In California , government health spending on Medicare and Medi-Cal has surpassed the total amount of the state's general fund budget, according to estimates from the U.S. Bureau of Economic Analysis, the Sacramento Bee reports. Medi-Cal is California 's Medicaid program. Government Spending in California : In 2011, the federal and state government spent $46 billion on Medi-Cal, and the federal government spent $59 billion on Medicare in California , according to the estimates. The figures roughly equate to $2,800 per California resident.