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California state health insurance to cover sex changes for illegal immigrants
The Golden State is expanding its massive health care system this year, which means more taxpayer dollars will fund sex change surgeries for state residents, regardless of their citizenship status.
According to a memo first circulated in May 2022 and reported by the Daily Caller Foundation, California’s Medi-Cal covers costs for hormone therapy and procedures “that bring primary and secondary gender characteristics into conformity with the individual’s identified gender, including ancillary services, such as hair removal, incident to those services.”
Nearly 700,000 illegal immigrants between the ages of 26 and 49 qualify, as of Jan. 1, for these federal health care services, which will cost California taxpayers an estimated $3.1 billion. For those living in California illegally within this age range, it translates to approximately $4,058 per year in medical coverage subsidies funded by the state’s general fund.
“Gender affirming care is a covered Medi-Cal benefit when medically necessary,” the memo states. “Requests for gender affirming care should be from specialists experienced in providing culturally competent care to transgender and gender diverse individuals and should use nationally recognized guidelines.”
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California Gov. Gavin Newsom speaks alongside local officials at the opening of a recently completed Clean California beautification project. (California Gov. Gavin Newsom YouTube channel)
The memo adds that “medical necessity” is determined “and services shall be recommended by treating licensed mental health professionals and physicians and surgeons experienced in treating patients with incongruence between their gender identity and gender assigned at birth.”
From Dec. 1 to Dec. 31, over 302,000 migrants were documented attempting to cross the U.S. southern border, the highest total for a single month ever recorded. It also marked the first time monthly migrant encounters surpassed 300,000.
A recent report from Immigration and Customs Enforcement (ICE) shows a significant rise in the number of undocumented immigrants not held in detention. It went up from 3.7 million in 2021 to almost 4.8 million in 2022 and nearly 6.2 million in 2023. These are illegal migrants with final orders to leave or who are in the process of being removed but aren’t held in ICE custody.
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More than 1,000 migrants awaiting entry into the United States from Juarez, Mexico. (Fox News Digital/Jon Michael Raasch)
“In California, we believe everyone deserves access to quality, affordable health care coverage — regardless of income or immigration status,” Gov. Newsom’s office reportedly said in a statement. “Through this expansion, we’re making sure families and communities across California are healthier, stronger and able to get the care they need when they need it.”
Newsom announced California would begin providing health care coverage to additional illegal immigrants on top of the 1.1 million already in the Medi-Cal system. More than one-third of California’s shrinking population of 39 million is enrolled in the Medi-Cal program.
A nurse gives a senior adult health care worker a COVID-19 vaccine (iStock)
California has been incrementally adding illegal immigrants to the Medi-Cal program since 2015. That was the year it made undocumented children eligible. Four years later, it added adults 50 and older.
Fox News Digital reached out to Newsom’s office for comment.
Fox News’ Chuck DeVore contributed to this report.
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FBI raid involving LA schools superintendent possibly tied to failed $6M AI deal, potential conflict
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The federal investigation into the Los Angeles Unified School District superintendent, whose home and school office were raided Wednesday, may be tied to a failed multimillion-dollar AI school contract involving a potential conflict of interest.
Alberto Carvalho previously awarded a $6 million contract, paying $3 million up front, to education technology company AllHere.
A former salesperson employed by the firm also had her Miami property raided the same day as Carvalho, according to public records cited by the Los Angeles Times. The woman, Debra Kerr, reportedly had close ties to Carvalho during his tenure leading Miami-Dade County Public Schools.
Spokesperson Jim Marshall confirmed to local media Miami Herald that “we searched a residence in Southwest Ranches today as part of this matter and have since cleared the scene.”
Superintendent Alberto Carvalho speaks during an event at the LAUSD headquarters in downtown Los Angeles on October 30, 2025. (Genaro Molina/Los Angeles Times via Getty Images)
In 2023, Carvalho secured a contract with AllHere to develop an AI chatbot called “Ed,” designed to help address student issues such as absenteeism.
It ultimately collapsed in 2024 after its founder, Joanna Smith-Griffi, was accused of embezzling funds amid data privacy risks and whistleblower concerns. She was later charged with securities fraud, wire fraud and identity theft.
Kerr further claimed in AllHere’s bankruptcy court filings that the company owed her commissions for helping secure its deal with LAUSD, according to education-focused outlet The 74.
While federal officials confirmed that search warrants were conducted Wednesday, they declined to reveal the nature of the investigation, noting that the warrants remain under seal.
Federal officials appear to carry cardboard outside a home in California. (KTTV)
However, sources told the LA Times that the investigation fell under the broad category of financial issues, and that the raid focused on Carvalho rather than the California school district.
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LAUSD released a statement saying the district is fully cooperating with federal officials.
“The LAUSD Board of Education understands that today’s news has raised questions across our school communities,” it said.
“The Board’s priority remains ensuring that our students, families, and employees experience a safe and welcoming learning environment. Teaching and learning continue across our schools. Los Angeles Unified continues to stay focused on our responsibility to serve students and our families.”
The superintendent has led the nation’s second-largest school district since 2022, overseeing the education of roughly 400,000 students. He was also unanimously reappointed to the position in September 2025.
Before moving to California, he spent 14 years leading Miami‑Dade County Public Schools, the nation’s fourth-largest school district.
The home of Alberto Carvalho, the superintendent of the Los Angeles Unified School District, is located in San Pedro, California. (KTTV)
Wednesday’s raids mark the latest controversy to engulf Carvalho.
In 2020, he helped secure a $1.57 million donation from a company that had a pending contract with the district, the Miami Herald reported.
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FBI agents appear to conduct a search warrant at a San Pedro home connected to Alberto Carvalho. (KTTV)
The funds reportedly went to an education nonprofit he founded, and the company’s online learning program, which was ultimately plagued with problems, was quickly scrapped.
In June 2021, the school’s inspector general determined that the donation, intended to benefit teachers, did not violate any policies but created the “appearance of impropriety,” the outlet said. The foundation was subsequently urged to return the funds, which reportedly had been distributed to teachers as $100 gift certificates.
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