BUDGET: Davis Expected To Veto Some Funding for Medi-Cal Expansion
Gov. Gray Davis is expected to sign the state's new $81.7 billion budget by July 1 -- only the second time in 13 years that the budget has been completed on time -- but not before he line-item vetoes some health care spending. Davis "is expected to cut millions from the expansion of health care programs to the poor that was backed by Democrats." He expressed concern that "ambitious health care commitments" could be damaging to the state's fiscal health if the economy turns sour (Lesher, Los Angeles Times, 6/18). As it currently stands, the budget would provide $248 million over two years for a Medi-Cal expansion for working adults (CHL, 6/16).
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