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From: "Lynn Huidekoper" <lynn_huidekoper@hotmail.com>
To: lynn_huidekoper@hotmail.com
Subject: SB840 is now going to Arnie's desk-passed the Senate(2nd
time)
Date: Fri, 01 Sep 2006 03:53:19 -0700
SB840 passed the Assembly on Monday by a 45-30 vote. The 3
Democrats who did
not vote due to abstention, absent or not voting were: Ronald
Calderon, Fran
Pavley(a Co-Author) and Nicole Parra. Joe Nation voted Yes!!
It then went to the Senate Conference Committee because there
were 2 new
amendments: the Health Commissioner will be appointed by the Governor(rather
than elected) and there will be a commission of economists,etc.
to work on
the financing of 840.
Here's the Press Release by Sen. Kuehl's staff which shows the
Senate
approved the amendments. It needed a simple majority to win which
would be
21 votes. They got 24. Hopefully the one Dem. voted for it. Last
year the
same Senators voted 25-15 for the original version of 840. There
are 25 Dems
and 15 Republicans.
For Immediate Release
August 31, 2006
CALIFORNIA STATE LEGISLATURE APPROVES MAJOR STATEWIDE HEALTHCARE
INSURANCE
REFORM
CONTACT: Sara Rogers 916 445 1353 or Robin Podolsky 916 445 1353
On August 31, 2006, the California State Senate approved and
sent to the
Governor SB 840, authored by State Senator Sheila Kuehl (D-23)
by a vote of
24-12 (final vote of 25-15 expected). SB 840 will insure that
every
Californian has comprehensive health coverage; guarantee the right
of
patients to choose their own doctors; allow California to use
its purchasing
power to negotiate bulk rates for prescription medication; and
control
healthcare costs. Governor Schwarzenegger has until October 1
to sign the
bill into law.
This is the first time in the history of California that both
houses of the
Legislature have passed a comprehensive healthcare reform of this
magnitude.
SB 840 replaces the current maze of public and private health
plans with a
single, efficient claims and reimbursement system, bringing down
the
administrative costs of healthcare in California from about 30%
to less than
5%. This will free up billions of dollars for patient care, thus
making it
possible to provide, as SB 840 does, each resident of the state
with
medical, vision, dental, hospitalization and prescription drug
benefits.
The savings realized through negotiating bulk rates on prescription
drugs
and medical equipment are projected to add another 2 billion dollars
to
California's available funds for healthcare.
The plan is funded by drawing in current public spending and
replacing all
premiums, co-pays and deductibles paid to insurance companies
with premiums
paid to the system. As amended, the bill creates a blue ribbon
panel of
health, finance and technical experts to lay out the mechanics
for an
affordable premium structure using information gathered in available
funding
studies. The bill is based on a model, generated by the Lewin
Group, an
independent medical cost/benefit analysis firm, which demonstrates
that if
individuals and corporations are assessed a single yearly premium,
based on
income, the program could be fully funded, while providing substantial
yearly savings for most individuals and businesses that now pay
for health
benefits. That yearly premium would take the place of all current
premiums,
co-pays, deductibles and out of pocket expenses.
"I wish to thank my colleagues in the legislature for
their leadership in
this historic vote," says Senator Kuehl. "For the first
time, the
legislature has approved a reform that would provide every Californian
with
the health coverage we need, while securing our right to choose
our doctors
simply and control costs. This is a very different approach from
those that
would require us by law to buy the insurance industry's products
without
changing the conditions that result in double digit increases
in our
premiums-and decreases in our coverage-every year. SB 840 will
make quality
healthcare available to each of us while preserving our freedom
of choice as
consumers and patients. I urge the Governor to do the right thing
and sign
this bill."
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