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Gavin Newsom’s Empire of Fraud

  

Category:  News & Politics

Via:  s  •  7 months ago  •  41 comments

Gavin Newsom’s Empire of Fraud
California has lost at least $180 billion to fraud, according to officials and experts.

S E E D E D   C O N T E N T


California is a cash machine. The state collects some of the country’s highest   income ,   business , and   fuel   taxes, and now   spends   more than $300 billion per year. And yet, everywhere you look, California seems to be falling apart.

The roads are   crumbling . Mismanaged wildfires have   turned   neighborhoods into ash. Drug   addiction   and   homelessness   have metastasized, turning parts of Los Angeles and San Francisco into no-go zones. And the cost-of-living   crisis   is pricing middle-class taxpayers out of basic necessities like groceries and gas, even as the state spends billions on welfare programs that never seem to lift anyone out of poverty.

Californians are beginning to ask: Where is all this money going? On paper, it funds hospitals, universities, schools, prisons, infrastructure, and other public services. But beneath the surface, something else is happening that California Governor Gavin Newsom does not want you to see: massive, systematic, brazen fraud.

We conducted interviews with public officials, fraud experts, and political figures, and reviewed hundreds of pages of government reports, state audits, criminal indictments, and other public records on California fraud. From unemployment insurance and Medicaid to failed homeless initiatives and welfare programs, seemingly every state program has been compromised by criminals. The best estimates suggest that, on the governor’s watch, fraudsters, scammers, and organized crime rings have stolen at least $180 billion from taxpayers.

Welcome to Gavin Newsom’s empire of fraud.

Fourteen months after Newsom began his first term as governor of California, the Covid-19 pandemic swept the world. Roughly 2.7 million Californians eventually   lost   their jobs. The state’s economy went into freefall as its leaders imposed some of the country’s most   restrictive   public-health measures. In response to the crisis, Newsom sought to   dump   pallets of cash across the state—as quickly as possible.

One way to inject money was through California’s massive unemployment insurance program (UI). Unemployment insurance is administered by the state’s Employment Development Department (EDD), which   can   process   billions of dollars in payments monthly. Before the state turned on the cash machine, however, experts had warned that the system was ripe for fraud.

Haywood Talcove, one of America’s leading fraud specialists and CEO of LexisNexis Risk Solutions for Government, was one such expert. “I was begging [federal officials] not to let the money go out like that, because it was going to be the biggest fraud in the history of our country,” he said. “Obviously, I wasn’t successful.”

For many reasons, California was particularly susceptible to the large-scale fraud schemes Haywood Talcove saw on the horizon. Not only did the state have some of the most generous welfare programs in the country; its bureaucrats had also failed to implement some basic fraud controls during Newsom’s tenure.

“They literally suspended all of the rules for the [unemployment insurance] program,” Talcove said. “[That made] it possible for anyone to get that benefit even if they weren’t entitled to it. It was very intentional. They knew what they were doing. But it caught up to them because it just got so out of control.”

The scams began almost immediately, with criminals from   around   the world reportedly siphoning cash from the program. In one case, a   Romanian-led   fraud ring orchestrated a $5 million unemployment-insurance scheme. Members allegedly “recruited potential [EDD-benefit] applicants through Facebook” and met them at “parks throughout Southern California to complete the application process,”   according   to the U.S. Attorney’s Office for the Southern District of California. “Applicants paid . . . a partial fee up front for assisting with fraudulent applications and another fee after applicants received EDD payments,” the office said. Many of the fraudsters   wired   the stolen funds to Romania.

Around   September   2020, Fontrell Antonio Baines, a rapper from Memphis known as Nuke Bizzle,   released   a music video on YouTube entitled “EDD.” In the song, Baines bragged about ripping off California’s UI program. “Go to the bank with a stack of these,” Baines rapped, holding up EDD envelopes. Another rapper can be heard saying: “You gotta sell cocaine, I just file a claim.” All told, Baines obtained more than $700,000 in stolen funds using   preloaded   EDD debit cards. He   pleaded   guilty to federal charges.

Nor were these isolated incidents. A member of the SFV Peckerwoods, a California-based neo-Nazi gang, allegedly   ran   an unemployment scam during the pandemic. So did Michael Thompson, a one-time   leader   of the Aryan Brotherhood, who was eventually   convicted . California’s prison population apparently got in on the action, too: the EDD allegedly paid out hundreds of millions of dollars in fraudulent   claims   in prisoners’ names, including those of at least 133 inmates on death row.

Remarkably, EDD not only   failed   regularly to cross-reference its unemployment payouts with a list of state prisoners, but it also had just two bureaucrats   assigned   manually to inspect reports of suspected fraud. State officials eventually   admitted   to having paid out approximately $20 billion in fraudulent claims during the pandemic, and to   making   an estimated $55 billion in improper payments. Talcove claims those figures don’t even tell the full story. “The state lost $32.6 billion dollars of taxpayer money to fraudulent applications,” he said. “In California, at one point, you had more people applying for unemployment insurance benefits than you had people over the age of 18.”

While Newsom has   conceded   that “bad actors” took advantage of the UI program, he has also   defended   his government’s record, saying they took swift action as soon as the alleged prison scheme surfaced. The EDD, for its part, has a   webpage   documenting its anti-fraud efforts. But any suggestion that California has fraud under wraps is contradicted by findings from its non-partisan state auditor.

Last December, the auditor   reported   that EDD’s UI program—which   remains   on the auditor’s “High Risk” list—had a fraud   rate   of 7.6 percent in 2023 and 7.9 percent in 2024. Applied to the state’s UI spending, those figures   suggest   more than $1 billion in stolen taxpayer funds since the pandemic. “EDD continues to have high rates of improper UI payments, including fraudulent payments,” the auditor wrote. “These inadequacies have resulted in a substantial risk of serious detriment to the State and its residents.”

While many states dealt with UI scams during the pandemic, California stands in a   class   of its own. At best, the EDD’s performance amounted to mass government incompetence; at worst, it reflects total indifference to fraud.

“This happens in every single state,” Talcove concluded, “but it happens a lot more in California.”

Newsom came to power   vowing   to pursue “guaranteed health care” for Californians. Under his leadership, the state   extended   Medi-Cal coverage to illegal aliens,   covered   sex-change surgeries for Medi-Cal enrollees, and   offered   “gender-affirming care services” to enrollees of “all ages.”

Total budgeted Medi-Cal spending—which includes federal, state, and local contributions—has more than doubled on the governor’s watch,   rising   from $93.5 billion the year before he took office to $196.7 billion in the   current   annual budget. During the same period, California’s resident   population   declined by 0.2 percent.

Experts have long warned of Medi-Cal’s vulnerabilities to fraud. The state auditor first   designated   “Medi-Cal Eligibility” as a “high-risk” issue in 2007 and has applied that label to it ever since. But the state government has made little progress in addressing what the auditor calls “eligibility discrepancies” that present a “substantial risk of serious financial detriment to the State.” California’s attorney general has   conceded   that “Medi-Cal fraud could reach billions of dollars annually.”

Newsom may have inherited a bad situation, but his actions have made it worse. During the Biden administration, California   received   federal approval to “increase, and eventually eliminate, asset limits” for some Medi-Cal recipients, a change that, according to Talcove, resulted in flood of improper payments. In addition, Medi-Cal   suspended   prior authorization requirements for certain health-care services and medications, creating yet another vulnerability for fraudsters to exploit.

In some cases, prosecutors say, that is precisely what happened. In one instance, Paul Richard Randall, Kyrollos Mekail, and Patricia Anderson   allegedly   “took advantage” of Medi-Cal’s loosened restrictions as part of a scheme that defrauded taxpayers of more than $178 million. The conspirators allegedly used a business called Monte Vista Pharmacy to process fraudulent prescriptions; Randall and others allegedly laundered the proceeds through third parties to fund kickbacks to Anderson and obscure the operation from law enforcement, according to a 2025 Department of Justice press release. Mekail had pleaded guilty to criminal charges in August 2024, and Randall is reportedly   expected   to do the same this year.

In another case, Terry Patton was charged with accepting more than $2.3 million in kickbacks and bribes from addiction-treatment facilities in exchange for patient referrals. Prosecutors say the patients were   paid   to attend the treatment facilities to which Patton had referred them.

In-Home Supportive Services, a Medi-Cal   sub-program , has also presented major fraud concerns. In 2009, former Governor Arnold Schwarzenegger   estimated   that IHSS fraud could be as high as 25 percent. That same year, a Sacramento grand jury   report   on the county’s IHSS program claimed IHSS fraud was “reported to be rampant and out-of-control.”

Yet, even in light of these worries, Newsom has dramatically increased funding for IHSS. Between Newsom’s first budget and his most   recent   proposal, the state legislative analyst   estimates   that total IHSS costs will have swollen by around 170 percent, with $33.4 billion proposed for the next fiscal year, including $12.5 billion from the state. According to recent estimates, taxpayers are funding   nearly   800,000 IHSS providers, who offer caregiving, cooking, shopping, cleaning, and laundry services to elderly and disabled people. In about 70 percent of cases, providers and recipients are family   members . According to co-author Schrupp’s   reporting , the IHSS program is responsible for 41 percent of all “job gains” during the Newsom administration.

The IHSS program almost seems designed to facilitate scams. According to sworn testimony   summarized   in the Sacramento report, IHSS participants have falsely represented recipients’ needs; misrepresented hours worked timecards; and even secured payment after a recipient has died. The system operates largely on trust, with providers “working” in the privacy of the recipient’s home. The state’s IHSS protocols explicitly   prohibit   random unannounced home visits, which would be the best tool to uncover any potential rackets.

Oversight of the IHSS program is woefully inadequate. A 2021 Riverside County   audit   of the local IHSS program, for example, found county social workers had failed to process and report “integrity referrals” in a “timely” fashion. When complaints did reach county regulators, many, apparently, were reviewed by people with financial ties to IHSS. The report   found   that 41 of the 68 county staff at the Department of Public Social Services, which the auditor claimed is responsible for program oversight, were also IHSS providers—that is, they had a vested interest in protecting the system.

Beginning in 2024, federal   officials   announced   multiple prosecutions for IHSS fraud. In one case, prosecutors alleged that Cindy Lynn Fromm claimed to have provided services for more than a year while the recipient was incarcerated. In others, prosecutors said that IHSS caregivers falsified timesheets and claimed to have provided services while beneficiaries were in hospitals, care homes, other facilities—or dead.

Experts who have studied the Medicaid system say that it has long been rife with fraud. Malcolm Sparrow, a Harvard   professor   who has   advised   the federal government on health-care fraud, suggested to Congress that “fraud and abuse” might represent somewhere between 10 percent and 20 percent of Medicaid spending. (Sparrow noted difficulties in attempting to calculate accurate “loss rates,” due to the fact that government studies “have been sadly lacking in rigor” and have “produced comfortingly low and quite misleading estimates.”) Brian Blase, president of the nonpartisan Paragon Health Institute, estimates a current Medicaid fraud rate of “15 to 20 percent of the entire program.”

Talcove estimates that the Medicaid fraud rate in California is 20 percent, which he calls a “very conservative” figure. Federal officials, however, believe that the current Medi-Cal fraud rate is even higher—and, given the state’s oversight failures and massive Medi-Cal expansion under Newsom, they are almost certainly right. Multiple high-ranking sources at the U.S. Department of Health and Human Services, which is currently probing fraud in California, told   City Journal   on the condition of anonymity that their initial estimate for Medi-Cal’s fraud rate since 2019 is 25 percent.

Based on state experts’ best   guesses   of annual Medi-Cal expenditures and applying a conservative, 15 percent fraud rate to each fiscal year since 2019, Medi-Cal has lost some $146 billion in taxpayer funds to fraud on Gavin Newsom’s watch.

Meantime, in Sacramento, state legislators have begun sounding the alarm. In February, Leticia Castillo, a Republican in the California State Assembly, proposed a   bill   that would create a Medi-Cal “fraud assessment task force” to “review current fraud prevention tools” and “evaluate how best practices from the federal government and other states could be applied in California.”

To date, Newsom has not supported the bill publicly.

The other major target for fraudsters is California’s expansive welfare state. As governor, Newsom has sought to project an image of a compassionate California that cares for its most vulnerable residents. The state is famously home to enormous wealth, but also to   millions   living in poverty, and, as of 2024, to more than 180,000   homeless   people.

Responding to these realities, Newsom has unleashed a wave of spending on welfare initiatives. He has overseen much of a $24 billion state spend on   homelessness   projects, roughly   doubled   food-stamp benefits during the pandemic, and has   maintained   high levels of cash assistance. Just like unemployment insurance and Medi-Cal, though, these welfare programs proved easy targets for swindlers. The homelessness spending, for example, was a massive transfer of funds into a complicated   web   of non-profits and other contractors, with apparently little oversight. Unsurprisingly, fraud cases followed.

Cody Holmes served as chief financial officer of Shangri-La Industries, a Los Angeles–based affordable-housing developer. His company reportedly received nearly $26 million from the state to develop properties under a program aimed at housing the homeless. Prosecutors reportedly   allege   that Holmes, who   pleaded   not guilty, embezzled roughly $2.2 million to   pay   for “exotic cars” and monthly rent for a “6,500-square-foot mansion.” A   City Journal   review of political donations revealed Holmes was a frequent contributor to Democratic politicians and causes in California.

In a separate case, Steven Taylor was   charged   for having allegedly used “fake bank statements and false cash representations” to secure loans to fund his real-estate business. Taylor then allegedly used those illegitimately obtained loans to purchase an $11.2 million home, which he sold for $27.3 million to a publicly funded homeless-housing developer.

Earlier this year, Alexander Soofer, who served as the CEO of Abundant Blessings, a Los Angeles-based homelessness charity, was   charged   for having   allegedly   pocketed at least $10 million in homelessness funding to   bankroll   a “luxury lifestyle that included lavish vacations and designer clothes.”

None of these cases should come as a surprise. A 2024   report   from the Inspector General Office for the United States Department of Housing and Urban Development found that California’s housing agency was not “adequately prepared to prevent, detect, and respond to fraud due to the lack of focus it placed on fraud risks and establishing a robust fraud risk management framework.” In addition, a 2024   report   from California’s state auditor highlighted the government’s limited data on homelessness programs. For three of the five initiatives the auditor examined, it was “unable to fully assess” their success because of a lack of outcome data.

For many California watchers, the 2024 audit came years too late. In 2020, Representative Kevin Kiley, then serving in the California State Assembly, requested a similar report, he told  City Journal , but state legislative Democrats rejected the proposal after Newsom intervened. “I brought the proposal to the state’s joint legislative audit committee, and it fell one vote short of approval after the administration came and testified against doing the audit,” Kiley said. “They likely knew what the audit would show and didn’t want taxpayers to get that window into how their money is, quite frankly, being squandered.”

Officials have also raised concerns about fraud in California’s SNAP benefits, officially known as CalFresh and more commonly called food stamps. As of last year, the state auditor had   designated   CalFresh as a “high risk” program. Annual state spending on food stamps has risen from roughly   $8 billion   in 2015 to nearly   $16 billion   under Newsom.

That expansion coincided with several fraud cases. In 2023, 15 people associated with a Romanian criminal ring were   arrested   for allegedly stealing CalFresh and other welfare funding, at least one of whom later   pleaded   guilty. The following year, seven people were  charged  for allegedly making “fraudulent cash withdrawals” as part of a multi-hundred-thousand-dollar theft of welfare benefits. In March, more than 50 people were   charged   as part of “a yearslong crackdown on organized theft rings” that included “many with ties to Romania.” The defendants allegedly stole millions in public funds by exploiting California’s Electronic Benefit Transfer system, which distributes benefits for programs like CalFresh.

Notwithstanding this steady drumbeat of fraud cases, at least one California Democratic lawmaker   is pushing   to   lower   penalties for those who steal from state welfare programs. In April 2025, State Senator Lola Smallwood-Cuevas sponsored a bill that would raise the threshold for felony welfare fraud from $950 to $25,000. The measure would also make it more difficult to charge perjury based on misstatements to county welfare departments. Republican State Assemblyman Carl DeMaio has   said   that if the bill becomes law, it will effectively “legalize welfare fraud” in California.

Federal prosecutors, however, are stepping up enforcement. Last year, Bill Essayli, first assistant U.S. attorney for the Central District of California,   announced   the creation of a federal task force to combat fraud and corruption in the state’s homelessness programs. The task force has already brought charges in several multimillion-dollar homelessness-fraud cases—and Essayli has vowed that more are coming. “California has spent $24 billion in the last five years on homelessness, and no one can account for where that money has really gone,” Essayli   said   in January. Gavin Newsom, he added, is the “king of fraud.”

We reached out to Newsom’s office for comment on this story. A spokesperson, whose signature featured “she/her” pronouns, called Kiley’s claims “ ridiculous ,” accused the Trump administration of “mak[ing] up numbers,” and suggested, remarkably, that California had “ no missing homelessness funds .”

The culture of fraud in California is so pervasive that it has allegedly reached the governor’s own office. Between 2022 and December 2024, Newsom’s chief of staff was Dana Williamson. In November 2025, she was   charged   with fraud for allegedly “siphoning campaign and COVID-19 recovery funds into her and an associate’s pockets.” Two other “well-connected aides in state politics were also charged” and struck plea deals that   reportedly   confirmed the scheme’s existence.

Newsom’s office said they were made aware of an investigation into Williamson in late 2024 and immediately moved to place her on leave. When she officially left the governor’s office a month later, though, Newsom’s send-off message   applauded   her “insight, tenacity, and big heart,” while making no mention of the investigation against her. And even with the charges against her, Williamson walked away from government with a $50,000   payout   for unused vacation time.

Williamson, who has pleaded not guilty, is not the only state official to be charged with fraud during the Newsom administration. In January, Phyllis Hope Stitt, a former EDD   employee   responsible for determining UI claimant eligibility during the pandemic, pleaded guilty to defrauding the program of more than $750,000. That same month, former Madera County benefits eligibility worker Leticia Mariscal was   charged   for allegedly embezzling $40,000 in food stamp benefits.

The pattern that emerges in California is not one of isolated breakdowns in oversight but of a vast system that almost seems to invite fraud. From widespread failures in unemployment insurance to alleged schemes targeting Medi-Cal to mounting concerns over homelessness spending, each case points to significant lapses by state officials charged with stewarding public funds. According   to   California Assemblyman David Tangipa, “Sacramento is pervaded by a culture of corruption.” And he points the finger right to the top: Newsom, he says, has helped “create[] an environment where corruption thrives.”

Still, California’s fraud crisis is not a lost cause, nor is it beyond correction. On March 16, President Donald Trump   signed   an executive order creating the Task Force to Eliminate Fraud. The effort, led by Vice President J.D. Vance, will “coordinate government-wide efforts to combat widespread fraud, waste, and abuse in Federal benefit programs.” A fact sheet released by the White House highlighted California as a state where “insufficient safeguards and weak oversight increase the risk of large-scale fraud.”

The Minnesota fraud scandal, brought to   national   attention by   City Journal , offers a revealing case study of what can happen when a seemingly hidden problem—one long in plain sight—finally comes into view. The extent of fraud in Minnesota had been an open secret for years. But once the scandal drew national attention, investigations snowballed, ultimately derailing the political career of Tim Walz. It may seem unlikely today, but a similar outcome is possible for Newsom in California.

Newsom is not untouchable, and the scale of fraud in California appears far larger than in Minnesota. Despite his   claim   to have taken “decisive action” against one form of fraud, the broader problem is real and ongoing, and taxpayers, in California and across the country, have reason to be furious. Newsom will no doubt rely on charisma and partisan appeal to downplay the extent of these abuses. But listen closely, and you can still hear the California cash machine, steadily dispensing untold billions to criminals, scammers, and organized crime rings—funds taken from taxpayers and diverted from those most in need.


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Sean Treacy
Professor Principal
1  seeder  Sean Treacy    7 months ago

. And the cost-of-living     crisis    is pricing middle-class taxpayers out of basic necessities like groceries and gas, even as the state spends billions on welfare programs that never seem to lift anyone out of poverty.

NGO's and anti-poverty programs aren't supposed to fix the problem. That would defeat their entire purpose. They exist so Democrats in government  can reward loyalists with taxpayer dollars and give them safe cushy jobs and they, in turn, will fund the Democratic party.  Not making any meaningful progress on the problem they are supposed to solve is a feature, not a bug of the system.  What would all the activists working in the the billion dollar homelessness industry do if the problem were solved? 

 
 
 
Vic Eldred
Professor Principal
2  Vic Eldred    7 months ago

It is the worst run state in the nation.

I am told that downtown LA is like a ghost town.

I keep asking WHO VOTES FOR THESE PEOPLE?

 
 
 
Sean Treacy
Professor Principal
2.1  seeder  Sean Treacy  replied to  Vic Eldred @2    7 months ago
t is the worst run state in the nation.

200 lost billion to fraud. Can't build a train track.  But he insults Republicans and is basically a progressive Trump clone, so Democrats have made him their frontrunner in 2028.

 WHO VOTES FOR THESE PEOPLE?

People who either make money off the fraud or are reliant on free stuff government spending.

California's population has completely stagnated, as the illegal surge of welfare dependents is balanced by a fleeing middle class. But the number of government employees has skyrocketed.  Government employees aren't going to bite the hands that feed them.  It's the Tammany hall system. Make sure enough voters are dependent on the party for their job or handouts and they'll vote for the party no matter how spectacularly incompetent or criminal they are.   

 
 
 
Dismayed Patriot
Professor Quiet
2.2  Dismayed Patriot  replied to  Vic Eldred @2    7 months ago
It is the worst run state in the nation.

Total bullshit. California is one of the most beautiful States, most populated States and most financially successful States that would be the fourth largest economy in the world if we were our own country. We have a higher GDP than Russia. But of course, there are lots of little jealous dipshit conservatives whining and lying about our State since they're just a bunch of miserable low IQ fuck sticks who have nothing better to with their time.

Here is a fact that I'm sure got overlooked in this laughable seed:

“This happens in every single state,” Talcove concluded

But even though it happens in EVERY State, there have to be some bitter jealous bigots who have to go cry about something that isn't their problem while their own rightwing conservative States sucks up federal funds like a fucking sponge.

Most & Least Federally Dependent States in 2026

Notice the top 15 most dependent States are almost all conservative majority conservative run States while California is 44th out of 50. We're actually paying for those rightwing conservative States to survive all while they gnash their teeth in bitter hatred for California. But I guess that's what ungrateful low IQ dumb fucks do when they're too poorly trained and uneducated for the jobs of tomorrow, all they can do is whine and cry, like we see in this laughable hit piece from the extreme right partisan site City Journal.

 
 
 
Vic Eldred
Professor Principal
2.2.1  Vic Eldred  replied to  Dismayed Patriot @2.2    7 months ago

What does beautiful have to do with mismanaged?

It has some of the highest taxes in the country. It has some of the worst public schools in the country. It is soft as shit on crime. It has tremendous fraud. About a third of the population is foreign born and likely voting. It failed to keep reservoirs full when there was above average rainfall. It didn't manage forests properly to prevent fires and has yet to allow people to rebuild what they lost

Last but not least is that high speed rail project that cost billions but never laid down track

 It is odd that in the midst of the great depression the two bridges that span San Francisco were built within the same 4 years.

Basically it is a disaster 

 
 
 
JohnRussell
Professor Principal
2.2.2  JohnRussell  replied to  Vic Eldred @2.2.1    7 months ago

California is in the middle of the pack for k-12 schools

Public School Rankings By State

 
 
 
Dismayed Patriot
Professor Quiet
2.2.3  Dismayed Patriot  replied to  Vic Eldred @2.2.1    7 months ago

jrSmiley_90_smiley_image.gif

It's hilarious how some folks get red in the face screaming about how bad California is, yet most have never even visited let alone lived here. All they see is their conservative squawk box telling them how much better they are than all those lowly Godless liberals in California. Well personally, I think that's great, keep telling all the rightwing conservative bigots how bad California is and how you never ever want to come visit here since that's a win/win for us. jrSmiley_100_smiley_image.jpg

 
 
 
Jeremy Retired in NC
Professor Guide
2.2.4  Jeremy Retired in NC  replied to  Dismayed Patriot @2.2    7 months ago
California is one of the most beautiful States, most populated States and most financially successful States that would be the fourth largest economy in the world if we were our own country. We have a higher GDP than Russia.

Yet businesses are leaving the shithole, and every year California begs for money right after the annual burning and earthquakes happen. 

Now I do have to agree with you on the beautiful part.  But one go north to areas like Fort Bragg ( yes, BRAXTON BRAGG Fort Bragg ) to see the beauty.  The liberal shithole cities fucked up that beauty in the southern part of the state.  I also notice you glossed over the enormous drug and homeless problems in the shitty southern part.  Or were you actually including that in the "beauty"?

 
 
 
Dismayed Patriot
Professor Quiet
2.2.5  Dismayed Patriot  replied to  Jeremy Retired in NC @2.2.4    7 months ago
enormous drug
Top States with the Worst Drug Problems (Ranked by Overall Impact)
    1. New Mexico: Ranked as the worst state in 2026 due to the highest number of teenage drug users, high adult illicit drug use, and low access to treatment.
    2. West Virginia: Highest drug overdose death rate in the country, largely driven by fentanyl and prescription opioids .
  • Nevada: High levels of drug use among children and young teens, coupled with a lack of treatment facilities.
  • Alaska: Consistently ranks in the top 5 for highest overall drug use and overdose rates.
  • District of Columbia: High overdose death rates and significant illicit drug use among adults.
  • Oklahoma: High rates of drug addiction and limited treatment resources.
  • Missouri: Faces severe drug problems, particularly in drug-related crime and limited treatment access.
  • Colorado: High levels of substance abuse, including a significant impact from fentanyl.
  • Louisiana: High rates of overdose, especially involving synthetic opioids like fentanyl.
  • Arkansas: Ranks poorly due to high drug-related mortality and limited treatment access. [ 1 , 2 , 3 , 4 , 5 , 6 , 7 , 8 , 9 , 10 , 11 ]

I don't see California up there but I do see an awful lot of conservative States in the top 10...

 
 
 
JohnRussell
Professor Principal
2.2.6  JohnRussell  replied to  Dismayed Patriot @2.2.3    7 months ago

They have their brains washed by Trump and right wing media. 

 
 
 
Gsquared
Professor Expert
2.2.7  Gsquared  replied to  Dismayed Patriot @2.2.3    7 months ago
a win/win for us

HUGELY!!!

 
 
 
Gsquared
Professor Expert
2.2.8  Gsquared  replied to  Jeremy Retired in NC @2.2.4    7 months ago
The liberal shithole cities fucked up that beauty in the southern part of the state. 

I live in Los Angeles.  This is part of the view from my backyard.  Really fucked up, isn't it?

 original

 

More... 

 original

 
 
 
Hal A. Lujah
Professor Participates
2.2.9  Hal A. Lujah  replied to  Gsquared @2.2.8    7 months ago

I hope you’ve been raking those forests …

 
 
 
Gsquared
Professor Expert
2.2.10  Gsquared  replied to  Hal A. Lujah @2.2.9    7 months ago

I'm out there with my rake every day.  Me, and Smokey the Bear.

 
 
 
Tacos!
Professor Guide
2.2.11  Tacos!  replied to  Gsquared @2.2.8    7 months ago

Good God! How do you stand it?

 
 
 
Gsquared
Professor Expert
2.2.12  Gsquared  replied to  Tacos! @2.2.11    7 months ago

I know.  What a shithole.

At least we have electricity and running water...

 
 
 
Jeremy Retired in NC
Professor Guide
2.2.13  Jeremy Retired in NC  replied to  Gsquared @2.2.8    7 months ago

Well good for you.  Now show what's downtown LA.  The homeless camps, crackheads, etc.

 
 
 
Gsquared
Professor Expert
2.2.14  Gsquared  replied to  Jeremy Retired in NC @2.2.13    7 months ago

A few photos...  from North Carolina.

 original

 original

 original

 original

crackheads

As soon as we ship the crackheads from North Carolina (South Carolina, Florida, Texas, Missouri...) invading our city back home we will be a whole lot better off.

 
 
 
Jeremy Retired in NC
Professor Guide
2.2.15  Jeremy Retired in NC  replied to  Gsquared @2.2.14    7 months ago

Another pathetic deflections.  Just a quick question, where did I say NC was clear of any of that?  

 
 
 
Gsquared
Professor Expert
2.2.16  Gsquared  replied to  Jeremy Retired in NC @2.2.15    7 months ago
pathetic deflections

Something you're the unsurpassed master of.

Just a quick question, where did I say Los Angeles was clear of any of that?

 
 
 
Jeremy Retired in NC
Professor Guide
2.2.17  Jeremy Retired in NC  replied to  Gsquared @2.2.16    7 months ago

If you can't answer the question, just say so.  

 
 
 
Tacos!
Professor Guide
2.2.18  Tacos!  replied to  Gsquared @2.2.14    7 months ago

It’s almost like having a certain party in power isn’t a necessary prerequisite for homelessness.

 
 
 
Nerm_L
Professor Expert
3  Nerm_L    7 months ago

Well, it's a good thing that Gavin Newsom can't be reelected in 2026.  He's reached his term limit.  And the way things are going, voters will have a lot more to worry about in 2028 than California fraud.

California has already followed Trump's decree to redistrict (or gerrymander) so Republican chances are slimmer than ever before.

 
 
 
Ozzwald
Professor Quiet
3.1  Ozzwald  replied to  Nerm_L @3    7 months ago
California has already followed Trump's decree to redistrict (or gerrymander)

Talk about another Trump idea that totally backfired on them....

 
 
 
Vic Eldred
Professor Principal
3.1.1  Vic Eldred  replied to  Ozzwald @3.1    7 months ago

No the Dems did that. They had set up an election commission made up of democrats and Rinos to prevent gerrymandering and then they pulled a switch on it.

 
 
 
Ozzwald
Professor Quiet
3.1.2  Ozzwald  replied to  Vic Eldred @3.1.1    7 months ago
No the Dems did that.

Yes they did, in response to Trump's decree to red states.  Trouble is that dems have done it legally.

 
 
 
bugsy
Professor Participates
3.1.3  bugsy  replied to  Ozzwald @3.1.2    7 months ago

Legally…yes

Flawed and biased…..every single minute of it

What would leftist response be if Trump set a commission to investigate California medicaid fraud and had the commission meeting televised and produced by a right leaning film crew?

My guess is we would hear screaming at the sky coming from this site on our phones and laptops. 

 
 
 
Ozzwald
Professor Quiet
3.1.4  Ozzwald  replied to  bugsy @3.1.3    7 months ago
Flawed and biased…..every single minute of it

Correct, that is part of the definition of gerrynmandering.

What would leftist response be if Trump set a commission to investigate California medicaid fraud and had the commission meeting televised and produced by a right leaning film crew?

Based on Trump's previous investigations it would be a purely partisan investigation with the intent not to bring justice but to throw dirt at democrat representatives.

AI Overview
Donald Trump has granted clemency, including commutations and full pardons, to several individuals convicted of massive Medicare and healthcare fraud schemes, with many actions occurring in the final days of his first term and in 2025-2026
. These actions often waived millions of dollars in court-ordered restitution.  
original California State Portal | CA.gov  +4
Key Medicare Fraud Pardons and Commutations
  • Philip Esformes:   In December 2020, Trump commuted the 20-year sentence of Esformes, who was convicted in a $1.3 billion Medicare and Medicaid fraud scheme, described by the DOJ as the largest health care fraud case ever charged.
  • Salomon Melgen:   A Florida eye doctor convicted of defrauding Medicare of $42 million through unnecessary, painful procedures on elderly patients had his 17-year sentence commuted in January 2021.
  • Lawrence Duran:   In May 2025, Trump commuted the 50-year sentence of Duran, who was convicted in a $205 million Medicare fraud scheme, releasing him and waiving over $87 million in restitution.
  • Judith Negron:   Part of the same $205 million scheme as Duran, she had her 35-year sentence commuted in February 2020 after serving 8 years.
  • John Estin Davis:   A Tennessee healthcare executive convicted of a $4.6 million kickback scheme was pardoned in January 2021 after serving four months.
  • Joseph Schwartz:   In November 2025, Trump issued a full pardon to the nursing home operator after he served only three months of a three-year sentence for a $39 million federal fraud scheme involving Medicaid, while also reversing $5 million in restitution
 
 
 
MrFrost
Professor Guide
3.1.5  MrFrost  replied to  bugsy @3.1.3    7 months ago
What would leftist response be if Trump set a commission to investigate California medicaid fraud and had the commission meeting televised and produced by a right leaning film crew?

Ask a trump university graduate... Oh wait...

 
 
 
Tacos!
Professor Guide
4  Tacos!    7 months ago

We keep seeing hysterical seeds on this site, claiming that California is some kind of rotting hellscape. It’s all bullshit propaganda being published because the far Right is scared to death that Gavin Newsom might be the next President of the United States. They do not have this fear because they actually know anything about California or Newsom. It’s just because he’s a Democrat and probably has the charisma to get elected.

So, in spite of the fact that California has - by far - the largest economy in the country (and the 4th largest in the world), these right wing nutjobs are doing everything they can to convince people that all of the world’s greatest evils are lurking in California and will soon be inflicted on the rest of the country.

No state - or governor - is perfect. You can always find things to improve in any state. Is Gavin Newsom the best possible choice for President? I don’t know, but he is reasonably in the conversation because he has spent the last decade governing the most populous, most productive, and most diverse state in the country. That alone makes him infinitely more qualified to run the country than Trump or any of his sycophants.

 
 
 
JohnRussell
Professor Principal
4.1  JohnRussell  replied to  Tacos! @4    7 months ago
That alone makes him infinitely more qualified to run the country than Trump or any of his sycophants.

Amen. 

 
 
 
GregTx
Professor Participates
4.2  GregTx  replied to  Tacos! @4    7 months ago
I don’t know, but he is reasonably in the conversation because he has spent the last decade governing the most populous, most productive, and most diverse state in the country. 

Mmmm, is it as populous and productive as it was when he became governor?..

 
 
 
Tacos!
Professor Guide
4.2.1  Tacos!  replied to  GregTx @4.2    7 months ago

It was, and remains all of the things I said. Google the numbers. Population and GDP are up in the last few years. Population went down by a few hundred thousand in 2020 (a lot of things happened in 2020), and right wing nutjobs have tried to tell people that there is some kind of continuous exodus from the state. It’s just not true. The narrative that California has somehow uniquely gone to hell under Newsom’s administration is bullshit.

Going forward, the same dystopian fantasy will be spun about any other Democratic candidate who looks like they might have a shot at winning. In this case, the loony Right is so worried about Newsom, they have been frantically weaving this fable for years, even though he has never even said he wants to run.

 
 
 
Freewill
Junior Quiet
4.2.2  Freewill  replied to  Tacos! @4.2.1    7 months ago
The narrative that California has somehow uniquely gone to hell under Newsom’s administration is bullshit.

I don't know about " uniquely gone to hell " but since he was elected in 2019 things in California certainly can't be described as "rosy" either.  I Googled the numbers as you suggested and here is the result:

Data from Governor Gavin Newsom's tenure (2019–2026) highlights several areas of significant concern for California , including the nation's highest cost-adjusted poverty rate, persistent budget deficits, and a multi-year population decline that only recently began to stabilize. While the state's economy remains among the largest in the world, critics and nonpartisan analysts point to structural challenges in affordability and public safety that have defined this period .  
Economic & Fiscal Indicators
California's fiscal health has shifted from record surpluses during the pandemic to significant structural deficits.  
  • Budget Deficit:   Projections for 2026 indicate a   $18 billion to $35 billion shortfall , described by the   Legislative Analyst's Office (LAO)   as a structural failure rather than a temporary dip.
  • Poverty Rate:   When accounting for the high cost of living, California has the   highest "supplemental" poverty rate in the U.S. at 17.7% —tied with Louisiana and significantly higher than the national average of 11%.
  • Cost of Living:   Approximately   75% of Californians   expect "bad times" financially over the next year, with housing affordability cited as a major strain by two-thirds of residents.  
512
Population & Migration
California experienced its first-ever year-over-year population loss during this period, leading to the loss of a congressional seat.  
original capradio.org
  • Net Out-Migration:   Between 2010 and 2024, nearly   10 million residents left   for other states, while only 7 million moved in.
  • Recent Stabilization:   After losing roughly 360,000 residents between 2020 and 2022, the state saw a modest increase of   108,000 people in 2024 , bringing the population to 39.53 million.  
    original California State Portal | CA.gov  +2
Public Safety & Homelessness
  • Crime Trends:   While overall crime is below 1990s peaks,   violent crime in 2024 was 9.8% higher than in 2019 , and shoplifting surged   48%   above pre-pandemic levels.
  • Homelessness Growth:   Despite $37 billion in state spending, the homeless population grew to approximately   187,000   as of 2025—a   24% increase since 2019 . Recent 2025 data, however, suggests a preliminary   9% drop in unsheltered individuals .  
    original Public Policy Institute of California  +4

I live here too and I have seen some of this with my own eyes and have felt it in my own wallet.  Fuel and electricity prices here are higher than just about anywhere else in the country (of course Trump didn't help with that much recently either).  Medical insurance premiums, hell any sort of insurance premium, has skyrocketed in this State for nearly a decade now, to where it has become the number one cost to my company and like another mortgage payment for my family.  The reality is that many things have become significantly worse here since Newsom became governor, whether all his fault or not, it does not surprise me that some people would be concerned about him being elected president were he to run. 

 
 
 
Tacos!
Professor Guide
4.2.3  Tacos!  replied to  Freewill @4.2.2    7 months ago
I don't know about " uniquely gone to hell " but since he was elected in 2019 things in California certainly can't be described as "rosy" either.

In the context of this seed, though, this is what matters. The far Right wants us panicking over a possible President Newsom, and so the narrative they are promoting is that there is something unique and particularly terrible happening in California under his stewardship.

Also, "rosy" is just as much an emotional term of art as "gone to hell" would be - not an objective measure of anything.

I'm not going to say I think Newsom is the best governor we've ever had, but I would say we've had worse. Frankly, the government bureaucracy in California is so enormous and complex (as we might expect in a state with over 39 million people) that if you have a complaint about something, there are plenty of places to point the finger. There is a shitload (an Imperial shitload, not metric) of things I think we could do better.

It is easy to report stats or summation of stats, but their significance to any discussion requires context. So, for example, 

the nation's highest cost-adjusted poverty rate

This is true. Mainly because real estate across the state is very expensive. So, you also get pretty high poverty rates in Florida or New York. On the other hand, there are high poverty rates in places like Louisiana or Mississippi for entirely different reasons.

The real estate factor should not be news to anyone. I looked up this stat and found that the number is generally the highest in the country for this reason. However, it is currently lower than it was in 2017, before Newsom was governor. So what's really going on?

As it turns out, the rate went way down in 2020 and 2021 because of pandemic relief programs. As those programs have expired, the rate has gradually ticked back up. So if you only look at the last 4 or 5 years, disregard context, and are set on blaming something on a Democrat, then you end up saying that Newsom is driving up poverty in California.

 
 
 
Sean Treacy
Professor Principal
4.2.4  seeder  Sean Treacy  replied to  Tacos! @4.2.3    7 months ago

g unique and particularly terrible happening in California under his stewardship

los angles has 2.5% of the nations seniors and 31 percent of the hospices.

 
 
 
Freewill
Junior Quiet
4.2.5  Freewill  replied to  Sean Treacy @4.2.4    7 months ago
los angles has 2.5% of the nations seniors and 31 percent of the hospices

That sounded outrageous to me so I passed it by Google AI and here is the result:

Those figures reflect a significant, ongoing investigation into   hospice fraud in  
. A March 2026 CBS News investigation and subsequent federal reports confirm that while LA County is home to roughly   2% to 2.5% of the nation’s seniors , it contains about   31% of the country’s hospice and home health companies .  
The Disparity by the Numbers
The following data highlights the unusual concentration of providers in the region as of early 2026:
  • Provider Density : LA County has approximately   1,800 to 1,900 licensed hospices . This is more than   six times the national average   when adjusted for the senior population.
  • Geographic Clustering : Investigators found extreme concentrations, such as   500 registered hospices within a three-mile radius   and as many as   89 to 112 companies   registered to a single office building.
  • Comparison to Other States : Los Angeles County alone has more hospice providers than   36 individual U.S. states . For instance, it has over   30 times   as many agencies as the entire states of Florida or New York.  
    original JD Supra  +7
Why the High Concentration?
Authorities and investigative reports from outlets like   CBS News   and   Fox News   indicate that this surge is driven by widespread   Medicare and Medi-Cal fraud   rather than medical need.  
  • "Ghost Hospices" : Many registered agencies are "shells" with no physical clinic or patients, used primarily to bill the government for services never provided.
  • Fraud Indicators : A state audit and subsequent analysis found that over   40% of LA hospices   triggered multiple "red flags," such as shared staff across networks, high live-discharge rates, and disconnected phone lines.
  • Financial Impact : Fraud in LA County's hospice programs is estimated to have cost taxpayers over   $3.5 billion .  
    original California State Portal | CA.gov  +5
In response, federal officials and the   California Department of Justice   launched massive crackdowns in April 2026, leading to hundreds of license revocations and numerous arrests.  
original Los Angeles Times  +2
Certainly appears to be true.  Hard to imagine that this has grown as it has in the last decade without prior serious investigation even though all the warning signs have been there and growing all along...
 
 
 
Tacos!
Professor Guide
4.2.6  Tacos!  replied to  Sean Treacy @4.2.4    7 months ago

Therefore what?

 
 
 
Sean Treacy
Professor Principal
4.2.7  seeder  Sean Treacy  replied to  Tacos! @4.2.6    7 months ago

lol.  That’s really the strategy you want to go with? An inability to understand simple concepts, 

 
 
 
Gsquared
Professor Expert
5  Gsquared    7 months ago
California’s gross domestic product surged 40% to more than $4 trillion, accounting for more than 14% of US output. This outpaced major economies including China (expanded 32%) and Germany (expanded 16%).

California drove 40%+ of the growth in value of the nation’s publicly traded equities, despite being less than 12% of the entire U.S. population.

“With more than 600 colleges and universities, California today has no peers in higher education, whether in the US or any of the world's developed economies.”

California has the highest density in higher education to create a top talent pipeline, with one college or university for every 64,000 citizens, more than the UK and Germany.

California produces more engineers than any other state.

Innovation, with California making up 62% of all U.S. venture capital funding and 31.5% of all venture capital deals last year. “For context, the runner-up in 2025 was New York with 13.3%. Massachusetts was next, just ahead of Texas — both below 6%."

“California's uninsured rate declined to a record-low 6.4% in 2023, the largest drop in the US, from more than 17% a decade ago."

Infrastructure and trade keep the U.S. economy moving due to this administration’s infrastructure investments. California’s Port of Los Angeles is the “US gateway to global trade, handling more than $300 billion of cargo annually.”

Sounds terrible.

 
 
 
Dismayed Patriot
Professor Quiet
6  Dismayed Patriot    7 months ago

AP exclusive: Trump administration admits a glaring error in its New York health fraud accusations

NEW YORK (AP) — President Donald Trump's administration this week acknowledged it made a significant error in figures it used to help justify  a fraud probe  into New York’s Medicaid program, a glaring mistake that undercuts a federal campaign to tackle waste, mostly in Democratic-led states.

The error, which the administration admitted first to The Associated Press, prompted health analysts to question how many of the Republican administration’s sweeping anti-fraud efforts around the country were based on faulty findings. One of a few mischaracterizations it made about New York's Medicaid program, it also reflected a common criticism that’s been made of Trump’s second administration — that it tends to attack first and confirm the facts later.

“These numbers could have been cleared up in a phone call, so it’s really slapdash,” said Fiscal Policy Institute senior health policy adviser Michael Kinnucan, whose   recent analysis   called attention to the Trump administration’s inaccurate claim.

The mistake appeared in comments made last month by   Dr. Mehmet Oz , the administrator of the Centers for Medicare & Medicaid Services, in a social media video and in a letter to New York’s Democratic governor announcing the fraud investigation.

Oz claimed that New York’s Medicaid program last year provided some 5 million people with personal care services, which assist people in need with basic activities like bathing, grooming and meal preparation. That would add up to nearly three-fourths of the state’s 6.8 million Medicaid enrollees.

“That level of utilization is unheard of,” Oz said in the video, adding in his post that New York needs to “come clean about its Medicaid program.”

But the real number of New Yorkers who used those services last year was about 450,000 , or between 6% and 7% of total enrollees, CMS spokesman Chris Krepich told the AP this week. He said the agency misidentified New York’s approach to applying billing codes and had since refined its methodology.

“CMS is committed to ensuring its analyses fully reflect state-specific billing practices and will continue to work closely with New York to validate data and strengthen program integrity oversight,” he said in an emailed statement.

Krepich said the probe was ongoing as the administration still has concerns with New York’s oversight of personal care services and the Medicaid program and is reviewing the state’s response to last month’s letter. CMS had raised other flags about New York’s program, including that it spends more per beneficiary and per resident than the average state, has high personal care spending and employs so many personal care aides that the job category is now the largest in the state.

Health analysts said the state's high spending reflected both high costs for services in New York and a policy choice to provide robust at-home care. Cadence Acquaviva, senior public information officer for the New York Department of Health, called Oz’s initial mischaracterizations “a targeted attempt to obscure the facts.”

“New York State remains committed to protecting and preserving vital Medicaid programs that deliver high-quality services to New Yorkers who depend on them,” she said.

In a statement, a spokesperson for Gov. Kathy Hochul said, “ The initial claim by CMS was patently false , and we are glad they now admit it."

“Governor Hochul has been clear that New York has zero tolerance for waste, fraud and abuse in Medicaid, or any other state programs, and will continue her efforts to root out bad actors, protect taxpayer dollars, and safeguard the critical programs that New Yorkers rely on,” spokesperson Nicolette Simmonds said.

Oz made other claims New York advocates say are inaccurate

In his video, Oz made at least two other claims about New York that Medicaid advocates and beneficiaries say distorted the facts.

In one instance, he said the state recently made its screening for personal care eligibility “more lenient by allowing problems like being ‘easily distracted’ to qualify for a personal care assistant.”

Rebecca Antar, director of the health law unit at the Legal Aid Society, said the opposite was true — that the state in a rule change that went into effect last September instead made its program requirements more stringent. She said being “easily distracted” doesn’t appear anywhere among them.

Krepich said the administrator was referring to whether New York’s standard for personal care services was “sufficiently rigorous.”

“When standards are overly permissive, it risks diverting resources away from individuals with the highest levels of need and placing long-term pressure on the sustainability of the Medicaid program,” he said.

Oz in the video also referred to personal care services as “something that our families would normally do for us, like carrying groceries.”

Kathleen Downes, a 33-year-old who has quadriplegic cerebral palsy and uses personal care services in New York’s Nassau County, said she was offended by the notion that all Medicaid beneficiaries have family members who are willing and able to help.

Downes, who has been disabled since birth and needs personal care help for things like showering, using the toilet and eating, said she hires both her mother and outside assistants for personal care services, so her aging mother doesn’t have to take on those tasks full time. She said her mother did the labor unpaid for years, precluding her from pursuing other career opportunities.

“He’s assuming that everybody wants to and can just do it for free forever,” Downes said. "And that’s not feasible for a lot of people.”

AP exclusive: Trump administration admits a glaring error in its New York health fraud accusations

Not that anyone would be surprised to learn that this administration was caught LYING again. I guess they can't help it, it's just what the weak whiny stupid fucking traitor bigots do.

 
 

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