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Silicon Valley CEOs Support the Key Principles of Governor Schwarzenegger's Health Care Proposal

Group consists of more than 40 business leaders of companies centered in Silicon Valley.

Governor Schwarzenegger met yesterday with members of the Silicon Valley Leadership Group who strongly support the three key principles of his health care reform proposal: affordability, wellness and prevention and coverage for the uninsured / shared responsibility. The group consists of more than 40 business leaders of companies centered in Silicon Valley, a major economic engine for California.

"Every day the number of businesses, organizations and foundations all over California that supports comprehensive healthcare reform is growing," said Schwarzenegger. "The status quo is unsustainable. It's inexcusable that we have 6.5 million people uninsured, leaving billions in unpaid bills -- costs that are passed on to the rest of us. Businesses see double digit increases in healthcare costs every year some as much as 20 to 30 percent. The hidden tax is a $14.7 billion drain on the bottom lines of businesses and it hurts our economy."

The governor's vision for health reform is an accessible, efficient, and affordable health care system that promotes a healthier California through prevention and wellness and universality of coverage. The Governor's plan requires that health care reform must reflect a "systems" approach that incorporates three essential building blocks in an integrated manner. Some of these building blocks are:

  • Requiring all individuals to have a minimum level of coverage (individual mandate).
  • Providing low-income individuals affordable coverage.
  • Requiring insurers to issue health insurance.
  • Increasing Medi-Cal rates significantly.
  • Facilitating and enforcing the individual mandate.
Also included in the Governor's health care reform proposal is an initiative to develop Health Information Technology (HIT) which offers great promise as one means to achieve more affordable, safe and accessible health care for Californians.

The governor's goal is to enact comprehensive health care reform this year.