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FOR IMMEDIATE RELEASE
Thursday, January 10, 2008
For Media Assistance
SACRAMENTO, California — The Governor's proposed 2008-09 budget takes a step in the wrong direction, derailing our sustained progress in covering uninsured children. The hundreds of millions of dollars in health care cuts would not only shortchange California's most vulnerable population by putting children's health at risk, but would also take our state backwards in reaching the goal of health coverage for all children.
"The proposed budget cuts are inconsistent with the Governor's commitment to cover all children, and would harm them, our communities, and our future," said Wendy Lazarus, Founder and Co-President of The Children's Partnership. "We know our state is in a difficult fiscal situation, but taking money from health programs that children need most is not the answer. It will only result in more sick children with less access to cost-saving preventive or routine care."
The Governor's 2008-09 budget proposal sets in place obstacles which will impede families' access to health coverage and health care providers. For example, the Governor's proposed budget would:
- Add red tape by requiring families to confirm their ongoing Medi-Cal eligibility every three months. This will result in children falling off the ranks of the insured and will simultaneously drive up unnecessary administrative costs for the state and counties.
- Increase out-of-pocket costs for children in Healthy Families, which will force many low-income families to drop coverage for their children or delay necessary care.
- Impose other cuts on the health care system, including provider rate decreases, making it more difficult for families to find the care they need.
All of these cuts compound the $34 million reduction the Governor made last year to outreach and enrollment efforts to ensure children get the coverage for which they are eligible.
While the 2008-09 budget proposal does allocate some funding to simplify how children enroll in and maintain health coverage, the overall impact of the budget proposal is extremely harsh in terms of limiting access to needed health care for our children.
California Budget Situation Reinforces the Need for Health Care Reform This Year
The Governor's proposed cuts emphasize the importance of approving the health care reform proposal, ABX1 1, put forth by the Governor and Speaker Núñez and soon to be considered by the Senate. ABX1 1 would cover all children in California starting in 2009. While some would argue that we should not move forward with health care reform during this budget crisis, the reality is that the proposed reform will not add to our state's budget burdens and, in fact, it would help to insulate vital health programs from future budget deficits with its creation of new, dedicated revenue sources. Low-income, vulnerable children need the Senate to pass ABX1 1 next week.
"Once again, critical health care programs are at risk as a result of our state's budget deficit. This budget situation highlights the urgent need to pass the proposed health care reform package so that we create new revenue to help protect health care for our families and children – which should be one of California's top priorities," concluded Lazarus.
The 100% Campaign, a collaborative
effort of Children Now, Children's Defense Fund and The
Children's Partnership, was created to ensure that all
of California's children obtain the health coverage they
need to grow up strong and healthy.
The PICO California Project is the united effort
of 20 California congregation-community organizations
affiliated with the PICO National Network. Collectively,
we represent 350 congregations and 400,000 families statewide
and are actively organizing in over 70 cities in Northern
and Southern California.
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