Proposed mid-year budget cuts

The worsening economy has led to a sharp decline in state revenues -- creating a $11 billion shortfall in the budget that was just passed. The governor has called a special session of the legislature to address this gap. He is proposing more cuts and some new revenues -- including a temporary increase in the sale tax and a tax on oil extraction -- to close the gap. Proposed cuts include:

Health
* Restricting eligibility requirements for working parents with Medi-Cal
* Reducing health care benefits to legal immigrants (from full-scope to emergency-only)
* Eliminating several Medi-Cal benefits, including dental and vision care
* Imposing monthly eligibility requirements for undocumented immigrants to get emergency care
* Increasing the amount that low-income seniors and blind and disabled people pay for Medi-Cal
* Reduce public hospital funding

Poverty
* Reducing CalWORKs grants by 10% (the maximum grant for a family of three would go from $723 to $651 a month)
* Changing time limit and work requirement rules, which would eliminate aid to tens of thousands of children
* Eliminating state-funded food stamps for legal immigrants (CFAP)

Schools
* Reducing Prop 98 funding by $2.5 billion

Child care
* Reducing child care benefits for working and CalWORKs families

For more information, contact: Health Access, Latino Coalition for a Healthy California, Western Center for Law and Policy