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California Watch

News stories in this section spotlight activities in California, including actions by the state Assembly and state Senate; proposed legislation; regulators like the Department of Managed Health Care and Department of Insurance; and the state ACA exchange, Covered California.

Newsom Walks Thin Line on Immigrant Health as He Eyes Presidential Bid

California Gov. Gavin Newsom, who is eyeing a presidential bid, has incensed both Democrats and Republicans over immigrant health care in his home state, underscoring the delicate political path ahead.

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Kaiser Permanente Strike Expands As Pharmacy, Lab Workers Walk Out

More than 3,000 pharmacy technicians, pharmacy assistants and clinical laboratory professionals joined the strike, which entered its third week on Monday.

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Medicare Advantage Insurers Face New Curbs on Overcharges in Trump Plan That Reins in Payments

Medicare Advantage health plans are blasting a government proposal this week that would keep their reimbursement rates flat next year while making other payment changes. But some health policy experts say the plan could help reduce billions of dollars in overcharges that have been common in the program for more than a decade. On Jan. ...

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Newsom Leads Resistance to RFK Jr.’s Public Health Upheaval

California Gov. Gavin Newsom (D) is making California the front line in the resistance to the Trump administration’s revamped health care policies under Health and Human Services Secretary Robert F. Kennedy Jr., in what experts see as a politically savvy move that previews what a “Balkanized” public health landscape could look like as states lose faith in federal agencies. ...

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CMS Issues Final Rule Closing State Medicaid Provider Tax ‘Loophole’

The Centers for Medicare & Medicaid Services (CMS) finalized a rule Thursday afternoon, clamping down on states’ Medicaid provider taxes. The changes to address what the agency has described as “loopholes” and “a Medicaid financing gimmick” were floated last May in a proposed rule and since codified by the summer’s One Big, Beautiful Bill Act. CMS said ...

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Thousands Of Kaiser Workers Walk Out As Labor Dispute Escalates

More than 31,000 Kaiser Permanente nurses and other health care workers walked off the job early Monday, launching an open-ended strike across California and Hawaii that could disrupt operations at dozens of hospitals and hundreds of clinics. The workers, represented by the United Nurses Associations of California/Union of Health Care Professionals, say the strike was triggered by ...

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DMHC Issues Guidance In Response To CMA Concerns On COVID-19 Cost Shifting

On January 15, 2026, the California Department of Managed Health Care (DMHC) issued new guidance in All-Plan Letter (APL) 26-002 clarifying the obligation of health care service plans, including Medi-Cal managed care plans, to reimburse providers for COVID-19 testing and immunizations. California Medical Association (CMA)-sponsored Senate Bill 510 (2021) requires health plans and insurers to reimburse providers ...

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Kaiser, Sutter Tap Execs To Drive Expansion Outside California

California’s two largest nonprofit health systems are positioning themselves for major expansion and strategic growth this year, with newly appointed leaders focused on mergers, acquisitions and national partnerships. Oakland-based Kaiser Permanente named Jim Marcotte vice president of mergers and acquisitions and partnership development strategy implementation. Mr. Marcotte previously served as executive director of financial planning and analysis ...

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The Fight Over How To Pay For Medi-Cal Puts Pressure On Newsom To Raise Taxes

California health care advocates, labor unions and progressive lawmakers are urging the governor and the Legislature to find new money to fund medical care and other social services for millions of low-income and disabled Californians. Their coalition, known as “Fight for Our Health,” demanded Wednesday on the Capitol steps that the Legislature and soon-to-be lame ...

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California Flu Hospitalizations Are Climbing. Here’s What Doctors Are Watching Next

Flu hospitalizations are increasing across California, with projections showing further rises in the coming weeks, state officials warned Tuesday – though forecasts indicate this flu season may not be as bad as last year’s, which was one of the worst in at least a decade. “We are seeing increasing flu cases and (hospital) admissions in ...

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