California Democrats have recently introduced a new bill that proposes a government-run universal healthcare system in the state named “CalCare.” This bill could potentially double the already unsustainable state budget of $300 billion to over $600 billion. Under this new system, private insurance would be banned, and state taxes would be raised. Assembly Bill 1400 proposes funding provisions that outline tax increases in Californians’ income and payroll taxes, along with a new gross receipts tax on small businesses.
Critics of the bill, including Carl DeMaio, chairman of Reform California, argue that the proposal is unrealistic and would hurt Californians. DeMaio has pointed out that Californians already pay the highest tax burden in the nation, and implementing a government-run universal healthcare system would require more than doubling the current tax burden. He has also raised concerns about the state government’s competence in running various programs such as the DMV, failing school systems, and rampant fraud in unemployment and welfare programs.
DeMaio has warned that state bureaucrats in charge of healthcare will make things worse for Californians. Despite proponents of the “CalCare” proposal claiming that tax increases will be offset by cost-savings for Californians and the state by switching to a universal healthcare system, he believes that this claim is either ignorant or a lie. Arguing that California families are already suffering under the state’s high cost of living, and these tax increases and the switch to universal healthcare will only add to their financial burdens.
Inflation is already skyrocketing and crushing California working families, and raising taxes will only make it worse. California Democrats should focus on finding ways to reduce costs and improve efficiency rather than putting more financial burdens on Californians. It is crucial to remember that this proposal is just a bill at this point and may not pass. Still, it is essential to be aware of the potential consequences of such a proposal and to voice our concerns to our elected officials. Californians deserve better than to be crushed under more tax burdens.
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