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Tobacco Tax to fund Medi-Cal

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California’s Democratic leaders have decided how the revenue from a new tobacco tax increase will be spent.

Of the more than a billion dollars available in Proposition 56 money, some will go toward covering Medi-Cal patients who became eligible under Obamacare.

The rest will go toward increasing reimbursement rates for doctors and dentists who see Medi-Cal patients.

Doctors’ groups were hoping all of the money would go toward increasing Medi-Cal pay rates, which they say are far too low.

The Medicaid proposal still needs approval from the Trump Administration.

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