California Health Care Reform Legislation a Framework for Real, Positive Change

[courtesy of California Progress Report]

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By Michael Russo
Health Care Advocate and Staff Attorney
California Public Interest Research Group (CalPIRG)

The long-gestating comprehensive health care reform bill, ABX1-1, also known as the Health Care Security and Cost Reduction Act, finally cleared the California Assembly with great fanfare on Monday. But even now that the glow of the triumphal press conference has faded, opinions have still failed to converge, with some calling it a giant leap forward for consumers, and others labeling it fiscally irresponsible and doomed to failure.

It’s no surprise that different people will have different takes on a 200-page piece of legislation that institutes fundamental changes in dozens of areas. Just coming to grips with what ABX1-1 does is a task in itself. But while there are definitely areas where ABX1-1 can be improved, it really is a landmark bill that will catapult California out of the dark ages and towards a nation-leading health care system.

Before turning to the areas of disagreement, it’s worth taking a minute to go back and look at the parts of the bill that aren’t controversial. They tend to get ignored in favor of the more contentious provisions, since those are what drive news coverage and political handicapping, but some of the most important parts of ABX1-1 have gotten short shrift in the public conversation.

First, ABX1-1 would greatly expand the Medi-Cal and Healthy Families programs, so that the neediest Californians can get the coverage they need to be healthy. Kids living in families up to 300% of the federal poverty line (that’s a little over $60,000 for a family of four) will get covered. Childless adults would be covered through Medi-Cal up to 100% of the federal poverty line (about $20,000 for that same family of four), and Medi-Cal’s reimbursement rates to hospitals and other providers – which are currently the lowest in the nation, and which has lead to many hospitals and doctors refusing to treat Medi-Cal patients – will be greatly increased. And these programs don’t offer insurance in name only; Medi-Cal and Health Families both offer real, useful benefits. It’s hard to overstate how large of an impact this expansion will have on those who are forced to rely on the state’s safety net.