FRESNO, Calif. (KFSN) — California voters are expected to consider permanently approving a health care tax in November. Prop. 35 would give states the power to continue levying taxes on some managed care insurance plans like Kaiser Permanente.
“That money will go to California's Medi-Cal program,” Justin Pleas said. He runs the United Health Center of the San Joaquin Valley.
Pleas said using tax revenue to fund Medi-Cal will help ensure low-income Californians get the health care they need. Proposition 35 could affect many of his 175,000 patients.
“We specifically serve underserved populations in our community,” Pleas said. “So patients who have Medi-Cal. Patients who don't have insurance.”
The tax on managed care plans began in 2009, but was not permanent. The state legislature reauthorizes it every few years.
Supporters argue that the dedicated tax and Prop. 35 mean the state doesn't have to take MediCal's money out of its general fund and put it aside for other uses.
However, some citizens have concerns.
“Proposition 35 will make it very difficult for children like my son to receive care at home,” Jenny McClelland said.
Her 13-year-old son is being cared for at home and is on a ventilator at night. That keeps him out of the hospital and allows him to focus on being a kid, McClelland said.
“Proposition 35 locks in home care medical rates at a low level, making it extremely difficult for families like mine to work,” McClelland said.
Although there is no opposition to Prop. 35 on the ballot, McClelland believes the proposal focuses too much on hospital care and does not fund the type of home care her son needs. I'm concerned that there isn't.
“California needs to fund systems that keep people with disabilities safe and healthy in their homes,” McClelland said.
Recent estimates project that Proposition 35 will bring the state between $7 billion and $8 billion annually. Officials like Preas say the money is desperately needed for medical facilities.
“That's how many people will be directed towards patient care,” Pleas said. “Provide a level of revenue and reimbursement that allows health care providers in the state to provide these services to their patients.”
If Proposition 35 fails and the tax does not become permanent, the state Legislature could vote to temporarily extend the current tax when it expires in 2027.
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