Together, we are stronger.
Our annual Legislative Leadership (Lobby) Day is right around the
corner! If you haven't signed up to attend on Tuesday, April 15, please
consider doing so right away. This is the annual trip to Sacramento to
meet with our local legislators and this year is more important than
ever. With the state facing a budget deficit of at least $16 billion,
all doctors are needed to be in attendance to tell your stories and
protect your patients. Together, we are stronger.
Already that
estimate has grown. According to the state's chief Legislative Analyst
Elizabeth Hill, the governor's proposal for closing the deficit is
flawed, so her office took the rare step of drafting an alternative
state spending plan. The independent analyst, whom lawmakers of both
parties look to for advice on fiscal matters, calls on lawmakers to
raise taxes by at least $2.7 billion.
The office urges them to reject
Gov. Arnold Schwarzenegger's plans for a 10% across-the-board reduction
in state spending, suggesting that such an approach is short-sighted.
Hill argued that lawmakers instead should rank the state's expenses and
eliminate those that are ineffective or duplicative. She also suggested
other options, including raising $2.7 billion in additional taxes by
either eliminating or reducing tax credits, such as the dependent child
credit, or closing certain tax loopholes.
The Governor's plan
includes a rare Executive Order, pledging to save the state an
additional $100 million, including cuts to health and human services.
He has asked for immediate General Fund expenditure reductions from
state agencies and departments. The governor's budget included
controversial plans to release prisoners early, close some state parks,
suspend mandated funding for K-12 education and cut Medi-Cal
reimbursement rates by 10%.
Michael Genest, Schwarzenegger's
director of finance, argued that across-the-board cuts are the fairest
way to reduce spending. He said reducing or eliminating tax credits
amounts to increasing taxes, which the governor had refused to do. At
press time, the governor made public statements that he is now
considering closing some tax loopholes to generate more revenue. Former
Assembly Speaker Fabian Nunez, (D-Los Angeles), said taxes will have to
be part of the budget negotiations, and added that Hill's proposal to
raise $2.7 billion in additional taxes is not enough.
All sides
agree that the deficit has widened since Schwarzenegger declared a
fiscal emergency last month. The deepening deficit is a result of
lower-than-expected tax receipts in the state's three major revenue
areas--personal income tax, sales tax and taxable corporate profits.
Orange
County Medical Association and California Medical Association need you
to participate. While we have had much success in our advocacy efforts,
sometimes we need to pull out all the stops. For additional information
on the annual Legislative Leadership Day, please call Jennifer Williams
at the CMA Government Relations Office at 916/551-2548 or Linda
Johansen at OCMA at 714/978-1160 x203. They can provide you with
additional details. Most doctors fly up and back the same day, with
OCMA providing transportation from the Sacramento airport to the
Convention Center.
Several political pundits, along with State
Insurance Commissioner Steve Poizner, have been invited to CMA's lobby
day to give us the inside story. Poizner, in a move with the California
Department of Managed Health Care, recently announced a joint action
against PacifiCare companies, owned by UnitedHealth Group, in response
to more than 130,000 alleged handling violations. This a historic step
in the efforts of both the California Department of Insurance and the
DMHC to put an end to the practice of unfair claims handling in the
health insurance industry, and it is the first action involving both
CDI and DMHC against a single health plan or insurer. Your attendance
at this event will prove to Poizner that he is on the right side of
this issue.
On April 15, in addition to supporting the insurance
commissioner's action, we need you to demand that your legislators stop
the MediCal cuts. The budget deficit solution should not be borne on
the backs of doctors. Get involved. Your participation is essential for
the future of healthcare access and delivery of services to your
patients.