California Republicans Urge Trump To Block Gavin Newsom’s Health Care Tax

California Republicans are urging President Donald Trump’s administration to stop a health care tax increase backed by Gov. Gavin Newsom, warning that the plan would drive up costs and expand Sacramento’s already bloated tax burden.

The push centers on California’s managed care organization tax, which is used to draw down additional federal Medicaid funding for Medi-Cal. Republicans argue Newsom is using the program as a backdoor tax hike while relying on federal approval to keep the money flowing.

GOP lawmakers say the Trump administration should reject California’s request and prevent Newsom from shifting more costs onto health plans, businesses, and patients. They argue the state should be forced to control spending rather than lean on Washington to support another costly health care scheme.

Newsom and California Democrats have defended the tax as necessary to help fund Medi-Cal and support the state’s health care system. But critics say California’s repeated budget shortfalls show that the real problem is reckless spending, not a lack of revenue.

The fight comes as Newsom continues to position himself nationally while facing growing criticism over California’s high taxes, rising costs, homelessness crisis, and budget problems.

Republicans say the issue gives President Trump a clear opportunity to rein in California’s liberal tax-and-spend agenda while protecting taxpayers from another expensive Newsom policy.