Major Proposals Print E-mail
ABX1 2: Governor Schwarzenegger's Plan

As of 11/8/07: Governor Arnold Schwarzenegger's health reform proposal aims to provide affordable health coverage to all Californians. The proposal imposes a mandate that all Californians obtain health coverage. The Governor’s plan would require employers to offer coverage or contribute up to 4% of payroll toward the cost of employees' coverage through a purchasing pool. A purchasing pool would be established to administer premium subsidies and offer coverage.

Financing for the proposal is subject to approval of a ballot initiative, likely in November 2008. Key financing components include increased federal funding, employer contributions, a 4% fee on hospital revenue, county contributions, sliding scale individual/family contributions, and new revenue from leasing the state lottery. The proposal includes specific elements to help control health care costs.


The Proposal
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The Proposal
Summary of the Proposal's Features

The Full Proposal (PDF)

Status
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Governor Schwarzenegger unveiled his concept for a health care reform plan in January 2007. His proposal was not introduced as legislation during the regular 2007 legislative session. On September 12, the Governor called a special legislative session to focus on health care. The Governor’s office released formal legislative language, introduced as ABX1 2. (As of 11/13/07).

Official legislative information for ABX1 2: History and Status


Analysis
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Blue Sky Consulting, The Impact of Health Care Reform Proposals on California Counties, 10/1/07.

Legislative Analyst's Office, Governor's Health Care Plan: State Fiscal Risks (PDF), 2/15/07.

Jonathan Gruber, Ph.D. (MIT), Modeling Health Care Reform in California (PDF), 2/02/07.

 

Additional Materials
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Assembly Committee on Health, Hearing agenda (PDF) and background (PDF) for the Governor's proposal, 10/31/07.

Senate Committee on Health, Informational Briefing: Governor Schwarzenegger's Health Insurance Proposal, 2/15/07.

Assembly Committee on Health, Background information for a discussion of "Health Care Reform: What Are the Choices?" (PDF)

 
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