Gov. Gavin Newsom has proposed spending more than $100 million per year in California's Medicaid program to pay for up to six months of housing.
California voters would decide whether to fund a major expansion of housing and treatment for residents suffering from mental illness and addiction, under the latest proposal by Gov. Gavin Newsom to address the state's homelessness crisis.SACRAMENTO, Calif. - At the start of 2022, Thomas Marshall weighed 311 pounds. He had been hospitalized 10 times in five years, including six surgeries.
Marshall's story is part of a radical rethinking of the relationship between housing and health care in the U.S. For decades, Medicaid, the joint state and federal health insurance program for people with disabilities or low incomes, would only pay for medical expenses. But last year the Biden administration gave Arizona and Oregon permission to use Medicaid money for housing - a nod to reams of research showing people in stable housing are healthier.
It would also be an expensive step. California is expected to have a $22.5 billion budget deficit this year, and it could get bigger in years to come. Meanwhile the state's Medicaid spending is projected to increase by $2.5 billion over the next three years, according to the nonpartisan Legislative Analyst's Office.
Over five years the program has reduced expensive hospital stays and emergency room visits for people on Medicaid, saving taxpayers an average of $383 per patient per year, according to an analysis by researchers at UCLA.
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Gov. Newsom looks to spend some Medicaid money on housingGov. Gavin Newsom has proposed spending more than $100 million per year in the state’s Medicaid program to pay for up to six months of housing for people who are or risk becoming homeless; are coming out of prison or foster care; or are at risk for hospitalization or emergency room visits.
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