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The LAO alternative...

Wednesday, February 20, 2008
 
The Legislative Analyst's Office has put out their analysis of the state budget.

The headline is their bigget budget deficit number: $16 billion.

The LAO also put out an alternative budget proposal, which doesn't do "across-the-board" cuts but targets specific areas, and also raised some revenue. But it's not pretty in terms of cuts to health and other vital services.

On health care, the LAO's recommendation includes:
* A cut to public hospitals, redirecting funds to other state health programs
* Reinstatement of quarterly status reporting, and elimination continuous eligibility for children
* Discontinuation of payments for Medicare Part B premiums for those with shares of cost
* Additional cuts to the Healthy Families program, including a rate reduction, a cap on annual dental benefits, and increases in premiums and co–pays.

On the flip side, the LAO did not include a 10 percent rate reduction to Medi–Cal providers "because our analysis indicates that it could severely limit the access of Medi–Cal beneficiaries to providers." However, that's the cut that the Legislature and Governor have already passed.

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posted by Anthony Wright | Permalink | 11:38 AM


 
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Anthony Wright is the executive director,
with a background as a consumer advocate and community organizer on many issues, including health issues for the last ten years in California and New Jersey.


 
Hanh Kim Quach is the policy coordinator; previously serving as
a newspaper reporter covering the Capitol for the Orange County Register and other papers for eight years