Governor Arnold Schwarzenegger, after his final State of the State address yesterday (Wednesday January 6), will submit his budget plan tomorrow (Friday January 8). Reports from sources such as the Capitol Weekly and California Healthline, suggest that the Governor will ask the federal government for waivers to reduce the number of low-income Californians enrolled in state health care programs.

He may also call the State Legislature into emergency session to confront a $6 billion budget gap in the current fiscal year.

Schwarzenegger is expected to ask for federal waivers because California cannot cut funds from health care and education programs without forfeiting billions of federal stimulus dollars. If the Governor does receive these waivers, cutting state healthcare programs might be possible. It is also theoretically possible that programs that affect your patients, such as In-Home Supportive Services or CalWorks, the state's welfare assistance program, could be eliminated.

The new fiscal year begins July 1.