Twenty U.S. states, led by California, have launched a legal battle against the Trump administration over allegations of illegally sharing Medicaid recipients' health data with immigration enforcement agencies. The lawsuit, filed Tuesday in the U.S. District Court for the Northern District of California, accuses federal agencies of violating privacy laws and undermining public trust in healthcare systems.
California Attorney General Rob Bonta spearheaded the coalition of 19 other states, arguing the administration's decision to grant Homeland Security "unfettered access" to sensitive health records has created a "culture of fear" among immigrant communities. The 59-page filing claims this breach has caused noncitizens and mixed-status families to avoid critical emergency healthcare services due to deportation concerns.
At the heart of the dispute is Medicaid data sharing between the Department of Health and Human Services (HHS) and immigration authorities. The plaintiffs maintain this violates the 1965 Medicaid Act, which strictly limits disclosure of personal health information. With 78.4 million Americans enrolled in Medicaid and related programs as of January 2025, the case could set significant precedents for data privacy rights.
"We're fighting to prevent health records from becoming tools for mass deportations," Bonta stated, emphasizing California's Medi-Cal program serves over 2 million noncitizens. Congressional Democrats have joined the fray, demanding immediate cessation of data transfers and destruction of already-shared information.
The lawsuit comes amid reports of federal plans to create a centralized immigration enforcement database using HHS records. Legal experts suggest the case could test the balance between national security priorities and individual privacy protections in the digital age.
