Governor Schwarzenegger says his $14.4 billion dollar healthcare reform plan would pay for itself. Economists point out that doesn't mean the plan would be free. KPBS reporter Kenny Goldberg has more.
The governor's plan to increase health coverage would be financed through higher taxes on employers, smokers, and hospitals. It also relies on the federal government to pay the state billions of dollars to expand the Medi-Cal program.
Steven Levy directs the Center for Continuing Study of the California Economy .
Levy : It's not free, just because it's not going to cost anything in the state budget. So we're all going to pay for it, in one way or another.
Senate President Pro Tem Don Perata says the state's looming budget deficit makes him reluctant to support the package. He says he won't schedule a vote on the plan until he sees how next year's budget cuts will shake out.
Kenny Goldberg, KPBS News.
