBPP), told CNBC. "But that's not a guarantee without the support that this program provides to help low-income families afford groceries."

The increased financial burden on states could have ripple effects throughout state budgets. As Bergh explained, "If a state cannot make up the percentage of SNAP it needs to cover, officials will be left with few options for making adjustments." States may slash funding in other critical areas like housing or public safety, raise taxes, restrict SNAP eligibility by adding administrative hurdles, or—if unable to compensate for the lost federal funding—terminate the program entirely. The CBPP warns that food banks, already stretched thin, "absolutely cannot fill the hole that losing SNAP would leave in a state."

Meanwhile, the bill’s impact on Medicaid—known as Medi-Cal in California—could be equally, if not more, profound. The Intersection reported that the "Big Beautiful Bill" enacts some of the deepest Medicaid cuts in a generation, with nearly 15 million Californians (over a third of the state’s population) currently enrolled. Key changes include monthly work requirements for adults without disabilities or dependents under age 13, who must now regularly prove they are working or seeking work to remain covered. Analysts warn that the new red tape could push hundreds of thousands off Medi-Cal, especially those in unstable jobs or caregiving roles.

Another significant provision penalizes states for using their own funds to cover undocumented immigrants through Medicaid. In California, this could force the state to reduce spending on services like prenatal and elder care that benefit the broader population. The legislation also restricts states’ ability to use provider taxes to trigger matching federal Medicaid funds, creating a multibillion-dollar shortfall in the Medi-Cal budget.

Adriana Ramos-Yamamoto, Senior Policy Analyst at the California Budget and Policy Center, emphasized the broader implications: "When we talk about the large-scale cuts, it is going to impact everyone. When people hear it, they might think, ‘Oh, this is going to take away healthcare for people who are undocumented.’ But actually this is going to be a devastating loss to our state budget and would impact so many more people."

In California’s 22nd congressional district, which includes parts of Bakersfield, Medi-Cal spending reached nearly $5.8 billion in 2024, according to the California Budget and Policy Center. Rural hospitals, clinics, and safety net providers—many already operating on thin margins—are bracing for the fallout. If federal funding disappears, these institutions could be forced to reduce services, lay off staff, or shut down altogether, threatening access to care for entire communities, regardless of insurance status.

Strikingly, the communities most at risk are often those that supported Trump in the 2024 election. The Intersection’s analysis of county-level data revealed that after adjusting for poverty and Hispanic population, counties where Trump won have about 12% more residents on Medi-Cal than those where he did not. In Fresno County, with a population of about 1 million, that translates to roughly 45,000 more Medi-Cal enrollees than in comparable counties that voted against Trump. This paradox—where the president’s supporters are often the most reliant on programs now facing cuts—raises questions about the disconnect between policy and voting behavior.

Shana Kushner Gadarian, a political scientist at Syracuse University, offered one explanation: "In the United States, people don’t necessarily know that what they get is a social program, and they don’t necessarily connect their benefits to the state." Medicaid, she noted, is often known by different names in different states, obscuring the link between federal policy and personal well-being. Gabriel Lenz, a political science professor at UC Berkeley, added, "People always generally assume that people are going be voting on policy and voting in their immediate self-interests. But we have good research that shows that that’s just rarely true."

Republican members of California’s congressional delegation, most of whom represent districts heavily dependent on Medi-Cal and all of whom voted for the "Big Beautiful Bill," have largely remained silent on the issue. Rep. Darrell Issa, however, voiced strong support for the bill’s work requirements, calling the reforms "on track for extraordinary success" and citing positive feedback from constituents.

The changes to SNAP and Medicaid won’t take effect overnight. The cost shift to states for SNAP begins in October 2027, and the largest Medicaid changes are scheduled to roll out ahead of the 2028 presidential race. The U.S. Office of Management and Budget forecasts that about 10.8 million Americans will lose Medicaid between 2025 and 2034, while the California Budget Office estimates up to 3.4 million could lose Medi-Cal during the same period.

As states, providers, and families brace for the coming changes, the full impact of the "Big Beautiful Bill" remains to be seen. For now, experts and advocates urge recipients to stay informed and keep their contact information up to date, as the landscape of America’s safety net shifts beneath their feet.

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