CHRISTOPHER RUFO: Gavin Newsom’s $30 Billion Fraud Magnet.
California Governor Gavin Newsom is embroiled in a national fraud scandal. Thus far, much of the coverage has focused on alleged schemes related to unemployment insurance, hospice care, and food stamps. In this exclusive investigation, we shine a light on one of California’s largest initiatives: the In-Home Supportive Services Program, or IHSS, which pays family members and other individuals to provide home-based care for the elderly and disabled—at a cost of nearly $30 billion per year.
On the surface, IHSS presents itself as an instrument of compassion, directing billions to caregivers who help with cooking, personal care, laundry, and other daily needs inside recipients’ homes. But a growing number of experts and critics argue that the program is rife with fraud, losing roughly an estimated $6 billion to $12 billion yearly to scammers. Meantime, the state’s powerful home-care unions collect more than $149 million in membership dues, funneling money into the political network supporting Newsom and California Democrats.
This is the story of a government that has allowed compassion to become a mask for fraud, creating a self-reinforcing system that keeps the Democratic establishment in power.
It sounds bad. No wonder Newsom thinks that simply throwing more money into a bonfire will make it all go away: Gavin Newsom to spend $19M in taxpayer funds on New York PR firm to polish California’s image.