VIC Board of Directors Endorses

The Healthcare for All Californians Act

(SB 921, Authored by State Senator Sheila Kuehl)

 At its regular meeting in November 2003, the Board of Directors of San Fernando Valley Interfaith Council (VIC) endorsed The Health Care for All Californians Act (SB 921) which would provide health insurance coverage through private sector health care providers to all Californians through a single insurance plan offered by the State of California and would control the growth of health care spending through a simplified administrative structure, consolidated financing and purchasing and statewide health planning.  

 In June of this year VIC’s Social Concerns Committee sponsored a Community Forum entitled “The Healthcare Crisis and Options for Californians”.  The forum addressed the problems facing Californians (the uninsured, rising costs, clinic and hospital closings, and poor health outcomes) as well as various legislative options including Senate Bill 921, Single Payer Universal Health Care for All Californians authored by State Senator Sheila Kuehl, Senate Bill 2 co-authored by Senate President Pro Tem John Burton and Senator Jackie Speier and others bills under consideration by the State legislature.   The board also considered the needs of its own employees and potential costs to VIC of the various options.  After much deliberation the board endorsed SB 921 as it is the only bill that provides real choices for consumers among private sector providers and comprehensive coverage for all Californians while controlling rising health care costs. The board has made its endorsement known to our legislative representatives and encourages congregations and other organizations to consider the problems and options to this crisis.  For additional information and linkages to speaker and program resources call Rhetta Alexander at VIC (818/718-6460, ext. 3007), or visit our website at www.vic-la.org.

 The bill in brief from the Health Care for All Fact Sheet (visit www.healthcareforall.org):

 Universal Coverage: Eligibility is conferred based on residency, instead of randomly and intermittently by employers. Residents traveling out of state are covered for up to 90 days. California retirees with vested benefits and/or paying applicable California health taxes are covered.

 Financing: The plan involves no new spending on health care.  The system will be financed by combining all federal, state and county monies already spent on health care with affordable, broad-based, earmarked state health care premiums.  There are no co-pays or deductibles for at least the first two years.  All monies to be spent on health care would be consolidated into a State Health Fund that is established in the California Treasury.  Administrative costs for the system will be limited in statute to 5% of the total budget and the growth in health care spending will be linked to state GDP, population growth, technological change, employment rates and other relevant demographic indicators.

 Delivery of Care: All California licensed and accredited providers, goupr practices, HMOs and integrated health care systems may participate, subject to best medical practice and cultural and linguistic standards.  Residents will choose their personal health care provider.  Services from health care specialists will require referrals. Health care providers and facilities will choose between three reimbursement mechanisms: fee for service, facility budgets and capitated budgets. Reimbursements will be risk adjusted to ensure that budgets cover the true costs of care.  The plan creates financial incentives for high quality care, to encourage providers to practice in under-served areas, and to serve as primary care providers.

 Benefits: Coverage would include all care prescribed by a patient's health care provider that meets accepted standards of care and practice; including medical, mental health, surgical, podiatric inpatient and outpatient services; diagnostic testing; prescription drugs and medical equipment; dental and vision care; hospice care; emergency care including ambulance; skilled nursing care after hospitalization; substance abuse recovery programs, health education and self-help programs; and translation services, including services for those with hearing and vision impairments; transportation needed to access covered services.

 Governance: The system would be governed by a state elected health care commissioner who would head the California Health Care Agency. This agency would be assembled through the consolidation of the existing healthcare agencies. The commissioner would additionally appoint a deputy health care commissioner, the directors of the health care fund, the consumer advocate, the chief medical officer and members of the Medical Practice Standards Advisory Board, establish the annual state health care budget and chair the Health Policy Board.

 Transition: The plan utilizes a two-year transition period, overseen by a transition advisory group that will be appointed by the commissioner. The advisory group will be composed of consumer representatives, counties, healthcare providers, experts in health policy, finance and administration, retirement boards, businesses, labor, as well as representatives of those state departments and agencies that might relinquish some or all parts of their health care delivery services to the system. The transition advisory group will also consider the feasibility of incorporating the medical components of workers compensation and state disability insurance into the system.