CALIFORNIA: GOVERNOR PROTECTS FUNDING FOR INDIGENT CARE
Gov. Pete Wilson (R) refused yesterday, "at leastThis is part of the California Healthline Daily Edition, a summary of health policy coverage from major news organizations. Sign up for an email subscription.
temporarily, to activate a controversial 'poison pill' law that
could have terminated $898 million in state aid for local
indigent health care services," LOS ANGELES TIMES reports.
Wilson's move "assured financially stressed counties that they
will continue receiving the state funds, at least until" the
Commission on State Mandates "tries to find a permanent way to
resolve" the issue of state funding of county social service
programs. TIMES reports that Wilson's decision "will preserve
$330 million that Los Angeles County is expecting to receive
during the next fiscal year." According to the state Department
of Finance, the amounts involved for other California counties
include: Orange, $49 million; Ventura, $12 million; San
Bernardino, $23 million; Riverside, $25 million; and San Diego,
$45 million.
ISSUE AT HAND: The "poison pill" issue arose last month
when the state Supreme Court ruled "the state owed counties
potentially millions of dollars for unreimbursed payments the
counties had made for health care services provided to indigent
adults" (see AHL 3/4). Because of the ruling, a legislative
"poison pill" measure passed in 1991 would have caused the
counties to lose revenue received from a state license plate tax
used to fund health care and social services. Wilson made his
decision not to activate the provision after the Supreme Court's
decision became final Wednesday, "on the grounds that the high
court's decision was not a 'final court ruling' on the issue of
the health care payments." TIMES reports, however, "that
depending on what the commission decides, the issue could return
as a nagging budget problem for Wilson and the Legislature."
A POSITIVE WORD: Wilson's announcement was "praised" by
county representatives. Margaret Pena of the county supervisors
association, said, "We think the governor absolutely made the
correct decision in not activating the 'poison pill.'" She added
that it "gave Wilson, the Legislature and counties 'the
opportunity to work to try to find a solution to these issues
created by the court's decision'" (Ingram, 4/3).