A widely shared social media post has drawn attention to a 2025 report from the California State Auditor that outlines significant financial challenges across several state programs. The report compiles findings from multiple audits and estimates that tens of billions of dollars in taxpayer funds have been affected by waste, inefficiencies, or improper payments over time.
Among the issues highlighted are payment errors in California’s CalFresh program, the state’s version of the federal Supplemental Nutrition Assistance Program (SNAP). According to the audit, changes in federal rules and administrative shortcomings could result in as much as $2.5 billion per year in improper payments if not addressed. The program has since been placed on the auditor’s “High Risk” list, which flags agencies and initiatives needing closer oversight.
The report also reviews large-scale spending efforts in other areas, including homelessness and infrastructure. Auditors cited roughly $24 billion spent on homelessness-related programs with concerns about tracking outcomes and effectiveness. California’s high-speed rail project was also noted, with approximately $18 billion spent to date and ongoing questions about timelines, costs, and project management.
Additional findings referenced past issues involving unemployment insurance fraud during the COVID-19 pandemic, as well as a discontinued effort to upgrade the state’s 911 emergency communications system after years of collected surcharges. State officials have said some of these problems stemmed from outdated technology, rapid program expansion during emergencies, and gaps in oversight.
State lawmakers, including Rep. Kevin Kiley, have pointed to the report as evidence of the need for stronger accountability and improved financial controls. While reactions online have been intense, state agencies maintain that reforms are underway, and the auditor’s office emphasized that the purpose of the report is to identify risks early and encourage corrective action moving forward.