Campaign Update
Wednesday, April 9, 2008

Pediatricians, Parents, and Advocates Speak Up at
Senate Budget Health Subcommittee

At Monday's Senate Budget Health Subcommittee hearing in Sacramento, the 100% Campaign and PICO California, among others, testified against cuts that would threaten children's health coverage. A long line of witnesses detailed the impacts that quarterly status reports (QSRs) would have on children in Medi-Cal. QSRs operate as a back-door mechanism to reduce Medi-Cal enrollment; according to the department that oversees Medi-Cal, QSRs will cause almost 300,000 mostly eligible children to lose coverage. Also, recent research shows that QSRs are fiscally unwise, leading to increased health care costs once children do return to Medi-Cal, and wasting limited administrative costs to re-enroll children.

Parents Tawnya Soden and Anjie Reynolds testified to the importance of continuous Medi-Cal coverage in preventing chronic illnesses and keeping their children healthy. Both mothers spoke of the potential negative effects of any disruptions in coverage on the health of their children, including Anjie's children Aubrey and Dane Reynolds, ages 6 and 7, who sat with her while she testified.

Gerry Fairbrother, Ph.D, Professor and Associate Director of the Child Policy Research Center at Cincinnati Children's Hospital Medical Center, shared the results of her recent in-depth report on the impacts of "churning" on and off health insurance. Based on evidence from other states, her report (available online) finds that most kids who lose coverage will remain eligible and return to the program after only a few months— with higher medical costs. A pediatrician who serves Medi-Cal patients further confirmed the devastating impacts of churning on patients and the health care system.

While the imposition of QSRs is the most harmful current budget proposal, unfair premium increases have also been proposed to the Healthy Families Program. They would raise monthly premiums by 78% for families with incomes between 151-200% FPL and 27% for families with incomes between 201-250% FPL. Research has repeatedly shown that even small increases in families' share of cost result in children ultimately losing coverage.

For more information on the potential devastating impacts of the Governor's budget proposals on California's children, please see our budget factsheets.  These proposals are a huge step backward is the state's effort to cover all uninsured children—the estimated 350,000 children projected to lose coverage as a cumulative result of these budget cuts would result in a nearly 50% increase in the number of uninsured children in California.

Also, see our new factsheet detailing the effects these cuts will have in each county: Governor's Budget Threatens Children's Health in Every County.

MAKE YOUR VOICE HEARD on these dangerous budget proposals. Contact the State Senate and Assembly Budget Committees, legislative leadership and other members. Take three minutes NOW to personalize and send this sample letter to your Legislature.

STAY TUNED. We will keep you up-to-date as the Legislature debates the budget over the coming months. Further deliberation will last throughout April and May, and the Governor's May Revise budget proposal is expected in mid-May.

For more information, please contact Tim Morrison at tmorrison@childrennow.org or 510-763-2444 x122.

The 100% Campaign, a collaborative effort of The Children's Partnership, Children Now and Children's Defense Fund, was created to ensure that all of California's children obtain the health insurance they need to grow up strong and healthy.
www.100percentcampaign.org

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.
www.picocalifornia.org