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Jim Nielsen

As lawmakers return to Sacramento, debate over healthcare taxes kicks off

As lawmakers return to Sacramento, debate over healthcare taxes kicks off

The debate over new taxes and fees — a dominant theme in the final weeks of the legislative session — kicked off Monday, with some Democratic lawmakers calling for a new tax on health insurance plans to pay for Medi-Cal and other social services. Assemblyman Marc Levine (D-San Rafael) touted his proposal to impose a flat tax on managed care organizations at a news conference, arguing that it would avert a plunge in funding from Washington for state-subsidized healthcare. California currently imposes a tax on plans that accept Medi-Cal patients, and the revenue goes into the state’s general fund to help pay for Medi-Cal and other services. But the Obama administration...

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