This is ridiculous.
California’s rapidly growing Medicaid program is once again under national scrutiny after lawmakers raised concerns about taxpayer-funded spending tied to spiritual healing services and culturally based medical practices.
The controversy erupted during a Senate hearing Tuesday when John Kennedy pressed acting Attorney General Todd Blanche over reports involving California’s Medi-Cal program and the use of public funds for nontraditional healthcare services.
Kennedy questioned how California’s Medicaid system has expanded so dramatically while allegations of waste, fraud, and questionable spending continue surfacing.
“Why has this been allowed to continue for so long?” Kennedy asked during the hearing, pointing to reports involving spiritual counseling, ceremonial healing practices, and other alternative treatment programs connected to tribal healthcare initiatives.
The issue comes as the Trump administration ramps up efforts to investigate fraud and abuse within federally funded healthcare programs. Earlier this month, federal officials suspended approximately $1.4 billion tied to California home health and hospice programs after investigators linked to Vice President JD Vance identified an estimated $600 million in suspected Medicaid fraud.
California’s Medi-Cal costs have exploded in recent years. State spending has reportedly climbed from roughly $100 billion in 2019 to a projected $222 billion by 2026, fueling growing concerns among taxpayers and fiscal conservatives about long-term sustainability.
The debate intensified after reports from The Wall Street Journal revealed that California expanded Medi-Cal coverage in 2025 to include certain traditional tribal healing services. According to state guidance, covered services may include ceremonies, herbal remedies, music therapy, and other culturally rooted wellness practices.
California officials strongly denied claims that Medi-Cal directly funds exorcisms.
A spokesperson for the California Health and Human Services Agency stated that the program only covers federally approved traditional healthcare practices recognized by Native American tribes and healthcare providers.
State officials defended the expansion as part of a broader effort to improve mental health and substance abuse treatment outcomes in tribal communities. Supporters argue these practices have been used for generations and play an important role in culturally specific care.
Gov. Gavin Newsom previously described the expansion as an effort to address historical inequities affecting Native American communities and improve access to traditional healing options.
Still, critics say taxpayers deserve far more transparency about where Medicaid dollars are going.
Republicans and government watchdog groups argue that while millions of Americans struggle with inflation, rising medical costs, and economic uncertainty, California leaders continue expanding programs many voters see as politically driven or financially irresponsible.
Questions also remain unanswered about the total amount of taxpayer funding spent on traditional healers and related services through Medi-Cal.
For conservatives focused on government accountability and reducing federal spending, the controversy is quickly becoming another flashpoint in the national debate over healthcare oversight, taxpayer priorities, and public trust in state-run programs.
