Centers for Medicare & Medicaid Services

PoliticsOctober 21, 2026

Feds defer $1.2 billion in California Medicaid funding over fraud concerns

The Trump administration is withholding $1.2 billion in Medicaid reimbursements from California, citing rapid growth in personal care services. This follows a previous $1.3 billion holdback, bringing the total disputed amount to $2.5 billion.