California hospital leaders urge legislature to reconsider health care affordability targets

May 01, 2025 | California State Senate, Senate, Legislative, California


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California hospital leaders urge legislature to reconsider health care affordability targets
The recent meeting of the Senate Budget and Fiscal Review Subcommittee No. 3 on Health and Human Services highlighted critical issues affecting healthcare accessibility and affordability in California. Key discussions centered around the Office of Health Care Affordability (OCA) and its implications for hospitals and community health services.

Mark Farooq, representing the California Hospital Association, expressed concerns regarding OCA's establishment of subinflationary spending targets. He emphasized that these targets do not adequately reflect the rising costs hospitals face, warning that cuts to Medicaid could have dire consequences for patient care. Farooq urged the legislature to maintain oversight to ensure healthcare remains accessible and of high quality.

Amy Durham from NAMI Orange County highlighted the urgent need for bridge funding for their 24/7 warm line, which has lost county funding. Serving 800 callers daily, the program is crucial for mental health support, and without funding, it risks losing staff and services by July 1.

The meeting also addressed the importance of maintaining funding for the Song Brown program, which trains family medicine physicians. Vanessa Gahina from the California Academy of Family Physicians stressed the need for stable funding sources to ensure a robust primary care workforce.

Several representatives echoed concerns about the OCA's methodology, arguing that it could lead to reduced access to care, particularly for vulnerable populations. Kathy Mossberg from Essential Access Health called for additional funds to support the uncompensated care grant program, which has already served over 130,000 patients since its inception.

The discussion also touched on the need for continued investment in behavioral health services. George Cruz from the California Behavioral Health Association emphasized the importance of a workforce that reflects the communities it serves, advocating for better negotiation rates and accountability for health plans.

In conclusion, the subcommittee's discussions underscored the pressing need for thoughtful legislative action to ensure that California's healthcare system remains equitable and accessible. As the state navigates budgetary constraints, the voices of healthcare providers and advocates will be crucial in shaping policies that prioritize the health and well-being of all Californians.

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