Home>Articles>California Legislature Passes Health Insurance Individual Mandate Penalty

California State Senate. (Photo: Kevin Sanders for California Globe)

California Legislature Passes Health Insurance Individual Mandate Penalty

CA bringing back a key part of Obamacare

By Katy Grimes, June 25, 2019 6:40 am

Despite that 93 percent of Californians have health insurance, the California Legislature voted Monday to tax California citizens who do not buy health insurance. This penalty revenue will be used to fund health insurance subsidies to encourage more people to purchase health insurance, and to provide health care to illegal immigrants.

Passage of SB78 creates the “Individual Mandate” to require Californians to purchase health insurance, and imposes a fine for failure to do so.

The nonpartisan Legislative Analyst’s Office warned this could indirectly result in increased state costs in Medi‑Cal, and/or if the individual mandate actually succeeds in more Californians signed up for state health insurance, fewer Californians will pay the penalty tax resulting in less money.

Data from the Affordable Care Act shows that the people most likely to owe the penalty are young, healthy people with jobs that pay $30,000 to $50,000 per year. “It makes no sense that young people making $30-50k per year are paying so that other people making $75k-130k per year can get a subsidy,” Assemblywoman Melissa Melendez (R-Lake Elsinore) Tweeted. “The fine, or tax because that’s what it is, is $695 per adult, $347.50 per child, or 2 1/2 percent of a household’s gross income, whichever amount is greater.”

Gov. Gavin Newsom’s plan to reinstate the individual mandate is to force healthy people to buy the state health insurance. In essence, the people who will be punished are the ones who can’t afford insurance because they don’t receive subsidies for not buying the some of the most expensive insurance in the country, and will likely cost them $14,000 per year, and will not be actual insurance until the $5,000 deductible is paid. This penalty/tax will be used to pay for the health coverage for illegal immigrants.

Lawmakers also approved a bill that to provide Medi-Cal government-funded health insurance to illegal immigrants, in the country illegally. Since both of these were covered in Gov. Gavin Newsom’s original budget, it is anticipated he will approve both within the budget trailer bill.

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84 thoughts on “California Legislature Passes Health Insurance Individual Mandate Penalty

  1. SB78. I am an Independent Contractor that makes about $40,000-$50,000 a year after taxes. The only plans available to me under Covered California are $600 a month with a $6000 deductible. There is NO WAY I can afford that. So, now they’re going to penalize me monetarily because I can’t afford healthcare!?!? And, they’re going to take MORE of my tax dollars and give it to people that shouldn’t even be here. This will be another crippling tax on me. They are driving me right out of my beloved home state of California. The liberal government, the single party government, is ruining this state. Look at our streets, our crime, our tax rates, all the highest in the country and now they’re going to take MORE of my money and give it to illegals. It is so obvious the democrats are planning to change the demographics of this state and all they want is to drive American citizens out of California. SHAME ON ALL OF THEM

    1. Show that your mad vote Trump or vote for socialism and politicians who care more about open borders and illegals getting free health on your dime

    2. Carol – You will be exempt from the penalty if the net cost of the lowest cost bronze plan available to you exceeds 8.3% of your modified adjusted gross income. Same exemption as was in the now zeroed-out federal mandate penalty.

      1. 8.3 percent is a bunch of income, so they will just force you to spend 5 or tax 2.5 your choice. Such bull shit. I dont want or need healthcare currently

      2. Christopher. Question. Where did you locate that information about percentage. I would like more proof in my pocket as I do not have Insurance and will fight to not pay the penalty. Thanks

        1. From the Covered CA website:

          Penalty and Exemptions

          Beginning in 2020, California residents must either:

          Have qualifying health insurance coverage, orPay a penalty when filing a state tax return, orGet an exemption from the requirement to have coverage.About the Penalty

          Generally speaking, the penalty will be $695 or more when you file your 2020 state income tax return in 2021. The penalty for a dependent child is half of what it would be for an adult. A typical family of four that goes uninsured for the whole year would face a penalty of at least $2,000. The penalty will be applied by the California Franchise Tax Board when you file your state tax return. For information about the penalty, including the amount your family could owe for not having coverage in 2020, visit the Franchise Tax Board’s website. Covered California is here to help you avoid a penalty. If you don’t have coverage now, you can use the [Shop and Compare Tool](https://apply.coveredca.com/lw-shopandcompare/) to find a health plan that makes sense for you and your family.

          Types of Exemptions

          If you do not want qualifying health coverage or cannot afford it, you can get an exemption from the requirement so that you will not have to pay a penalty. There are some exemptions you must apply for through Covered California. Other exemptions do not require an application – instead, you can claim them when you file state taxes.

          If you want an exemption because health insurance was too expensive in the past, we recommend that you check again. Financial help can change every year, making plans more affordable. To see if you qualify for financial help for a health plan, visit our Shop and Compare tool.

          Exemptions You Can Claim When You File State Taxes

          You can claim the following exemptions on your California state income tax return:

          Income below the state tax filing threshold (you may still choose to file taxes).A short coverage gap of 3 consecutive months or less.Health coverage is unaffordable, based on actual income reported on your state income tax return when filing taxes.Individual: Cost of the lowest cost Bronze plan through Covered California or the lowest cost employer-sponsored employee-only plan is more than 8.24 percent of income on the tax return.Household: Cost of the lowest cost employer-sponsored family plan that covers all employee’s dependents is more than 8.24 percent of income on the tax return.Certain non-citizens who are not lawfully present.Citizens living abroad or residents of another state.Members of a healthcare sharing ministry.American Indians or Alaska Natives.Incarceration (in jail – other than incarceration pending the disposition of charges).Enrolled in limited or restricted-scope Medi-Cal or other

          Minimum Coverage Available for Certain Exemptions

          Minimum coverage plans, also called catastrophic plans, are available to consumers under the age of 30.Consumers age 30 or older can buy catastrophic coverage if they apply for an affordability or general hardship through Covered California and are approved. If approved, these consumers will get an Exemption Certificate Number (ECN) and may buy a catastrophic plan directly from an insurance company.

          If you are seeking an exemption to buy a catastrophic plan, consider buying a Bronze plan instead. There are many reasons that a Bronze plan could be a better choice:  

          The premium (monthly cost) of Bronze plans and catastrophic plans are often similar.Your deductible (the amount you pay before your insurance begins to pay) is usually lower on a Bronze plan.You may qualify for financial help to reduce the cost of a Bronze plan (financial help is not available for catastrophic plans.) You don’t have to apply for an exemption – people of all ages can buy a Bronze plan.

          Affordability Hardship Exemption ApplicationHealth coverage is unaffordable, based on projected income.Individual: When the cost of the lowest-cost Bronze plan, minus any premium assistance available through Covered California or the lowest cost employer-sponsored, employee-only plan, is more than 8.24 percent of projected income.Household: When the cost of the lowest-cost employer-sponsored family plan, which covers all employee’s dependents, is more than 8.24 percent of projected income.

          CoveredCA.com is sponsored by Covered California and the Department of Health Care Services, 
          which work together to support health insurance shoppers to get the coverage and care that’s right for them.

          Copyright © 2020 Covered California

      3. Guess who doesn’t pay the mandate penalty, illegal immigrants. And up to age 26, they get free healthcare. Allegedly the penalty is to pay for illegal immigrant health Care.

    3. I’m a millennial. I know so many people both gen z and my generation who simply can not afford health insurance. Medi cal only covers people to a certain point. If you make just enough to scrape by, they won’t cover you. I don’t know anyone my age who has health insurance and none of them KNOW this is coming. How can you penalize people who CAN’T AFFORD SOMETHING? You can’t hit people up for being poor. How about instead of catering to insurance companies that are corrupt, you fuckers make it free. This is such an out of touch legislation. Do you really think the youth are forgoing health insurance for no reason? THEY. CAN’T. AFFORD. IT. They know insurance would crumble because millennials would rather just suffer and die than get into massive debt with insurance. Despicable.

      1. A millennial wanting something for free. Well my friend, nothing is free. Someone will pay for your free healthcare, so why not you pay for your own.

    4. I read your sad situation. Yes, hard working productive Citizens are just crushed by Gavin, and the Marxist Legislature. I have been a been in CA since 1985, contributed greatly to the community, purchased my own home at 32 years old. Now over 60, I’m suffering the declining quality of life. Our Marxist Illegal Alien Whore Gavin is stealing the wealth we created, paid burdensome Prop Taxes for 30 years , watching it redistributed to unlawful, illegal invaders, here for the free stuff for life, off the backs of the middle class. Notice how the entire U.S. Government elected Leftist cater to Illegal Aliens, offer, more and more unconstitutional free billions of dollars of welfare that is not going to the Citizens. Dems running in the race are falling over themselves to see who could deliver more free programs to Illegal aliens, now talking about Reparations? May all of them go to hell. With much sadness to leave a once beautiful , functional state, in the 1980’s my home is going to be listed next month, January 23rd 2020. I hate the new 3rd world ruination the Demoncrates created, filth, dangerous felons killing citizens, as Leftist don’t beleive in prisons for violent crimes. Here’s the groups the Leftist care about.. Convicted Felons voting restored, having no jails, let the predators kill, rape, torture Ca citizens, never ending hordes of Illegal Illeterate Aliens from the worlds Sh*thole countries that are not functional, can speak English, placed on welfare along with the chain of indigent family from every incompatible country. More, and more global Refugees’ who hate Americans, kill plenty of them. Vagrants, drug addicts bussed in free from every other State litter our communities , living in colonies of blue Tarps on sidewalks , aggressive, destructive, hazardous disgusting wastes and defecating in public. this is now in my community. I don’t feel safe, because I’m not.. high anxieties going out, witnessing Vagrants attacking others, rushing in stores and stealing with impunity. Police don’t come Criminality is running freely.. Better plan your life out of CA, the White Middle class is fleeing, we are not wanted, are hated by the elites to extract more tax money to transfer to Pet Illegal Aliens. In another time in history , these vermin Marxist would have been hanged in the courtyard for Treason.

      1. You hit the nail on the head a few times!! Well said! It is so sad how the dems are single handedly ruining our beautiful State and Country !

      2. I don’t agree with what’s going on, but it sounds like you’re abandoning your state for a chance at a better quality of life elsewhere. Hmmm.. sounds kinda familiar. ✌????

    5. Carol eloquently stated! I have same issue and I will not pay the high health coverage costs that are dictated to several people like us thru the lousy Obama Covered California. Therefore I choose to pay as I need to to a health care provider in a City 2 hours from me that sees me without having Insurance. The deductibles under The program are horribly high. Gov. Newsoms process for us to pay a penalty as legal Americans doing stuff the right way and to give our money to persons who break the law and get away with their deceit and lies is unjust ! There’s no support to those that financially struggle with already high housing, gas and taxes within this State. This horrible Governor instead of coming up with better solutions and restructuring of laws with his greed and continued hate for the Federal government, he is not doing his job but push’s the issues into the people to resolve.

    6. Carol,v sorry for your situation, I know how you feel. I am a native Californian and now reside in Texas. I’m an economic refuge.

    7. Hi Carol, I hear you and feel the frustration. I’m a native Californian, 60, worked all my life, paid my taxes. I cannot afford to pay insurance and visits to the chiro weekly. For the Bronze plan (worst coverage plan), I have to pay $75 a week. Chiro is needed due to a childhood injury. If I buy insurance and pay chiro, my cost yearly is $5,000 due to my age. I’ve chosen to pay my chiro @ $2,000 a year out of pocket and pay the CA penalty fee of about $1,000 a year, $ 3,000 is less, than the other. I get nothing for free, but the illegals do, on my choice to be a responsible CA legal American citizen.

      1. This makes me sick. I work at a hospital in a big blue city. Illegals get full medical care all day long here. They pay nothing for anything and trust me tbey love it. They refuse to pay anything

  2. Carol M, I feel your pain. I’m in the same boat. I was able to escape the ACA penalty as I had an exemption that I was able to use (death in family) and I finally breathed a sigh of relief when the penalty went away. Now, in a short time, the criminals in Sacramento are bringing it back! I am already making plans to leave the state if I can’t find a way to avoid the penalty. I’ve lived here for over 40 years and don’t really want to leave, but they have succeeded in pushing me out. I think the next thing on the chopping block will be the repeal of Prop. 13, they are just itching to do it already and have been talking about it for a while. It’s only a matter of time before they completely destroy the state. No one will want to live here except illegal alien invaders who get everything for free at our expense. I’m hoping for a miracle (not expecting one) that a lawsuit will block this illegal “penalty” from taking effect in January. It’s illegal since NO ONE voted for it! Recall Newsom and his cronies in Sacramento!

    1. Well said John. I am a California native, born and raised. I hate the thought of leaving but I just cannot keep up with all the taxes, fees, etc. they keep dropping on my head. Such as shame.

      1. Carol, I haven’t given up hope just yet, but it doesn’t look promising so far that this will be stopped. I also have to wonder how they are going to inform people that this new (again, illegal) tax/penalty is coming shortly? No one is talking about it anywhere that I can see – a couple of sites like ZH and Breitbart mentioned it briefly but nothing in the news at all. So, January comes and “Surprise!” you owe us money because you can’t afford health insurance? How can this be legal in anyone’s mind? As bad as Obamacare was, at least there were a couple of years warning that it was coming, and the penalty was much lower the first couple of years. The greedy SOBs in Sacramento are going whole-hog with the full $695/PP or 2.5% of income (whichever is larger!) with no phase-in period. I am beyond apoplectic about this, no words can contain how angry I am at this development. To have to uproot our entire lives to escape this injustice, try to acclimate to a new state, make new friends – it’s just beyond comprehension. But I am adamant, I will not pay this extortion regardless of what I have to do. It would be bad enough if it were going to help American citizens (who still should pay for their own HC), but it’s beyond insulting that they want to steal this money from us to give to illegal aliens who have no right to be in this country in the first place! Let there be no doubt, this is the road to destruction of this once fine state. I’m not native to CA but have lived here for over 2/3 of my life, and never thought it would come to this. So sad.

    2. I am born and raised in California but because of Governor Nuisance I plan on leaving California as well. Do we not have the right to vote on these propositions?

    3. I agree, wrote a reply to Carol waiting for moderation, doubtful if it will be printed. After 3 decades of being crushed with high taxes, Prop Tax , I’m listing my home in SFV for sale in January, next month 2020. It pains me to experience the total destruction, decay, criminality to a lawless third world Sh*t hole. My eyes hurt from having to see the drug addicted vagrants, they come from other States for the free welfare programs, ‘fake drug treatment” then after 30 days insurance money dries up they get kicked to the curb and become vagrants living and defecating in the community. 100,000 and increasing. Stealing, breaking in cars, homes, no penalty or jail. I am moving quickly, to a cold Red State, less likely the vagrants will infest, there will be winter and snow to repel vast numbers to ruin my next community. Better get out now, retire in peace and nice surrounding with like minded high values community who care about preserving their State and Country Good riddance L.A/CA

  3. Are there any exemptions? I doubt I will qualify. I just dropped my insurance as it was basically useless, just like the article described. My employer does cover about half of my policy, but I still pay about $300/month for the privilege of a $5000 deductible before any insurance kicks in, aside from yearly wellness checkups. I may end up leaving the state as well. I can’t afford a 2br apartment in SLO where I live, and I need one as my daughter is turning 13 this year and needs her own room. I will even admit I make more money than I ever have, but I can’t buy a house here. A single dad in a professional career can’t afford real estate in my town.

    1. David, I haven’t been able to find out much about this so far. The only known exemptions are: Felons in prison, Illegal Aliens, and Indians. The specifics aren’t available yet but should be soon. Then it’s time to start packing and get out of here. I guess I’ll have to decamp to Nevada, and hope they don’t try the same thing there, since it’s pretty much a blue state too (just not as insane as California … yet).

    2. I’m in Michigan on Medicare and my deductible is over 8 grand, on flippin MEDICARE … I’ll never make that, last year it was over 6 grand and I came almost $600 shy of making that so I know 8 g’s is way out of my reach

  4. Newsom is going against federal law which is illegal. He is doing whatever the hell he wants regardless if Trump repealed that penalty. Penalizing people for not being able to afford something is ILLEGAL. I would have to pay 600 per month with thousands in a deductable. I can’t even touch that. Newsom is going to be sued, and people aren’t goint to file taxes. He’s a corrupt politician trying to change California into a socilaist country.

    1. Reneer, I’m hoping NewScum will be sued, but there isn’t much time for either the FedGov to do something to stop this, or private lawsuits. There’s barely six months before this horrible scam is foisted upon us. I knew that NewScum would be worse than “Moonbeam” Jerry Brown, but how much worse was unknown until a few days ago. All the politicians in Sacto work for illegal aliens, they do not represent us in any way, shape or form – in fact, they have become our enemies based on their statements and actions. What to do? They “claim” that only 7% of Californians are without insurance, so why are they harassing and fining us so much? As I stated above, there isn’t even a phase-in period for you to prepare like there was for the ACA penalty. They’re just going to slam it on us – and I suspect that many, many people are going to be blindsided when they find out the state wants $695/pp in extra taxes next year. This has gone far beyond outrageous, it’s treasonous to protect illegal invaders and give them aid and comfort from our pocketbook. Where is the Trump administration on this issue? The state plans to use part of the Medicaid money they receive from the FedGov along with money they expect to steal from us to pay for this illegal program. I’m trying to learn more but there isn’t much to find so far. If you or anyone else learns more details, please post it here.

  5. To Senator McGuire (senator.mcguire@senate.ca.gov)

    Subject: SB78 2019 100705(c)(4) Violates US Equal Protection Clause of the 14th Amendment


    California’s recently passed bill, SB78 2019, stipulating an “Individual Mandate”
    to maintain health insurance exempts from penalty,

    “(4) An individual who is not a citizen or national
    of the United States and is not lawfully present
    in the United States for that month.”


    The violation is quite egregious for these reasons:

    1. It actually subverts the stated purpose of the law by not incentivizing
    these individuals in obtaining health insurance if able; and

    2. It discriminates based on nationality, providing immunity to fines for
    “not citizen/not lawfully present” individuals while mandating punishment of
    US Citizens; and

    3. The intent — perhaps to be fair — can be accomplished without
    discrimination by a financial hardship test.

    When I heard about this law I thought it sounded reasonable, assuming that
    it applied to everyone equally. Then I learned that illegal immigrants are
    specifically exempted from punishment, favoring them over US citizens. That
    rankles! And consider that it also exempts wealthy illegal immigrants, such
    as Russian or Chinese oligarchs fleeing their homelands, as well as criminal
    gang/mafia members. I don’t imagine that was the intent.

    There is time to amend this unconstitutional law before it goes into effect
    on January 1, 2020. If not, California should expect lawsuits.

    “Marc” (my email pseudonym)

    1. Marc, that’s a great letter, please post back if you get any reply at all. These so-called “public servants” (a big joke) in Sacramento just do whatever they please, they think they’re untouchable at this point due to the super majority they have in the senate. There needs to be a recall of all of them from the governor on down, throw all the bums out! What a contrast in just a few short years, we went from Prop. 187 (no freebies for illegal invaders) to SB78 (give them everthing!) – hard to imagine how fast this state went full on socialist. The only difference between now and then? Millions more invaders, being given driver’s licenses and being allowed to vote. What a shock, they vote for more socialists and more freebies for themselves. The politicians pander to them all day long, while we, the tax slaves, are ignored and ridiculed. This can only go on for so long. It will end. Will it end well? Time will only tell. Meanwhile, I will not pay this “penalty” and will move out of the state if necessary. Nevada, Texas, Florida, or another state with no income tax sounds good right about now. When all the taxpayers leave, what’s their brilliant plan to pay for all the freebies? Good luck with that.

  6. John,

    I did write to the ACLE and UC Berkeley’s California Constitution Center
    asking for legal help. Nothing back yet 🙂 I also wrote to Governor Newsom.

    I am also not happy about the situation with PG&E and the planned Public Safety
    Power Shutoffs that are possibly going to happen every fire season for the
    next 10 or more years. Up to a week, or more without power, affecting even large
    cities possibly! No cell phones, probably. Possibly water shortages too. Gas
    stations closed. Groceries closed. Teslas stuck at home! I think we should fix
    the power system faster than PG&E is planning and rejoin the 21st century.

    There are many other topics of great practical concern to me. Things that will
    affect me personally. I am trying to learn to be like a Stoic, and ask myself,
    “What would Epictetus do?”


    Or, to put it differently, what would Commander Spock of Star Trek do?

    Live long and prosper…

    1. Marc, Spock only had to deal with Klingons (and Tribbles), while we have to deal with insane Democrats that have taken total command of the Starship California. I don’t know how they can expect to shut off power to millions and have it off for days. It’s just not possible to do, too many things will be affected, including their pet illegals. So, what will happen? I don’t pretend to be wise enough to know, but I do know one thing: I don’t want to be around when it happens! While I wish I knew of some magical place to escape all this craziness, all I can do is take my best guess and go with it. If I’m wrong, I’m wrong, but staying here and watching this insanity accelerate to “Ludicrous Speed” (Spaceballs reference) isn’t an option either.

  7. Well, obviously the A.c.l.e. – Associazione Culturale Linguistica Educational will not be
    very helpful in this matter. I should write to the ACLU 🙂

  8. Thank you Christopher, I hope you are right about the exemption though somehow I just don’t have any confidence that will actually be the case. John, you nailed it. “Extortion” is exactly what this is, like so many of the other taxes we pay here in CA. And, today, the gas tax goes up another 5 cents, highest in the country now, Yay!

    1. Carol, at least you know you aren’t alone in your anger at this gross injustice. We’re all in the same boat, how we bail out of this sinking boat may vary, but bail out we will! And also, as you stated, the gas tax went up today (I went to GasBuddy and checked, and sure enough, all the stations are 6c higher today – actually 5.6c rounded up – of course!). But interestingly, we don’t have the highest gas taxes in the country (yet – just give ’em time) that honor goes to (quote from another website): “California’s gas prices may be highest, but their gas tax is not. Pennsylvania, under Democrat Tom (if you elect me, I will raise your taxes) Wolf, has the honor of having the highest gasoline taxes in the US at 58.7 cents per gallon. Prices in PA vary county to county based on local taxes as well, which also increase the price per gallon. However, California prices are higher, but there are other reasons, not explained by the gas tax.” However, the gas tax here is set to continue to rise every July 1 for, well, forever. I’m sure we’ll manage to pass PA in having the highest gas taxes before too long. Meanwhile, I have yet to see even one road I drive on repaired, in fact most are worse than ever. Any doubt where the billions of dollars are going? While people in Hawaii, where all gasoline has to be brought in by tanker over the ocean, pays a minimum of 10c less per gallon than we do, here where the gas is refined!

      Just another reason to plan your escape from here. The only thing they haven’t touched so far, as I mentioned earlier, is Prop. 13. But you can bet your last dollar, they will find some way to destroy that too. It’s my own firm belief that will be the last straw for many people who have tolerated being taxed to death. In fact, the high property taxes back in 1978 was what precipitated the outrage at high property taxes and the inception of Prop. 13 in the first place. They’ve already floated a “trial balloon” of eliminating it for businesses to see the public reaction. I’m sorry to say that the sheep (that’s most Californians) weren’t spooked, so expect to hear more of this in the next couple of years. There’s no way in the world they’ll have enough money for all their pet illegal projects without eliminating Prop. 13. Remember my comments when you start hearing more about this. They want to give “free” (for them) medical care to ALL illegals, and the only way that can happen is to get more money from taxes. All in all, a pretty grim diagnosis for anyone staying here in CA.

  9. John,

    I am making an effort to fully understand the reality here.
    And I find your commentary muy sympatico, mostly. A few
    points then I will retreat to my cave.

    1. The Democrats are in full and total control of California
    policies. Apparently, Federal law is like a buffet for them,
    they can pick and choose what they like — including the US
    Constitution. Wouldn’t be surprised if California starts
    issuing its own passports!

    2. The PG&E “Public Safety Power Shutoffs” are real. Part of
    the PG&E giveaway. Reduce risk to profits (and jail). Newsom
    has received tons of money from PG&E and now proposes to
    give them $10 billion to pay for wildfires. Check out the
    Manteca Bulletin to find out what Manteca is doing to
    prepare. Mandatory curfews are on the table because looting.

    3. I am just one person in the People’s Republic of
    California. If they want open borders and sanctuary, and
    free stuff for all, well, that is what we’re doing. The
    needs of the many outweigh the needs of the few — except on
    Mondays, Wednesdays and Friday, when the needs of the rich
    and powerful are given due consideration. I’ve decided to
    accept this reality (for now). Open borders? OK, fine. I’m
    sure the socialists will be happy to learn that I have
    written to two Russian newspapers and invited all of Russia
    to move to California. It will be great!

    4. You mentioned moving to Nevada or Texas. I don’t like
    their weather. Washington and Oregon do not appeal either.
    If I were younger I would think about Alaska. And I do have
    one person in California I have an obligation to. So I will
    stay and enjoy the show. You should think about staying too,
    just to annoy them.

  10. Marc,
    I agree with all your points too. Thanks for the thoughtful input, especially about the Democrats picking and choosing what laws they feel like ignoring/enforcing. Don’t worry, they won’t have any problem enforcing the so-called “Individual Mandate” law on you and me! Other laws they don’t like, well hey, they’ll just ignore those. They have their 9th Circus Court to back them up on anything they do, even though they’ve been overruled often when a case is appealed to the SC. They already have a de facto passport called a California Drivers License, issued to anyone (including millions of Illegal Invaders) who feel like calling California home. With it, they can get virtually anything, as well as motor-voter registration so they can vote themselves more freebies from our pocket. The corruption and pandering is off-the-charts bad here now. It won’t be long before an Illegal will be running for governor – sounds crazy? Well, giving them drivers licenses would have been unthinkable just 20 years or so ago when Prop 187 passed (only to be promptly torn up and discarded by the 9th Circus).

    I’m in a SoCal Edison area, so I haven’t kept up with everything happening with PG&E, although I was aware, of course, of all the fires and corresponding lawsuits. Doesn’t surprise me that NewScum got his pockets lined by them. Corruption is the order of the day here, and will continue as long as the DemoRats remain the majority in power.
    I like your idea of inviting Russians to come, we could use some to offset the quantity and type of invaders we have here now. Unfortunately, we don’t share a common border (or continent) so it’s not so easy for them to get here. (yes, I know you meant that toungue-in-cheek) 🙂

    Well, you can probably guess that I’m not too crazy about wanting to live in TX, FL, or NV. The only thing that attracts me to live in one of them is the lack of state income tax. The weather in all of them isn’t so great (I’ve lived in FL – so damp! – and NV – so dry! – in the past already) but I think if I could make it for at least two or three years there, perhaps the insanity here will have had time to collapse. Wishful thinking, maybe. You’re probably right that staying here would annoy them, but the problem is, they’re already annoying me more than I can bear! And you can be sure the insanity won’t stop here, NewScum is just getting started, he’s got lots of great ideas for separating us from our money. I haven’t actually made concrete plans to leave just yet, but I’m already mentally preparing myself for it. Browsing homes for sale on Redfin in Henderson and L.V. shows quite a few in the low $300K range in very good neighborhoods (i.e., Summerlin) near shopping and freeways. My home here in CA would sell for around $750 – $850K so I’d pocket quite a bit of cash, could pay for a home in Vegas and have lots of cash left over. Decisions, decisions.

    1. Following your conversation, my wife and I want to buy a home , first time for us ( together) but I am really worried about putting down roots in California. I’m seriously considering going back to TX. but Cali is her home and she really wants to stay here. Paying the incredibly expensive fee ( 2500) for an out of state vehicle was my first clue to how things work in Cali…decisions,decisions indeed.

      1. Phil, If I were you today, I would probably go back to TX if it were possible and I didn’t own property here. It’s only going to get worse from this point forward, and I would be the first to warn you if I knew you personally as a friend (and even on here, where we are thinking the same). I do understand why you wife wants to stay here (mine does too) but you have to make a decision that’s best for both of you. Run, don’t walk away from CA!

  11. John,

    I will just throw this out for your consideration. It is
    none of my business and you’re obviously very savvy. But
    let’s say I know a guy who is a real estate genius. He
    probably would not make exactly the same transaction you are
    proposing because taxes. And I too am opposed to feeding the
    beast with taxes that can be legally avoided (I don’t want
    to pay taxes any more, ever, especially to California.)

    In addition to taxes there is the question of what value a
    currency unit maintains in the future. Where is a good store
    of value?

    Much depends on goals and preferences of course, but in the
    end most people agree that more is better.

    So, one thing this hypothetical guy did sometime, somewhere,
    in some universe, is sell his apartment complex and then buy
    a medical building in a different state with a price greater
    than his apartment sales price. No taxes, long term lease
    providing income forever.

    Another thing this guy (always) does is buying something he can rent
    out where the cash flow fully covers his costs. Then he just
    lets it ride, forever. Maybe takes a small equity loan, tax
    deductible, and uses that for something else. The point here
    is leverage and riding out currency devaluations. Rich
    people seems to love borrowing long term at a fixed rate and
    then paying back the debt years later in inflated currency

    It may make sense to hire an expert for consultations,
    that’s all I’m really saying. Because, as it is written,
    “Never F*** Up”. No do-overs.

  12. Good Luck Cali. I just left for Austin. I was making great money and living DTLA (Los Angeles). Paying 3k a month for rent, stepping over homeless, needles and trash as walked the streets of LA to visit bars/restaurants. I payed an average of 3.90 for gas if not higher along the coast. Every thing I purchased in LA county, near 10% sales tax. Shopping at Ralphs or Whole Foods paying 3x that for food than most other states. Playing in Manhattan beach, Venice, Malibu, Newport, all the while sitting in hours of traffic. Paying more than 10% in state tax to bring fed and state holdings to over 35% of my income. Making far more than the average person in Los Angeles County but not able to afford decent RE. I enjoyed the weather, Mountains, ocean, Desert, all the while watching the 6 figure plus income potential (Job Market dwindle). Flew to San Francisco often for weekend get a-ways visiting friends who make 200k or a little north of that, hearing their struggles and lack of ability to by decent RE.

    All this with a short 2 years living in Cali. And yet, the locals vote and continue to vote Democratic Socialist into power, with the OC flipping 100% to the Democratic Socialist. California is lost. Good luck to those making under a half a million a year. Hope is works out for you.

  13. When the national individual mandate went into effect I made the decision to invoke my right to refuse any and all medical care up to and including my own demise. I have sworn an oath that I will never again seek any medical care that will be paid for by any greedy, big corporate insurance company, nor will I seek any care that is paid for by a corrupt and completely inept government. With that said, I am not your public burden and you have no legal ground to stand on to force me to pay for a service that, by my refusal to use it, has absolutely zero value and offers me a maximum of a 0% return on my investment. I simply want the right to put my own money into a HSA and pay my doctor cash. You can’t make healthcare any cheaper than that.
    And if my neighbor wants to have fake boob implants then I won’t have to worry that he spent my money to do that. If some idiot wastes all of their own money on completely unnecessary cosmetic surgeries and do has no money left when they break their arm that shouldn’t be my problem.
    I don’t want to have to work and slave my entire life away trying to make enough money to pay for a service that’s supposed to keep me alive so that I can live to be old and grey and wrinkled and used up … and dying anyway, looking back on a life that I didn’t get a chance to actually LIVE a day of it and wonder, “What in the HELL was that all about?”.
    Some people are willing to give their own lives in the struggle to remain free. Others would enslave an entire nation and every following generation just to buy themselves one more day of their own miserable lives.

    1. Stephen, because you have a sense of personal responsibility, something that is severely lacking these days. I have the means to do the same as you, but we won’t be allowed to do that, since they have determined that they want the illegals to have free medical care using our dollars directly. On what planet is this a sane, just policy? This is now upside-down backwards world where the lazy and incompetent are given a free ride on others who have planned, worked and saved. The greedy politicians are out for our wallets, and our blood, sweat and tears. I say NO to that also! I refuse, and I will vote with my feet by leaving here as soon as practical. I sincerely suggest you do the same, for your own health, welfare and sanity.

  14. Stephen/ John:
    I have been uninsured now for 4 years and have been a cash pay for all medical services. I’ve had the opportunity to see first hand how corrupt the insurance and medical systems are. Example, I had to have an MRI, cash pay was $575. A few weeks later I received a bill from the medical facility that did the MRI for me. I don’t remember the exact amount but the bill was for OVER $2300. When I called them to question it, they told me that was for my insurance company. I told them I was a cash pay patient and after a few clicks on her keyboard she replied “Ok, you can just disregard it then”. What?? I pay $575 as cash patient but you will my insurance company $2300 for the same procedure. Unbelievable. I’m on the hunt for Texas, Tennessee, maybe Tallahassee FL, you can get a pretty nice house in either place for $200-250K.

    1. Carol Ann,
      Thanks for your comments. I’m still waiting at the moment to find out more details about what the commies in Sacramento are foisting upon us, so far there’s been very little available. Specifically, I’m waiting to see what exemptions might be allowed to opt out of this debacle. When my mom died a few years ago (2013) I was very sad, however, one good thing came out of that – Oblamocare allowed those with a death in the family to have an exemption from paying the penalty for up to 4 years. That allowed me to bypass the entire nonsense, I just had to send in a copy of her death certificate every year to get an exemption. I have seen no such allowance so far with the state. If I cannot find any exemption, I will be moving out of the state one way or the other by late Dec. to ensure that I will not be a legal resident of the state for 2020.

      It’s laughable that they think people will just pay this unconstitutional and illegal penalty and sit still and take it. I’m quite sure at this point in time, most people in our situation are unaware of what is coming in January – which by then, will be too late to take action for the 2020 year. They’ve done nothing to rein in healthcare costs, and instead have done just the opposite – giving “free” healthcare to illegal invaders who have no right to even be present in the country. And they expect us to pay for it, in the form of a penalty! I hope this entire law collapses upon itself and crashes the system they have so aggressively foisted on Californians.

      The nerve, the chutzpah of the Democrats has no end. Instead of fixing things, they’ve taken a broken system and making it far worse. They will fail in the end, but that doesn’t do US any good right now. Therefore, you need to have Plan “A” and Plan “B” ready in the next couple of months.

      I can tell you, since I’ve lived there for years, FL isn’t the greatest place to be. I can’t speak about TX or TN, although I lived in Memphis as a child, I don’t remember much about it other than good BBQ (LOL). FL is very humid, so you can expect to run the A/C pretty much 24 hrs a day from about April to October. The winter is the only pleasant time in FL. I’ve lived mostly in Tampa, St. Pete, and Sarasota areas back in the 60s and 70s. The biggest draw are the beaches, the biggest negative are bugs and humidity. That’s pretty much why I’m considering NV. I lived in Las Vegas in 2002 – 2003 and it wasn’t so bad, the heat didn’t bother me too much but the dryness was pretty bad. If I move back there, I’ll get a humidifier to go along with the A/C to add some moisture to the inside air. I’m also considering a house with a pool, only to have something to jump into to get away from the heat instantly.

      I’ve seen many homes for sale in Summerlin (nice area of LV) and the like for the high 300s – low 400s range, which, while not cheap, is much lower than CA prices for similar homes in nice areas. The biggest reason why NV and not FL or TX, is ease of moving. Less distance so less cost, and can visit friends in CA when you feel like it. Sure, it’s not ideal, but they’ve not given me any choice other than to leave. As I mentioned above, this won’t end here – they are itching to raise taxes and you can have no doubt that they will do so. They will never look at cutting expenditures, as they see us having a limitless capacity to pay for their mandates to support an illegal population. Plan accordingly.

  15. I am 56 years old make around only 30 to 40 k my health insurance for me and my 11 year old daughter every 2 weeks is 652 $ my wife pays 150 every 2 weeks I’m dropping my health care insurance and If I get sick or my daughter I’m walking into the Emergency room and seek medical assistant anyways I have lived in Cal my whole life at work the HR Dept never told our employees about Newsome mandatory new tax laws unbelievable, thank God Jesus is coming soon ever great country has fallen by the 4 generation from sin so have we God have mercy on America

  16. I am so outraged and offended that Newsome thinks it’s so important to give illegals healthcare. What about me, a citizen (no that’s not a dirty word) who has lived and worked and payed taxes in CA for 35 years and can’t afford insurance. Yeah, sure, let’s take more of my tax dollars and give healthcare to people who shouldn’t even be here. Talk about adding insult to injury. And tomorrow our wonderful, honest, concerned politicians are voting on whether they will cancel the road repair projects that were promised to voters in the TRANSNET sales tax hike in 2004 and transfer all the funds to bus and bike programs. Bus and bike programs, are you kidding me??? And, they want to propose an additional Sales Tax hike and a Congestion Tax on top of that! Remember all those ads they ran showing firemen and first responders saying how important it was to fix our roads to keep us all safer? Just another Democrat scam. Shame on all of them.

  17. Scott, I’m sorry to hear about the ridiculous amount you are paying every 2 weeks ($652), that is just plain outrageous. I don’t know how anyone can pay that kind of money for “insurance”. It would be far cheaper, as you say, to just walk in to an ER and get treatment. Tell them you’re here illegally, how can they send you a bill? Why do I get the feeling that’s exactly what a lot of Hispanic people do, even when they’re here legally – just say they are illegal and have no income. They won’t even question them, since it’s assumed that anyone from Mexico or further south is probably not legal. Much harder to convince them of that when you’re white or black. Also, as I said (and you mentioned) most people in our position (lower income, no insurance) are not aware of what’s coming on Jan 1 of next year, and it’s going to be quite a shock for them when they get a $695 per person fine (or 2.5% of whatever their income is, which could be a much higher fine). They passed this law with ZERO public comment and input. They just do whatever they please, they think we’re stupid tax donkeys that they can overburden forever.

    Carol, I’ve lived and paid taxes in CA for over 40 years now. I paid into SS, Medicare, CASDI, and every other program over the years while receiving zero benefit from any of it, other than my paycheck being considerably lighter every week. I am retired now, living on a fixed income and can’t afford the kind of payment that Scott mentions, I’d be broke overnight. I have enough to pay bills and have food to eat – I’m not on any form of gov’t benefits (too young for SS and Medicare) and pay my own way for everything. I don’t expect the government to pay for me, and I don’t expect to pay to support freeloaders, especially ones that shouldn’t even be in this country in the first place!

    As for the Gas Tax they imposed last July, that went up again a few days ago, I haven’t seen even one road being repaired around here. Maybe something is being repaired somewhere, but not in my area. You know all those extra billions of $$ are going into the general fund, where they will spend it as they please. And the gas tax will keep going up forever, every July 1. That’s already been written into law, BTW. Just another Demonrat scam, as you said, from NewScum (or NewScam, if you prefer).

    I’m still looking at houses in Las Vegas, as time goes by quickly and I need to have some escape plan formulated and ready. January will be here before we know it, and they we are trapped. I’m just plain sick about this, and haven’t slept well since I first heard about it, but I have to deal with reality and do something other than just sit and take it. I won’t be able to relax until I know I have dealt with this and have a way to protect myself from the thieves in Sacramento. Moving out of state, permanently, is the only way to escape the insane asylum that California has become.

  18. When will our governor start representing the citizens of this state and country before those who entered illegally and are leaching off our system that should help American citizens! Gavin Newsom can suck it!

  19. I just can’t afford to pay for insurance..I’m self employed and report about $ 60k a year of net income and barely can afford my rent, utilities, food, cell phone, internet, gas, car payment, credit cards, car insurance (mandatory) and life insurance because this days you are fine today and could die a few months right after because of cancer of any kind that it seems everyone already have and will simply develop and kill you in a flash leaving your family without a provider and with no savings (how can one actually save any money this days).
    I enjoyed for the shortest period of time the relief to know that I will not be penalized anymore for not having medical Insurance, which I paid every year during the federal mandatory period; only to realize that is the state time now who will be doing the same thing and for the same amount as it was with the Obama Care.
    I’ve read the comments from everyone else and can only share the same frustration. Is not only the state who found another way to squeeze money of you with enough excuses (whatever), but the actual insurance companies that are collecting the ridiculous premiums they expect you to pay plus deductibles and in exchange of what?, poor medical service care and even more expensive prescriptions. shouldn’t you have the right to opt out of this?; to not wish to give your limited funds to this thieves and to find your own alternatives like going out state for care or even of the country if it comes to that?…Sorry but everywhere else is cheaper than it is in the US because anything that have to do with medical care it’s just a big business that’s all.

  20. The Fractracker data showed that 8,493 active or newly permitted oil and gas wells were located within a 2,500’ buffer of sensitive sites. At the time it was estimated that 850,000 Californians lived within the setback distance of at least one of these oil and gas wells.

  21. Funding health care for “illegal immigrants” is a slap in the face (not to mention a boot in the backside) of every hard working, taxpaying California citizen. The Governor and the rest of the Communists in state and local government need to go. Immediately.

  22. This is scam! to us healthy people I’m one of those that make 50k a year and probably get sick once every three years, no where in my mind it makes sense for me to spend 2k+ a year on nothing, I get sick I go to the clinic pay 40-50 dollar for the consult get my prescription take it and return for a fallow up, I probably end up spending $300 all together in a year! Sacramento needs to get stop leaching of us.

  23. I ran from CA 2yrs ago. As a Realtor I was self employed and the taxes too high. I am so glad I left.. Remember you can move and many are. IF you need a Realtor let me know I will help you find one in the state you want to move.

  24. I really hate you people! Forcing me to pay for something I can’t afford…EVER! All I’m paying for is for someone who gets to have what I can’t!


    1. This is absurd! 50% of my monthly earnings go to rent and that’s not including utilities and other bills… My health premium at my job is 250.00 a month with a 7000 dollar deductable and that’s for the low coverage plan which I didn’t get since I can’t afford it. Plus covered California won’t cover me for less since my employer offers so called cheap health insurance.. the politicians are so out of touch with the common people and basic living expenses. While there easily making 1 million a year leisurely. I’m struggling day to day wondering if I’m going to have food on my table or gas to get to work. Even though I make 28k yearly I don’t even qualify for food aid or anything resulting in myself going to food banks where the quality of the food goes bad the next day or the day after.

  26. “Affordable health care” act isn’t very affordable is it? The title of the legislation is very misleading and the insurance policies are not even affordable. Who ever came up with this is and will be liable if we the people should pursue a class action lawsuit

  27. This is rediculous! I can’t even afford my workers so called low coverage health insurance at 250.00 a month with a 7000 dollar deductable. 50% of my monthly earnings go towards rent and that not including utilities and other bills. The politicians are all bought out and are totally out of touch with the working American.

  28. This is a perfect example of why me someone who was born and raised in California, and lots of other working class people left this crazy state, it has been taken over by morons, there are so many more better states to live in that don’t punish you for everything.

  29. Wow people blame the government it’s just mess up I rather pay taxes to my citizens and legal immigrants this is screwing up everything if taxes are high why not the salary will get high and lower the taxes for the business owner so it can hire more people.

  30. I don’t understand how CA can impose the penalty after it was deemed unconstitutional at the federal level. Also is there anyway we can sue the state on the basis that this law is unconstitutional? Has anyone talked to a lawyer? I wrote to Newsom but of course o response expected.

  31. My husband, son & I are all uninsured. I am a stay at home mom & my husband is a sole provider. We cannot afford the employer sponsored family plan coverage offered by my hubby’s employer ( it is 1200 a month—almost more than our rent payment of 1350)
    The state knows we cannot afford that because it is 16 percent of our income & they define affordability as 8.24 percent of income. However because my husband can get coverage for just him alone that is under the 8.24 per the entire family cannot qualify for Covered CA subsidies. This is called the “family glitch”. So my son & I cannot get health insurance thru employer or thru covered ca. My husband will not buy insurance for himself knowing he can’t buy it for his family (a man thing- i love him) and we cannot afford just his premium anyway since we have to be prepared to pay 100 per out of pocket for anything I or my son need medical wise. Now despite making 75,000 a year & not being able to afford insurance we are being penalized so the state can give subsidies to ppl who make double our income. My 10 yr old son cannot qualify for covered ca & has no health insurance but illegal immigrants up to age 26 can get free medi cal. Im not hating on immigrants (im latino) but how is this in any way ok? Also the penalties are astronomical! Our penalty is more than our entire tax bill to the state for the entire year!

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