KRISTEN HWANG/CalMatters Julia Feinberg feels like she’s living in a sinister version of Groundhog Day. For the second year in a row California lawmakers have made it tougher for seniors and people with disabilities to qualify for state-funded health benefits.

Feinberg, 37, who has a degenerative neuromuscular disorder, said without Medi-Cal she would be confined to a nursing home rather than living and working as a therapist in Oakland.

“We keep having to have the same fight over and over and over again,” Feinberg said. She requires a power wheelchair and about 19 hours of caregiving each day, which Medi-Cal covers.

California is cutting Medi-Cal after a decade of expansion, part of sweeping federal and state cuts that experts estimate will kick more than 2.2 million Californians off coverage in the next four years, doubling the state’s uninsured rate.

The latest cut came in June, when state leaders approved a budget that will lower the asset limit for low-income seniors and people with disabilities to $21,000 to qualify for Medi-Cal, starting in July 2027. Feinberg, who has built up emergency savings, will have to spend about $10,000 to get under the cap.

In 2024, the state eliminated longstanding Medi-Cal asset limits, but since then lawmakers have chipped away at that policy. At the beginning of this year, state leaders reinstated an asset limit of $130,000, and the June budget lowered it further.

A primary residence and one vehicle are exempt from the new limit, but people 65 and older as well as those with disabilities cannot own a second home or car, and they can’t have more than $21,000 in savings accounts, certain retirement accounts, life insurance policies or even burial plots . They must still meet Medi-Cal income eligibility limits of about $1,800 a month for a single person. Advocates say the rules unfairly target older people and those with disabilities.

“It’s really expensive to be disabled,” said Elizabette Guéçamburu, 44, who like Feinberg has spinal muscular atrophy and requires a power wheelchair as well as daily caregiving.

Guéçamburu said she’s saving up for a used wheelchair-accessible van, which costs about $75,000. Home modifications such as adding ramps and making bathrooms accessible also cost tens of thousands of dollars, none of which are covered by Medi-Cal. Guéçamburu said those expenses would be impossible to afford if she couldn’t save.

Guéçamburu lives on her family’s farm in Patterson where they grow walnuts, almonds and alfalfa. She works part time as the farm’s bookkeeper. In 2024, doctors diagnosed Guéçamburu’s father with prostate cancer, and he could no longer act as her caregiver. The same year, California eliminated asset limits for people with disabilities and seniors — Guéçamburu cried, able to qualify for Medi-Cal for the first time. “The timing was a godsend,” she said.

Now, her aging father is unable to take care of her should she lose Medi-Cal, and Guéçamburu is struggling to figure out what to do with money left to her by her grandmother. She’ll likely have to put it into a special needs trust controlled by a family member and give up financial independence. She also had her family strike her from inheriting any portion of their 100-year-old farm. Private home care costs thousands of dollars a month , making it hard for lower- and middle-income people to pay for it out-of-pocket.

“I have to surrender our legacy just to have medical security and have the ability to live my life,” Guéçamburu said.

Gov. Gavin Newsom eliminated Medi-Cal asset requirements in 2024 after a yearslong campaign by senior and disability rights advocates. In a statement before the elimination , Newsom said he was proud of the “bold investments” his administration was making to “protect life savings and homes.”But two years later, faced with a $12 billion budget shortfall, Newsom proposed reinstating the former $2,000 limit, arguing that more than twice as many people enrolled as previously estimated. The Legislature opposed that proposal and compromised at the current higher limit of $130,000, lowering it again to $21,000 starting next July.

Lindsay Imai Hong, California director for Hand In Hand, an advocacy group supporting families that need caregiving, said organizers are looking to the next governor for change.

“We would love to see the asset test permanently taken off of the chopping block,” Imai Hong said.

Republican gubernatorial candidate Steve Hilton said in a statement to CalMatters that he opposes asset limits. He criticized the state for extending other Medi-Cal benefits beyond what it could afford, including coverage for immigrants without legal status.

“Seniors and people with disabilities shouldn’t lose their coverage because they’ve managed to save some money. They’ve done the responsible thing. Why punish them for it?” he said.

Democratic gubernatorial candidate and front-runner Xavier Becerra did not answer specific questions about the asset limit policy, but a campaign spokesperson blamed the Trump administration’s federal cuts for “squeezing” California’s Medi-Cal program.

Becerra will be “focused on protecting access to care and demand savings that are real, measurable and sustainable,” spokesperson Johnathan Underland said. On the campaign trail, Becerra has called himself California’s next “healthcare governor” and has previously floated raising taxes to reverse Medi-Cal cuts, but has not released detailed health policy plans .

Camille Nguyen, an attorney with the Legal Aid Society of San Mateo County, said most people who struggle to stay under the limit have little financial security.

“They have all of their life savings in cash savings instead of a house. That’s their retirement. That is the amount they are expecting to live off of for the rest of their life,” Nguyen said.

State data shows about 600 people lost Medi-Cal when California reinstated the $130,000 limit. Advocates expect many more to lose Medi-Cal at the lower limit, but the state never released budget estimates before lawmakers approved the $21,000 limit. If the state reinstated the much lower $2,000 limit, the Department of Finance estimated 62,000 seniors and people with disabilities would lose Medi-Cal over two years.

Feinberg said the prospect of losing Medi-Cal is especially scary because she would also lose access to a special disability program that pays for extra caregiving hours and has a multiyear waitlist. Caregivers help Feinberg get in and out of bed, dress and prepare her meals.

Before the limit was erased in 2024, Feinberg said she checked her bank account every day to make sure the balance was low. At the time, Feinberg was a graduate student and did not earn very much money. Now, as a licensed therapist Feinberg has been able to squirrel away some money.

“I don’t want to spend down that money. I want to save that for retirement, maybe buying a house in the future,” Feinberg said. “The prospect of not being able to have a nest egg is very unsettling.”Guéçamburu said she’s angry and frustrated that the state views services for people with disabilities as expendable.

“It’s exhausting to have to justify your existence every legislative cycle,” she said.