Derrick Van Orden, Republican representative for Wisconsin’s 3rd District, said Democratic-led states are misusing federal Medicaid funds to provide benefits to undocumented immigrants, diverting resources away from eligible American citizens.
“Dems love to talk about compassion until it comes at the expense of vulnerable Americans,” said Van Orden. “At least eight states ran a Medicaid scam, illegally rerouting federal dollars to illegal aliens. Making it nearly impossible to provide readily available healthcare for the people the program was meant to serve. Disgraceful.”
Van Orden’s statement posted to X on January 14 was in response to an announcement by a Centers for Medicare & Medicaid Services (CMS) administrator about expanded findings of unlawful Medicaid spending and withholding funds from California. The post highlights the impact of resource diversion on American healthcare provision.
California has been identified as a primary violator in a CMS audit, with over $1.3 billion marked for improper use on non-emergency care for undocumented immigrants. This has led to a $300 million fund holdback until compliance is verified. The review revealed that a total of $1.8 billion across eight states lacked proper fund separation, prompting actions to enforce federal restrictions on Medicaid expenditures.
In the United States, improper payments under Medicaid reached 6.12 percent in fiscal year 2025, totaling $37.39 billion. These issues primarily stemmed from documentation problems rather than intentional misuse. Federal enforcement efforts recovered over $6.8 billion under the False Claims Act in 2025, with healthcare cases contributing $5.7 billion through settlements and judgments. National takedowns charged hundreds involved in schemes exceeding $14.6 billion in intended losses.
Van Orden served 26 years in the US Navy as a SEAL and retired as Senior Chief Petty Officer after five combat deployments. Before entering politics, he acted in films such as “Act of Valor” and operated a cafe. He was elected to Congress in 2022 for Wisconsin’s 3rd district as a Republican after losing in 2020 and serves on committees related to agriculture, veterans’ affairs, and armed services.