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Assembly Democrats Praise Passage of
Historic Health Care Reform Package
(Sacramento) – Following this week’s passage of Assembly Bill 1X1, the Health Care Reform and Cost Control Act, by the State Assembly, Assemblymember Mary Salas (D-Chula Vista) said she’s hopeful the people of California will finally have a quality health care delivery system.
The Democratic comprehensive health care bill, authored by Speaker Fabian Núñez (D-Los Angeles) and co-authored by Senate President pro tem Don Perata (D-Oakland), was approved by the state Assembly on a 46-31 party line vote. This historic health care legislation will extend coverage to millions of California’s uninsured, including all children. It is now being considered by the California State Senate.
AB 1X1 incorporates ideas from a number of stakeholders. It relies on a system of shared responsibility between employers, health care providers, consumers, and government agencies. It requires an individual mandate for most Californians, but provides subsidies for Californians earning up to 400% of the federal poverty line. The bill includes significant cost-containment and transparency language, including a requirement that insurance companies spend no more than 15 cents of every dollar on administrative costs. Those with pre-existing conditions are guaranteed coverage under the plan.
It is financed through a combination of fees and taxes to be approved by the voters in a November 2008 ballot initiative that will include a tobacco tax, employer fee assessed along a sliding scale based on annual payroll, a hospital fee, and a county share of cost.
AB 1X1 is the culmination of nearly a year of negotiations between legislative leaders, the Governor, and labor, business, health care, and consumer groups.
Dozens of organizations have embraced the bill, including the Service Employees International Union, American Federation of State, County and Municipal Employees, AARP, California Hospital Association, Safeway, March of Dimes, Children Now, Mental Health Association of California, American Nurses Association of California, California Association of Nurse Practitioners, Kaiser Permanente, CIGNA, Blue Shield, and Small Business California.

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Thank you,
Mary Salas |
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