A viral social media post highlighted a California State Auditor’s 2025 report, pointing to over $70 billion in taxpayer losses across programs, aggregated from separate audits. Key issues include potential annual costs of $2.5 billion from CalFresh (SNAP) payment errors due to federal changes; $24 billion spent on homelessness; $18 billion wasted on high-speed rail; plus unemployment fraud and a scrapped 911 upgrade.
Reacting to these shocking details, Rep. Kevin Kiley criticized the mismanagement, calling California the “fraud capital.” When the news broke on social media, users were incensed and took Newsom to task for his failure as a leader.
Announcing the news, a popular post to social media read, “BREAKING – A 92-page report by the California State Auditor has found that over $70 billion in taxpayer funds have been lost, including $2.5 billion in SNAP fraud, $24 billion on fighting homelessness, and $18 billion for a high-speed rail where not a single track has been laid.”
Starting off with a shocking reveal, the segment explained the details of the case. “The latest report was issued by the State Auditor, and that’s a nonpartisan position that the state auditor now puts eight state agencies on the High Risk List of agencies to watch out for, for things like fraud and mismanagement as well as waste,” the reporter began.
Building on this point, she said, “Here’s a look at that 92-page report. California’s food stamp program has been added to the High Risk List. If the state doesn’t get the improper payments under control, it could cost an extra two and a half billion dollars.”
Providing more sensational details, the Newsmax reporter kept going. “Also on there is the Department of Finance, which was tasked with giving out COVID-19 relief funds. Critics say $32 billion of that was taken by fraudsters. Then there are infrastructure issues, like California’s deteriorating dams, and also the high-speed train that’s already cost taxpayers 18 billion without a single section of track complete,” the anchor said.
Wrapping up, the reporter noted, “Other reports cite $24 million spent on the homeless issue, which critics claim the state lost track of. More recently, there’s a report that says California cell phone users paid a surcharge for years to upgrade the state’s 911 system.”
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In the same segment, State Congressman Kevin Kiley explained the issue. “The state is totally scrapping it and starting over, completely wasting the money because the technology doesn’t work. Mind you, we are very close to Silicon Valley in Sacramento, and yet the government can’t figure out how to make basic technology perform,” he declared.
Watch the clip here:
Offering a personal anecdote about the poor state of California, one woman noted, “Someone within the State is using my daughter’s Social Security number and Gavin Newsom’s EDD won’t tell her who.”Similarly, annoyed, another said, “Someone should audit Newsome and his 9 million dollar estate he purchased this year on the $242K salary he receives……”
Featured image from embedded video