Calif. plan would reshape hospital finances

California will move nearly 500,00 blind, elderly and disabled residents to managed care in a deal worked out with Washington. Gov. Arnold Schwarzenegger had tried unsuccessfully to get related legislation passed in Sacramento in May. Administration sources said the compromise would give California $3.3 billion more in federal funding for medical care for the state's poor. The news was met with dismay by some patient advocates, who argue the change could hurt the quality of care provided to some patients and limit access to specialists in some cases.

- see this story from the Los Angeles Times
- see this story from the Los Angeles Daily News