News Headlines Article

California Legislature approves replacement tax on health care plans
The Mercury News

With a little help from the GOP, a trio of bills that will replace an expiring tax on managed health care plans — and substantially boost funding for developmentally disabled Californians for the first time in more than a decade — cleared a series of key votes Monday in the Legislature.

Passing the tax was a top priority for Gov. Jerry Brown and Democratic legislative leaders because it will help the state avoid a cutoff of more than $1 billion in federal matching funds for Medi-Cal, the state health insurance program for low-income Californians that now covers about one-third of the state’s residents.