The state approved money to lower the cost of Covered California insurance. Now pressure is mounting to make sure it happens

4 May 2023

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The adage “get it in writing” applies to politics as much as anything else, and it would seem the California Legislature could learn a lesson or two.

Legislators and advocates have been pushing Gov. Gavin Newsom since last year to make good on a longtime promise to funnel money from a controversial tax penalty into the Covered California marketplace, making health insurance cheaper for nearly 1 million enrollees. The problem — or at least the argument Newsom has always made — is that state statute doesn’t require the penalty money to be used on health care. It goes directly into the general fund — where it has stayed for most of the past four years.

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