News Headlines Article

Data Tracker: Crafting a new health plan tax not an easy exercise
Sacramento Bee

The main goal of the Legislature’s special session on health care involves crafting a replacement for the current tax on managed-care organizations to help pay for health care for the poor.

How to do that, exactly, is causing plenty of headaches at the Capitol.

Since January, experts in state government and the health care industry have crunched the numbers to try to create a new tax. They want to pull in the same amount of matching federal money for Medi-Cal. They want to minimize the cost to millions of people who buy commercial health insurance.  They also don’t want to put any of California’s roughly three-dozen managed-care plans at a competitive disadvantage that could cause them to leave the market.