Budget Vote Expected on the Floor Next Week
As legislators face the third week of the fiscal year without a state budget, Democrats are planning a floor vote next week even though Republicans have said they will not provide support to pass the spending plan.  As the month-long legislative recess scheduled to begin July 20 approaches, legislators continue to negotiate in an attempt to reconcile differences. Republicans are pushing Democrats to restrain growth in government programs, an idea that so far they have refused to accept.  Because the budget requires a two-thirds majority for passage, support from both political parties is necessary.  Republicans claim that they have submitted $2.2 billion worth of additional cuts to the Democrats $104.4 billion proposal but have been largely ignored. Democratic leaders in both chambers are now pushing the governor to be more involved with his Republican counterparts in an attempt to resolve these issues.

Democrats Push Health Reform Proposal Through Committee
A Democrat proposal to provide health care for millions of uninsured Californians was approved by the Senate Health Committee on Wednesday, July 11, setting the stage for negotiations with the governor this summer.  Assembly Bill 8, which would require employers to devote 7.5 percent of payroll to health care or contribute to a state-run insurance plan, would provide care to an estimated 3.4 million Californians.  The proposal has drawn sharp criticism from businesses and general support from consumer and labor groups, though nearly every group is pushing amendments that would make changes to the measure. Schwarzenegger is continuing to push his proposal, which asks employers, health care providers and individuals to contribute toward covering 6.5 million uninsured.  Assembly Republican Leader Mike Villines (R-Clovis) continues to condemn both plans on the grounds that they significantly raise taxes on the business community.

Rising Medical Costs Push Costs on to Workers
Some 8.7 million of California workers are not covered by an insurance plan sponsored by their employer, and 2.9 million of those have no health coverage at all, according to a report released on Wednesday by the Center on Policy Initiatives in San Diego.  The results of the study demonstrate the troubling effect of rising health care costs that have prompted many businesses to drop employee insurance coverage or raise employee shares of health insurance premiums to unaffordable levels.  The study also showed a wide gap in insurance coverage between higher-wage and lower-wage jobs, highlighting a dynamic that is leaving the most vulnerable citizens searching for alternatives or choosing to bypass insurance for themselves and their families.  The report reaffirms the growing belief in California that the health care system is in disarray and that public officials must lead reforms so that individuals can have access to medical coverage.

Appropriations Committee to Hear Chemical Exposure Measure
On Monday, July 16, the Senate Appropriations Committee will hold a hearing on Assembly Bill 515, authored by Assemblywoman Sally Lieber (D-Mountain View).  The measure would require new permissible exposure limits (PEL) to be determined for chemicals used in the workplace and would additionally require the PEL standards to be set as recommended by the Office of Environmental Health Hazard Assessment (OEHHA).  CHI’s concern is that OEHHA does not receive input from industry in making PEL recommendations and the bill does not set any guidelines for OEHHA to receive industry input.

CHI California Healthcare Policy Forum August 2
The governor’s plan for healthcare reform calls for using health information technology to bring information about healthcare quality and costs to bear on medical decision-making. CHI has assembled an impressive group of speakers on the vanguard of telemedicine and IT market innovations to address the California Healthcare Policy Forum August 2 on this topic, including: Irwin Jacobs, Sc.D., Chairman of the Board, QUALCOMM;  Jeffrey Rideout, M.D., Vice President, Internet Business Solutions Group; and Medical Director, Health Policy and Benefits, Cisco Systems; and Lonny Reisman, M.D., President & CEO, ActiveHealthManagement. The forum will be held at the Salk Institute in La Jolla. Register online or contact Callie Robbins (robbins@chi.org or 858-551-6677) for more information.