California Legislative Beat
Governor Newsom’s Healthcare Budget Proposal for 2024-25
Dilani Logan, Student Fellow January 22, 2024
On January 10, 2024, Governor Gavin Newsom released his proposed California state budget for 2024-2025. In a year where the state was expected to struggle financially, the Legislative Analyst’s Office had originally predicted that the budget deficit could extend upwards of $68 billion due to 2023’s seven month tax filing extension, steep stock market declines, and economic dampening from the Federal Reserve’s interest rate hikes. However, to the surprise of many, the released budget projected a significantly smaller budgetary shortfall at $38 billon. The Governor announced plans to close this …
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Recapping the 2023 California Legislative Session (Part 2): Healthcare Services and Pharmaceutical Costs
Dilani Logan, Student Fellow December 14, 2023
In the last issue of California Legislative Beat, we examined some significant bills from year one of California’s 2023-2024 legislative term. Specifically, we focused on legislation that sought to make changes in healthcare competition, consolidation, and system reform. In part 2 of the 2023 session recap, we turn our attention to bills that aimed to tackle healthcare service and pharmaceutical costs, coverage, and price transparency. Healthcare Costs and Coverage Californians can expect to be protected from surprising dental or emergency ground medical transportation bills soon. The legislature approved and …
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Recapping the 2023 California Legislative Session (Part 1): Regulating Market Competition and Health System Reforms
Dilani Logan, Student Fellow November 13, 2023
On September 14, the California Legislature concluded the 2023 legislative session when it adjourned for an interim recess. The session marked the end of the first year of the two-year 2023-2024 term. In total, the Legislature introduced over 3,000 bills this session – more bills than it has introduced in more than a decade; of which, 700 bills remain active. Like past sessions, the California Legislative Beat recaps the noteworthy bills from this session that impact California’s health care market in a two-part series. In this Part 1 of our …
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California Legislative Beat: Final State Budget for 2023-2024 Fiscal Year
Mary Mitchell, Student Fellow September 13, 2023
After much debate fueled by disagreement over California’s $31.5 billion deficit, lawmakers and Governor Newsom have finalized the state’s 2023-2024 budget. The final budget bill outlines a $310 billion spending plan that includes $248.1 billion for Health and Human Services programs,[1] up from $245.69 billion in the May Revision.[2] Stakeholders can breathe a sigh of relief: core health programs will not face budget cuts, and California’s commitment to health care generally, and Medi-Cal in particular, remains strong. Consistent with the proposed budget in the May Revision, California continues to move …
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Governor Newsom’s May Revision to California 2023-2024 State Budget
Mary Mitchell, Student Fellow June 14, 2023
On May 12, California Governor Gavin Newsom released the May Revision to his January proposal for California’s 2023-2024 budget. The so-called “May Revise” lays out a $306.5 billion budget for total state funds,[1] up from $296.9 billion in January’s proposal.[2] The higher budget also includes a higher deficit due to unexpectedly low tax revenues:[3] the plan now anticipates a $31.5 billion shortfall,[4] about $10 billion more than predicted in January.[5] Despite the deficit, the revised budget proposal avoids cuts for core health programs and services,[6] as the Governor continues to …
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2023 California Healthcare Bills Part 2: System Reform, Transparency, and Prescription Drug Costs
Rachel Ng, Student Fellow May 12, 2023
In the previous issue of the California Legislative Beat, we examined healthcare bills introduced in the 2023-2024 legislative term that target healthcare consolidation and competition in California (see 2023 California Healthcare Bills – Part 1). In this second part of the two-part series, we explore some newly proposed bills that seek to increase access to care, control costs, and improve transparency in data and prices. System Reform and Access California is a leader in innovative healthcare policy and initiatives, particularly to increase patients access to care while lowering overall …
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2023 California Healthcare Bills Part 1: Healthcare Consolidation and Competition
Rachel Ng, Student Fellow May 11, 2023
In the 2023-2024 legislative term, the California legislature has introduced a multitude of legislation targeting consolidation and competition in health care, system reform and price and quality transparency. In a two-part series, we highlight some of the noteworthy legislation proposed this session. Part 1 focuses specifically on the State’s efforts to promote a more competitive healthcare market by targeting restraints of trade and consolidation. In Part 2, the focus will shift to proposed bills targeting system reform, price and quality transparency, and prescription drug prices. Health Care Consolidation California …
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Revolutionizing Medi-Cal: The Potential Impact of California’s CalAIM Initiative
Rachel Ng, Student Fellow March 15, 2023
California’s Medi-Cal program is the largest Medicaid program in the country. It is tasked with providing care for approximately 15 million enrollees, or one third of California’s population. To ensure affordability while maintaining quality and improving health care outcomes, CalAIM was created as California’s newest approach to reform Medi-Cal, including changes to managed care plans and reimbursement of behavioral health plans. Although many of these objectives under CalAIM are still in the initial implementation stages, the potential ramifications of this multi-year, billion-dollar investment in changing how millions of people receive …
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Governor Newsom’s Healthcare Budget Proposal for 2023-2024
Rachel Ng, Student Fellow February 15, 2023
On January 10, California Governor Gavin Newsom released his proposed budget of $296.9 billion in total state funds for the 2023-2024 fiscal year.[1] Even with the anticipated $22.5 billion shortfall in the budget and 7% decrease in last year’s implemented and revised budget, the Governor did not propose any cuts towards health care coverage for all Californians. The proposed budget sought to maintain Medi-Cal expansion, reduce prescription drug costs, and bolster mental and behavioral health services as key healthcare priorities for the state.[2] Health and Human Services expenditures were the …
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Office of Health Care Affordability: California’s Healthcare Cost Commission Gears Up for Implementation
Rachel Ng, Student Fellow and Amy Y. Gu, Managing Editor December 14, 2022
In the 2022 session, California enacted legislation to create the state’s healthcare cost commission, the Office of Healthcare Affordability (OHCA). As part of the Department of Health Care Access and Information (HCAI), OHCA is authorized to analyze the health care market for cost trends and drivers of spending and set and enforce cost-growth benchmarks for the state. It also has the authority to review and assess the impact of mergers, acquisitions, affiliations, and other healthcare transactions on price and competition. As OHCA prepares for its launch, the California Health Care Foundation …
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