In his first act as California’s 40th Governor, Gavin Newsom introduced a series of health care-related executive actions and budget proposals. ACA Subsidies Extended to Higher Income Individuals and Families The Governor’s budget would make California the first state to offer Obamacare health care coverage subsidies to individuals earning up to $72,840 and families of four earning up to $150,600. Right now, families earning more than $48,000 a year, or a family of four earning more than $98,000 a year, don’t qualify for financial help to afford their premiums.
The Individual Mandate
The budget proposes reinstating the individual mandate at the state level.
Prescription Drug Prices
Governor Newsom signed an executive order to strengthen the state’s bargaining power to negotiate drug prices. The Department of Health Care Services will now negotiate prescription drug pricing on behalf of all 13 million Medi-Cal beneficiaries. State agencies would purchase prescription drugs together instead of negotiating with drug companies individually. Newcom said that the move charts the path to enable all Californians, including private purchasers, to join forces with public purchasers.
Single Payer
Newcom says that federal law hinders the creation of a single-payer health care system. He recently sent a letter to President Trump and Congressional leaders to allow states to apply for Transformational Cost and Universal Coverage waivers.
Coverage for Undocumented Young Adults
In his budget, Governor Newsom would make California the first state to cover young undocumented adults through a state Medicaid program.
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