USA Today Examines California Budget Deficit, Health Care Expenditures
USA Today on Wednesday examines the state budget deficit and how health care and other expenditures have contributed to the problem. According to USA Today, for the past three years, California expenditures have exceeded revenue by about $1 billion each month, and the fiscal year 2004 budget signed by Gov. Gray Davis (D) in August "continues this hemorrhaging." Health care accounts for a large part of the expenditures. According to USA Today, California has one of the "most generous" health care systems for low-income residents nationwide -- Medi-Cal covers 18% of the state population and provides more optional benefits than most other state Medicaid programs -- but because the state is "wealthy," the federal government only covers 53% of the cost, the minimum (Cauchon, USA Today, 10/1).This is part of the California Healthline Daily Edition, a summary of health policy coverage from major news organizations. Sign up for an email subscription.