Morning Breakouts

Latest California Healthline Stories

Chiang Sues To Block Governor From Cutting State Worker Pay

Yesterday, Controller John Chiang filed a lawsuit to prevent Gov. Schwarzenegger from implementing an order that would reduce hourly state employees’ pay to the federal minimum wage until lawmakers pass a budget for the new fiscal year. Sacramento Bee et al.

Schwarzenegger Seeking Federal Grant To Bolster Premium Rate Reviews

The governor has announced that California is seeking a $1 million federal grant to strengthen state insurance regulators’ ability to review proposed health insurance rates. Funding for the grants comes from the federal health reform law. Los Angeles Times‘ “Money & Company.”

Questions Raised Over Expansion of Medicaid Managed Care Programs

Health insurers are likely to play a prominent role in managing an expansion of Medicaid under the health care overhaul. The expected growth in Medicaid managed care enrollment is raising concerns about efficiency and access to care under such plans. Washington Post.

Not-for-Profit To Offer Dental Care at Sacramento Clinics

The Effort, a Sacramento-based not-for-profit, will use a $490,000 grant from the Sacramento First 5 Commission to help provide dental health care services at its two clinics in Oak Park and North Highlands. The clinics primarily treat residents who are uninsured or who are enrolled in either Medicaid or the Children’s Health Insurance Program. Sacramento Bee.

White House Sidesteps Congress With Recess Appointment of Berwick

Today, President Obama bypassed Congress and used a so-called “recess appointment” to name Donald Berwick as CMS administrator. The recess appointment gives Berwick all the powers of a permanent appointee, but he will need to be renominated in 2011. New York Times, Politico.

Editorial Makes Case for More Regulation of Insurance Fees

While realistic increases in health insurance premiums are “inevitable,” the 39% hike for individual Anthem Blue Cross policyholders that the company proposed in February was an “outrage,” according to a San Jose Mercury News editorial. The insurer later revised the increase to 20%. The editorial expresses support for state legislation (AB 2578) that would control premium increases by requiring insurers to explain their rate hikes. San Jose Mercury News.

Governor Sues To Force Chiang To Pay Minimum Wage to State Workers

Yesterday, Gov. Schwarzenegger filed a lawsuit seeking to force Controller John Chiang to cut hourly state workers’ pay to the federal minimum wage until lawmakers implement a budget for the new fiscal year. A spokesperson said Chiang plans to challenge the order. San Francisco Chronicle et al.

Matsui Bill Could Help Sacramento County Mental Health Facilities

U.S. Rep. Doris Matsui has unveiled a bill to increase Medicaid funding for certain facilities that offer mental health and addiction services to low-income residents. The measure could benefit Sacramento County. Sacramento Business Journal, Sacramento Bee.

Villines Likely To Get GOP Nomination for Insurance Post

Assembly member Mike Villines leads Department of Insurance attorney Brian FitzGerald by more than 13,000 votes in the race to become the Republican candidate for state insurance commissioner. FitzGerald has not yet conceded, and the California secretary of state will certify the election results by July 16. Los Angeles Times‘ “L.A. Now,” Sacramento Bee‘s “Capitol Alert.”

Failure of New York Soda Tax Reflects Power of Industry

Political analysts say the failure of New York state’s proposed tax on sugar-sweetened beverages highlights the power of the beverage industry. The proposal would have taxed soda and other sweet drinks at a rate of one cent per ounce to offset health care cuts. However, lawmakers dropped the measure from a state revenue bill after the American Beverage Association launched a major campaign against the tax. New York Times.