[courtesy of California Progress Report]

By Fabian Nunez
Speaker Emeritus of the California Assembly

[courtesy of California Progress Report]

By David Dayen
d-day

There's a confluence of high-profile lawsuits against the state today, on big topics with far-reaching consequences. First, the medical community is suing over Medi-Cal payments:

“Doctors, hospitals and health care providers filed a class-action lawsuit Monday seeking to block the state from cutting payments to them for treating the poor.

“The lawsuit argues that an upcoming 10 percent rate cut to Medi-Cal -- the state-run health insurance program serving 6.5 million low-income residents -- will exacerbate a shortage of doctors, dentists and pharmacists willing to treat poor patients because payments are so low.

"Medi-Cal already doesn't cover the cost of providing care," said Dr. Richard Frankenstein, president of the California Medical Association, which led the lawsuit. "If these cuts take effect, Medi-Cal patients will be forced to seek care in already overcrowded hospital emergency rooms, which undermines access to care for all Californians."

“The suit, filed in Los Angeles Superior Court on Monday, seeks an immediate injunction to block the reduction from taking effect July 1.”

by David Dayen [courtesy of Calitics - Front Page]

[courtesy of California Progress Report]

By Anthony Wright
Executive Director of Health Access California
One of the surreal moments of the week was when lobbyist Beth Capell, in testifying in support of a bill, representing her clients Health Access California and SEIU, ceded half her time to... the NFIB.

The NFIB made its name opposing the Clinton health plan in the early 1990s. Perhaps it's a sign of the times. The bill was AB2967 (Lieber), to allow for better transparency of cost and quality from health care providers. It's disappointing, although perhaps not surprising, that doctor and hospital associations opposed more reporting on themselves.

What was new and interesting was the unique coalition in support. That included consumer groups, like Consumers Union, AARP, Health Access, and CALPIRG; many labor unions including the California Labor Federation, SEIU, AFSCME, CTA, and yes, key employer groups, with Pacific Business Group on Health, Small Business Majority, and the NFIB.

It's makes sense that purchasers of health care--whether individuals, employers, or union trusts--would want better information on what they are buying. But these alliances are less frequent than that common interest would suggest.

by davej [courtesy of Calitics - Front Page]

By Dave Johnson, from Speak Out California

Do you know about the California yacht tax loophole?  Here is how it works: Regular people like you and me have to pay sales taxes on the things we buy, even on big items like cars.  We even have to pay these taxes if we buy outside of the state.  (Technically that is called a "use" tax.)  

But California has a special tax loophole just for the things rich people buy.  That's right, if you buy a big yacht, airplane or "luxury recreation vehicle," you don't have to pay sales tax.  The way this loophole works is, you buy it outside the state, hold it there for three months, and then you have a sales-tax-free yacht.

Summary: Regular people pay sales taxes, rich people don't have to.  

[courtesy of California Progress Report]

By Art Pulaski
Executive Secretary-Treasurer
California Labor Federation

As you may know, the California Labor Federation and its affiliates have been working hard all year to achieve real, affordable health care reform for California's working families. This week, the California Assembly passed a revised version of its latest health care reform bill, ABx1 1. At this point, we've voted to take a "Support if Amended" position. However, we still need to see the ballot initiative language (which would outline how the program will be financed) along with additional amendments to make the plan work for working families.

Here are some details about AB x1 1:

HIGHLIGHTS:

• Employers will contribute 1% to 6.5% of payroll (depending on the size of the payroll) towards employee health care.

• Employers who choose not to contribute directly to employee insurance will pay the same amount into a public purchasing pool. Their employees will get a 20 percent discount on premiums through the purchasing pool.

• The purchasing pool will also be able to negotiate discounted rates on prescription drugs.

by osum21 [courtesy of Calitics: Soapblox California - Front Page]

by Ca. Former State Assembly member,Hannah-Beth Jackson

Sometimes in politics, the easiest solutions are the most elusive. That should not be the case with one part of the state budget discussions. When it comes to trying to leverage state tax dollars to maximize federal money at small state cost, there is no simpler discussion than putting in a meager $24 Million to increase the Medi-Cal reimbursement rates for our state's safety net health care providers like Planned Parenthood and Neighborhood Health Clinics.