Schwarzenegger: Lower Tax Revenue Will Not Stall Agenda
Gov. Arnold Schwarzenegger (R) on Tuesday said his health care reform proposal would not be affected by an expected decline in state tax revenue, the AP/San Diego Union-Tribune reports. The governor was speaking at a news conference on his health care plan.
State personal income tax payments in January 2007 were $1.3 billion less than forecast in the governor's fiscal year 2007-2008 budget proposal, Controller John Chiang announced Tuesday.
Schwarzenegger said, "Revenues go up and down." He added, "I am very optimistic. Our economy is doing well and businesses are doing well."
Schwarzenegger's budget proposal for FY 2007-2008 did not include new funds for his health care reform proposal (Davis, AP/San Diego Union-Tribune, 2/7).
Schwarzenegger also said that his proposal would reduce health care costs by requiring health plans to offer premium reductions and other incentives to individuals who adopt more healthful lifestyles, such as losing weight or quitting smoking.
The governor said prevention is "the least expensive and actually the most effective way to cut down health care costs" (Lawrence, AP/San Jose Mercury News, 2/7).