Medi-Cal: Fair Share from Big Corporations Act.
What changed between versions
The bill was completely rewritten from a placeholder into the Fair Share from Big Corporations Act, adding Division 11 (Sections 19000-19000.7) to the Unemployment Insurance Code.
Includes a conditional inoperability provision: if the Medicaid program-related provisions of Public Law 119-21 (H.R. 1) are repealed on or before March 1, 2027, Sections 19000.5 and 19000.7 shall not become operative.
The original single section stating only that it is the Legislature's intent to enact statutory changes relating to the Budget Act of 2025 was entirely replaced.
Requires the Department of Finance to present one or more options to the Joint Legislative Budget Committee by March 1, 2027 for holding large corporations accountable for Medi-Cal costs of their employees. At least one option must include a premium paid by employers with 250 or more employees who do not offer employer health coverage.
Requires the Employment Development Department to establish the Fair Share Premium from Big Corporations Program by May 1, 2027, with operations commencing no sooner than January 1, 2028.
Appropriates $10,000 from the General Fund to the Department of Finance for implementing the program (originally directed to EDD in an earlier draft).
The bill takes effect immediately as a budget-related appropriation bill. The report requirement becomes inoperative on March 1, 2031.
Adds extensive legislative findings (Section 19000.3) documenting the rationale for the bill, including statements about H.R. 1 cutting Medicaid to fund $900 billion in corporate tax breaks, work requirement impacts, and Medi-Cal costs as a driver of the state's structural deficit.