As protests continue in Los Angeles over the Trump administration's immigration raids, some California Democratic lawmakers are divided over how to move forward with the state program that provides health insurance to undocumented people. Some Democrats are frustrated and are pushing back after leaders in the State Senate and Assembly have agreed to go along with most of the Governor's proposed limits and new rules to the MediCal program that began providing the insurance to low-income undocumented people of all ages last year. Like the governor, the Legislature is proposing to no longer allow new undocumented adults to enroll in the program next year. For those who already have the coverage, the governor is proposing to charge them a $100 monthly premium to keep it. The legislature's plan would lower that premium to $30. This has angered Democrats who consider this a broken promise. What exactly those limits look like will be at the center of budget negotiations over the next couple of weeks between lawmakers and the governor. State leaders are trying to close a $12 billion budget shortfall. Two Los Angeles-area Democrats in the State Senate's budget committee on Wednesday rejected the legislature's proposed state spending plan, including Senators Elena Maria Durazo and Caroline Menjivar. Senate Pro Tem Mike McGuire earlier this week removed Menjivar from a smaller, health-related committee because she was prepared to reject the plan due to the MediCal cuts. "We made a promise to a demographic that we would provide services. We did not say, 'footnote: only when we have a healthy budget. Footnote: only when it's easy for us,'" Menjivar said in Wednesday's hearing. "Why are we making promises that we can't keep? People already have a decreased amount of trust in government." The legislature's spending plan still moved forward with a 10-6 vote in the Senate's budget committee and 23-6 in the Assembly's budget committee. The plan heads to the Assembly and Senate floor for a vote on Friday. Lawmakers typically pass what's considered a placeholder budget plan by June 15, which state law requires in order for them to get paid. Negotiations with the governor will likely extend later into the month. Democratic leaders this year expected to spend $6 billion on the program that provides the insurance. Budget records show the number swelled to nearly $11 billion, and the state is bracing to spend more than $12 billion on the program next year even with proposed limits.While Gov. Gavin Newsom has proposed a series of cuts across the state's budget, lawmakers are trying to avoid making them too deep. The legislature's budget analyst and Newsom's administration have warned the state will likely face major shortfalls in the years to come. The legislature's plan for the upcoming year, in part, relies on tactics that involve borrowing money from other state funds to buy themselves more time to figure that out. Democrats in budget hearings Wednesday, including Menjivar, began highlighting a proposal that they've been discussing behind closed doors: raising taxes on wealthy Californians and major corporations to help with the state's healthcare costs. "I think we need to begin to have tough conversations about holding some of these same billionaires, and some of these corporations accountable," said State Sen. Sasha Renée Pérez, a Democrat from Pasadena. "We are not going to continue to be able to cut our way to a balanced budget, and anybody who thinks that is absurd. We need to have a conversation around revenues, and that includes us talking about the fact that you have large corporations that are actively ensuring that their employees are not working full time, so that they don't have to pay them benefits so that they can then rely on our own Medi-Cal system." Senate Budget Committee Chairman State Sen. Scott Wiener told KCRA 3 on Wednesday that implementing a healthcare-related tax hike on major corporations is a concept he personally supports. He said it's something Democrats are still discussing, noting it would require a 2/3 vote. "The idea of requiring large employers to pick up the tab for their workers I personally think is fair and appropriate," he said. He could not say when or even if a proposal to do this would be put into legislation this year. Republican Senate Budget Vice Chairman Roger Niello doubted Democrats would have the votes. "I'd like to have them show us what corporations are actually doing that and to what extent there is a cost to the state because employers are not providing benefits. I have doubts that's really as big an issue as they say," Niello said. Gov. Gavin Newsom's office did not respond to a request for comment on this story. See more coverage of top California stories here | Download our app | Subscribe to our morning newsletter | Find us on YouTube here and subscribe to our channel
SACRAMENTO, Calif. —
As protests continue in Los Angeles over the Trump administration's immigration raids, some California Democratic lawmakers are divided over how to move forward with the state program that provides health insurance to undocumented people.
Some Democrats are frustrated and are pushing back after leaders in the State Senate and Assembly have agreed to go along with most of the Governor's proposed limits and new rules to the MediCal program that began providing the insurance to low-income undocumented people of all ages last year.
Like the governor, the Legislature is proposing to no longer allow new undocumented adults to enroll in the program next year. For those who already have the coverage, the governor is proposing to charge them a $100 monthly premium to keep it. The legislature's plan would lower that premium to $30. This has angered Democrats who consider this a broken promise.
What exactly those limits look like will be at the center of budget negotiations over the next couple of weeks between lawmakers and the governor. State leaders are trying to close a $12 billion budget shortfall.
Two Los Angeles-area Democrats in the State Senate's budget committee on Wednesday rejected the legislature's proposed state spending plan, including Senators Elena Maria Durazo and Caroline Menjivar. Senate Pro Tem Mike McGuire earlier this week removed Menjivar from a smaller, health-related committee because she was prepared to reject the plan due to the MediCal cuts.
"We made a promise to a demographic that we would provide services. We did not say, 'footnote: only when we have a healthy budget. Footnote: only when it's easy for us,'" Menjivar said in Wednesday's hearing. "Why are we making promises that we can't keep? People already have a decreased amount of trust in government."
The legislature's spending plan still moved forward with a 10-6 vote in the Senate's budget committee and 23-6 in the Assembly's budget committee. The plan heads to the Assembly and Senate floor for a vote on Friday. Lawmakers typically pass what's considered a placeholder budget plan by June 15, which state law requires in order for them to get paid. Negotiations with the governor will likely extend later into the month.
Democratic leaders this year expected to spend $6 billion on the program that provides the insurance. Budget records show the number swelled to nearly $11 billion, and the state is bracing to spend more than $12 billion on the program next year even with proposed limits.
While Gov. Gavin Newsom has proposed a series of cuts across the state's budget, lawmakers are trying to avoid making them too deep. The legislature's budget analyst and Newsom's administration have warned the state will likely face major shortfalls in the years to come. The legislature's plan for the upcoming year, in part, relies on tactics that involve borrowing money from other state funds to buy themselves more time to figure that out.
Democrats in budget hearings Wednesday, including Menjivar, began highlighting a proposal that they've been discussing behind closed doors: raising taxes on wealthy Californians and major corporations to help with the state's healthcare costs.
"I think we need to begin to have tough conversations about holding some of these same billionaires, and some of these corporations accountable," said State Sen. Sasha Renée Pérez, a Democrat from Pasadena. "We are not going to continue to be able to cut our way to a balanced budget, and anybody who thinks that is absurd. We need to have a conversation around revenues, and that includes us talking about the fact that you have large corporations that are actively ensuring that their employees are not working full time, so that they don't have to pay them benefits so that they can then rely on our own Medi-Cal system."
Senate Budget Committee Chairman State Sen. Scott Wiener told KCRA 3 on Wednesday that implementing a healthcare-related tax hike on major corporations is a concept he personally supports. He said it's something Democrats are still discussing, noting it would require a 2/3 vote.
"The idea of requiring large employers to pick up the tab for their workers I personally think is fair and appropriate," he said. He could not say when or even if a proposal to do this would be put into legislation this year.
Republican Senate Budget Vice Chairman Roger Niello doubted Democrats would have the votes.
"I'd like to have them show us what corporations are actually doing that and to what extent there is a cost to the state because employers are not providing benefits. I have doubts that's really as big an issue as they say," Niello said.
Gov. Gavin Newsom's office did not respond to a request for comment on this story.
See more coverage of top California stories here | Download our app | Subscribe to our morning newsletter | Find us on YouTube here and subscribe to our channel
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