“There’s no more money coming from Washington after the state exhausts the $1.1 billion it received from the federal government to get the Obamacare exchange up and running.”
That’s a lot of money for a website.
“Covered California, .. is facing a nearly $80 million budget deficit for its 2015-16 fiscal year.”
“Covered California Executive Director Peter Lee acknowledged in December that there are questions about the “long-term sustainability of the organization.””
“A 2013 report by the state auditor, .. stated that, until the state’s health insurance exchange actually started enrolling Californians in health plans, its “future solvency” was ”uncertain.” Thus, Covered California was listed as a “high-risk” issue for the state.”
“Covered California’s enrollment growth for 2015 was a mere 1 percent .. Meanwhile, California’s exchange managed to retain only 65 percent of previous enrollees”
Raise taxes, problem solved.
Red ink could kill Covered California
After two previous extensions, the open enrollment period for Covered California ends April 30. That deadline just might prove to be the tipping point for the state’s two-year-old health insurance exchange.