Latest California Healthline Stories
Calif. Voters Approve Brown’s Tax Hike Plan, Reject Munger’s Plan
Gov. Brown has declared victory for Proposition 30, a compromise tax hike plan, as recent figures show that 54% of voters supported the measure. Voters rejected Proposition 38, a rival tax hike initiative by civil rights attorney Molly Munger. Reuters et al.
Obama’s Victory Paves Way for Continued ACA Implementation
Experts say President Obama’s re-election on Tuesday night ends any chance of the Affordable Care Act being fully repealed. However, observers note that the Obama administration still faces some challenges to implementing the law. Reuters et al.
Study: Depression Most Costly Modifiable Risk Factor for Employers
A Health Affairs study finds that depression is the most costly among 10 modifiable risk factors that lead to higher health spending for employers. Health costs for workers with depression were about 48% higher than costs for workers without the condition. MedPage Today et al.
Medicare Payment Cuts Likely Will Not Happen, Sources Say
A 2% reduction to all Medicare reimbursement rates under the sequester and a 27% cut to Medicare physician reimbursement rates under the sustainable growth rate formula likely will not happen, according to White House and congressional officials. In October, President Obama during a presidential debate with GOP candidate Mitt Romney said that the sequester would not be implemented. Later, White House press secretary Jay Carney said that the sequester was designed as an incentive to encourage Congress to work toward an alternative deficit reduction package. American Medical News.
Opinion: Court To Have Final Word on Pension Issues
Sacramento Bee columnist Dan Walters writes that “[a]s financially troubled cities suspend their payments to [CalPERS], federal bankruptcy judges may have the final word on the long-assumed inviolability of retirement benefits.” According to Walters, a “Sacramento bankruptcy judge handling the Stockton case ruled in a related issue that Stockton’s contractual health care obligations to its retirees could be voided under federal bankruptcy law, thus heightening legal uncertainty about pensions.” Sacramento Bee.
Health Net Reports Significant Drop in Profits for Q3 2012
On Monday, Woodland Hills-based insurer Health Net announced a net income of $18 million for the third quarter of 2012, down 71% from $61.8 million in Q3 of 2011. However, the insurer reported that Q3 2012 revenue increased by 3.3% to $2.78 billion from Q3 2011. Los Angeles Times‘ “Money & Co.”
Presidential Race Could Affect Future of Affordable Care Act
If President Obama is re-elected, his administration likely will accelerate action on implementing provisions of the health reform law. If GOP presidential nominee Mitt Romney wins, he is expected to attempt to repeal the law. Kaiser Health News et al.
Kaiser Permanente Names COO Tyson as Next CEO
On Monday, Kaiser Permanente announced that current President and COO Bernard Tyson will replace George Halvorson who is retiring as CEO and chair of the insurer’s board. Tyson will become CEO after a six-month transition period and will take over as board chair at the start of 2014. Modern Healthcare et al.
Compton Pays CalPERS About $2.07M for Unpaid Benefits Amid Lawsuit
Following a lawsuit filed by CalPERS against Compton for unpaid pension benefits, the city has paid about $2.07 million of the $2.7 million it owes the agency. City officials say that Compton has a short-term fiscal problem that should be resolved by 2013. Sacramento Bee.
L.A. Gathering Signatures for 401(k)-Style Pension Plan
Former Los Angeles Mayor Richard Riordan is leading a campaign to gather support for a proposed spring 2013 ballot initiative that would shift new Los Angeles workers to a city-funded, 401(k)-like health savings plan upon retirement, instead of a guaranteed benefit plan. The initiative is similar to one that San Diego voters approved in June. Capitol Weekly.