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May Revision proposes eliminating Prop 56 supplemental payments for family planning and dental; lawmakers, advocates say cuts would hollow out care
Summary
The LAO and administration described a May Revision plan to discontinue Prop 56 supplemental payments for family planning, women's health and dental and to repurpose the revenue stream toward other Medi‑Cal base costs; lawmakers and provider groups warned the move would forgo federal matching funds and could close clinics and reduce access
The subcommittee examined the administration's proposal to end supplemental payments funded in whole or in part by Proposition 56 and instead devote available revenue to other Medi‑Cal costs.
What was proposed and what the LAO said
Karina Hendren of the Legislative Analyst's Office explained that Proposition 56 (tobacco tax) historically funded supplemental provider payments, but revenues have declined as tobacco consumption has fallen. The May Revision would eliminate supplemental payments for dental services, family planning and women's health and use the Prop 56 revenue to support…
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