UC panel discusses Medi Cal funding impact on California healthcare system

May 11, 2025 | University of California, Boards and Commissions, Executive, California


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UC panel discusses Medi Cal funding impact on California healthcare system
The University of California's Health Services Committee convened on May 11, 2025, to address critical issues surrounding the Medi-Cal program, which provides essential health coverage to nearly 15 million Californians. The meeting highlighted the potential impacts of proposed federal budget cuts on this vital program, which serves one in three residents in the state.

During the session, committee members emphasized the importance of Medi-Cal, particularly as it marks its 60th anniversary this year. The program has been instrumental in ensuring access to healthcare for vulnerable populations, including children, pregnant women, and low-income workers. Notably, it was mentioned that half of new mothers in the U.S. rely on Medicaid for their health coverage.

The discussion also focused on the financial structure of Medi-Cal, which is primarily funded through federal contributions, accounting for about two-thirds of its $175 billion budget. The committee underscored the significance of Medi-Cal payments for the University of California's academic health centers, which are the largest providers of both outpatient and inpatient care in the state. These payments are crucial for maintaining the facilities and staff necessary to serve all patients, not just those enrolled in Medi-Cal.

As the committee reviewed the funding mechanisms, they noted that supplemental payments play a significant role in supporting the costs of care and ensuring quality access to services. With ongoing discussions in Washington regarding potential cuts to Medicaid funding, the committee expressed concern about the implications for California's healthcare system and the populations it serves.

The meeting concluded with a call to action for continued advocacy to protect Medi-Cal funding, emphasizing its critical role in the health and well-being of millions of Californians. The committee's commitment to monitoring developments at the federal level reflects a proactive approach to safeguarding essential health services in the state.

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