Billionaire Elon Musk told Joe Rogan that Democratic-led states are using state-funded healthcare programs to provide benefits to illegal immigrants, creating incentives that could influence voter demographics.
In a recent appearance on “The Joe Rogan Experience,” Musk linked the ongoing government shutdown to Democrats’ insistence on extending these benefits before agreeing to reopen the federal government.
“They are refusing to open the government unless Republicans agree to give health benefits to illegal aliens,” he said.
Musk explained that several states rely on these programs when federal Medicaid funds are unavailable for illegal immigrants.
California’s Medi-Cal program provides comprehensive care for all income-eligible illegal immigrants, including prescriptions, routine care and specialty services.
According to The Gateway Pundit, New York’s Essential Plan covers illegal immigrants earning up to 200 percent of the federal poverty level.
“California and New York could not balance their budgets without these state-funded programs,” Musk said.
Oregon and Massachusetts have implemented state-funded pathways providing emergency care, pregnancy coverage and limited healthcare for children, including residents regardless of immigration status.
Other states, including Washington, Illinois and Colorado, have enacted similar programs.
Musk described these initiatives, combined with federal transfer payments, as a “gravy train” that attracts illegal immigration and strengthens Democratic voter bases.
“It’s a financial magnet,” he said. “They are incentivizing people to come here and stay here, and it ends up benefiting Democrats politically.”
California alone spends roughly $2.6 billion annually on Medi-Cal for illegal immigrants, while New York allocates about $500 million.
Oregon and Massachusetts contribute additional millions from state coffers for noncitizens ineligible for federal Medicaid.
Musk emphasized that these programs depend on state funding because federal Medicaid matching funds cannot be used for illegal immigrants.
“Federal money can’t be used, so the states are footing the bill themselves,” he said, warning that eliminating federal payments could destabilize budgets reliant on combined state and federal funds.
New York’s emergency Medicaid enrollment for illegal immigrants reached 480,000 as of March 2024, marking a 1,200 percent increase since 2014.
Musk noted that many recipients do not fully utilize services, allowing states to report inflated expenditures.
“A lot of people are enrolled who don’t actually use the services,” he said, “so the numbers can look much higher than the actual usage.”
Musk accused Democratic-led states of misreporting spending to the federal government and claimed there has historically been minimal enforcement to prevent such misrepresentation.
“They lie like crazy about how much money is really being spent,” he said.
He argued that states have been able to claim funds beyond what is legitimate, creating both financial and political incentives to attract more illegal immigrants.
Musk suggested that cutting these payments would trigger a mass departure of illegal immigrants from sanctuary states, potentially reducing the number of voters aligned with Democratic interests.
“Then they will lose a lot of voters,” he said.
He framed this strategy as a deliberate effort to consolidate political power by creating dependent voter bases through state-funded programs.
Musk also criticized gerrymandering in states like California, arguing that it, combined with expanded Medicaid coverage and federal funding, entrenches Democratic supermajorities.
“There’s so much gerrymandering that occurs — it’s crazy,” he said.
According to Musk, the government shutdown is part of a standoff over these expenditures and their potential electoral impact.
Republican officials have long criticized sanctuary states for funding healthcare for illegal immigrants, labeling it an unfunded mandate and a misuse of taxpayer dollars.
Musk’s comments reinforce these concerns, emphasizing the fiscal burden on states while linking such programs to broader political objectives.
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