California Attorney General Rob Bonta announced a lawsuit Tuesday against the Trump administration over what he alleges was a violation of federal privacy laws stemming from the release of Medicaid data to federal deportation officials. The lawsuit, joined by the attorneys general of 19 other states, centers on a dataset containing private health information – including addresses, social security numbers, immigration status, and claims data – of Medicaid enrollees in California, Illinois, Washington state, and Washington, D.C.
The data release, first reported last month, occurred as the Department of Homeland Security accelerated deportation efforts nationwide, according to the lawsuit. California’s Attorney General alleges the administration, under the direction of Health and Human Services Secretary Robert F. Kennedy Jr., improperly shared the information. The states argue the data could be used to locate and deport migrants.
The unusual data sharing violates federal health privacy protection laws, including the Health Insurance Portability and Accountability Act (HIPAA), Bonta stated. The lawsuit seeks to prevent further dissemination of the data and to ensure the protection of patient privacy.
The timing of the lawsuit follows a broader pattern of policy changes at the Department of Health and Human Services (HHS) under President Trump’s second term. A KFF report published February 10, 2026, details numerous policy actions taken since President Trump assumed office in January 2025, including executive orders impacting data collection and presentation by federal agencies. The report notes these actions have implications for public health, particularly regarding data related to “gender ideology,” “diversity, equity, and inclusion (DEI),” and “merit-based opportunities.”
The release of the Medicaid data is not the only area of concern regarding the administration’s handling of healthcare information. Earlier this year, the Trump administration eliminated the office within HHS responsible for setting federal poverty guidelines, which determine eligibility for programs like Medicaid and food assistance. The office, part of the Office of the Assistant Secretary for Planning and Evaluation (ASPE), was dismissed in what former staff described as a “reduction in force” that appeared to target offices dealing with “data” or “statistics.” The dismissal raises concerns about potential cuts to assistance programs for low-income families.
Further compounding the financial pressures, California is also suing the Trump administration over planned cuts to public health funding. The state alleges the administration intends to cut $600 million in public health funding from California and three other Democratic states. This lawsuit, announced February 17, 2026, adds to the growing legal battles between the states and the federal government over healthcare policy.
A recent analysis of Medicaid spending in Maine, based on the newly released federal data, reveals a significant increase in cost per claim between 2018 and 2024, rising from $90.78 to $128.21 – a 41 percent increase. While total claims volume grew by only 10 percent, the cost per claim for specific services, such as substance abuse treatment drugs like Methadone and Suboxone, is dramatically higher in Maine compared to the national average – 5.4 times higher. Residential care programs for disabled Mainers also show significantly higher costs per claim, averaging $1,671 in Maine versus $482.04 nationally. Spending on Suboxone and Methadone in Maine has increased from $7.6 million in 2018 to $28.7 million in 2024, with the cost per claim nearly doubling over the same period.
The Economist reported February 19, 2026, that Robert F. Kennedy Jr., as Health Secretary, has overseen rapid public-health reforms across HHS. The implications of these reforms, coupled with the data releases and funding cuts, remain to be seen.
