California Assembly Passes Historic Health Expansion and Reform Proposal

[courtesy of California Progress Report]

• Agreement between Governor Schwarzenegger and Speaker Nunez passes 46-31
• Proposal would extend health coverage to nearly 4 of 5 million uninsured Californians
• Would be largest expansion of coverage since the creation of Medicaid and Medicare
• Latest amendments include tax subsidies for families earning up to $82,600 (family of four) to help buy coverage, and for early retirees not yet eligible for Medicare

By Anthony Wright
Executive Director of Health Access California

The California state Assembly Monday, on a 46-31 party line vote, approved an historic expansion of health care, which could ultimately provide health coverage to more than 95 percent of California residents.

“California is taking a giant step forward,’’ said Gov. Arnold Schwarzenegger, calling the Assembly’s passage of AB x1 1 “courageous.” Schwarzenegger spoke at a news conference flanked by Assembly Speaker Fabian Nunez and a phalanx of Democratic Assembly lawmakers. Also present were “groups who normally are opposed to one another” -- representatives from a broad range of health care interests: from small businesses, large businesses, physicians, labor unions, consumer groups, community of color organizations, hospitals and insurance companies.

AB x1 1 (Nunez/Perata) is the latest measure of nearly a half a dozen comprehensive health reform measures introduced in Schwarzenegger’s so-called “Year of Health Reform.’’

Schwarzenegger, over the past five years has vetoed or opposed major coverage expansions, including children’s coverage, single-payer universal coverage and an employer mandate. However, this year, Schwarzenegger and legislative leaders volleyed bills back and forth all aimed at reducing the ranks of uninsured in California , numbering up to 5.1 million continuously without coverage. Nearly one year after Senate Leader Don Perata and Nunez introduced separate health reform packages, legislative leaders and the governor have agreed on a package in AB x1 1.

WHAT’S IN THE BILL: In a nutshell, ABx1 1 does the following: