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Press Coverage

Children's healthcare likely on governor's agenda

Capitol Weekly
December 8, 2005
By Malcolm Maclachlan

Groups that want California to support universal healthcare for the state's children are looking to the governor's office with growing optimism, despite the veto of such a bill earlier this year.

"This is high on their radar screen," said Wendy Lazarus co-president of the Children's Partnership, a group that advocates for low-income children. "They've certainly suggested that they want to do something in 2006."

The Partnership is part of a coalition of groups that are working to qualify an initiative for next November's election. The Tobacco Tax, Disease Prevention and Children's Health Insurance Act of 2006 would fund provide $435 million to cover 800,000 uninsured children by adding a $1.50 tax to the price of a pack of cigarettes. If it passed, the measure could take in $1.5 billion a year, according to the Legislative Analyst's Office. The remainder of the money would be used to fund a variety of other health programs, including disease prevention and anti-smoking campaigns.

The governor's spokesman, Rob Stutzman, said the governor is evaluating a number of ideas around children's healthcare coverage and had not endorsed any bill or initiative.

However, the initiative would address the concerns articulated by Schwarzenegger in his veto message of AB 772, the bill by Assemblymembers Wilma Chan, D-Oakland, and Dario Frommer, D-Glendale, which would have provided health insurance for all California children. At the time, Schwarzenegger said he supported the idea in concept but said he could not sign it without a funding source.

The optimism among advocates that the governor may take steps to cover uninsured children reflects changing political realities, both in California and nationwide. Illinois enacted a law to this year to guarantee coverage to children. Several other states, including Texas, have lesser plans but have expanded the number of low-income children they will cover.

Meanwhile, the governor's loss in the special election and staff changes that have brought Democrats into the Horseshoe has raised speculation that Schwarzenegger shift his policy goals in an effort to reclaim the political center before next year's election.

If the governor is looking to recast himself as a centrist, health care policy would be a natural for him to tackle. Already the administration has backed away from some of the unpopular health care stands that got him into trouble this year. In the days after the special election, the governor dropped his effort to oppose the five-to-one patient-to-nurse ratio the California Nurses Association had won. Meanwhile, the CNA put out an aggressively-worded press release calling for "genuine reforms," including "universal healthcare based on a single standard of quality care for all."

The nurses are backing SB 840, the single payer healthcare bill proposed by Sen. Sheila Kuehl, D-Los Angeles. It would provide health insurance for every citizen in California out of a single fund, paid for with a combination of existing federal funds and insurance premiums charged individuals.

Proponents of the bill have argued that it would merely shift the cost the state is already paying in the form of emergency room visits for indigent patients. Kuehl also sponsored the legislation establishing the five-to-one patient to nurse ratio.

"It's still very early in the process, but we're working very closely with her," said Charles Idelson, a spokesman for the CNA. "That's the key bill in California at this point. That's the one that's live."

However, given California's budget crunch, many expect SB 840 to join a long list of other dead bills that would have provided universal healthcare in the state. The one that came closest was SB 2, the so-called Employer Mandate bill that was signed into law by Gray Davis in 2003 but defeated by referendum the next year, in the form of Proposition 72. Another bill, AB 1670, the so-called Individual Mandate bill, died in the Assembly Revenue & Taxation Committee in April, despite gaining support from the business community.

Still, many say a health plan for children could prove political viable, even while more ambitious plans fail.

"We would eventually like to see that everyone have insurance," said Peter Warren, a spokesman for the California Medical Association. "But that's not going to happen immediately. It's politically a lot harder to attack a program for young people."