Officials say $1.3 billion in Medicaid money to California will be deferred over suspicions of fraud

Vice President JD Vance speaks to the media at the White House on Wednesday, flanked by CMS Administrator Mehmet Oz.Jacquelyn Martin/AP

By Associated Press

May 13, 2026

WASHINGTON — Vice President JD Vance on Wednesday announced new steps in the Trump administration’s initiative to root out fraud in federal health programs, including a $1.3 billion deferral in Medicaid reimbursements to California.

“These fraudulent health care providers are getting rich by giving people medications they don’t even need,” Vance said during an event at the White House, adding that taxpayers and program beneficiaries are victimized by such fraud.

Officials say $1.3 billion in Medicaid money to California will be deferred over suspicions of fraud

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