Effects of Proposition 13 on Health Care Services for Mothers and Children in California

Abstract

I _ 5 capping amendment to the California constitution, was e 9 approved by nearly two-thirds of the voters in that state on June 6, 1978. The amendment established a ceiling on local property taxes of 1% of the 1975-76 assessed value, which had the effect of very quickly eliminating seven billion dollars of the $11.4 billion which would have been collected in 1978-79. At that time, the projected loss of revenue from that source to the counties, cities, and school districts was in the vicinity of 6o percent. However, the immediate impact was significantly mediated by the state's provision of a "bailout package" to the counties, cities, and school districts from an accumulated $4.1 billion surplus. Consequently, the immediate loss of revenue amounted to only 9.7% in fiscal year 1978-79. Nonetheless, concern remained that curtailment of public services in the health care service area mnight occur as a result of Proposition 13. Thus, a system of state-wide monitoring of the delivery of health care to mothers and children was established in 1979-80 to assess possible effects of Proposition 13. In the first stage of the study, baseline data for fiscal year 1977-78 (the year just prior to the passage of Proposition 13) and for 1978-79 (the year just following the passage of Proposition 13) were collected by mailing study questionnaires in 1979-80 to all California county health departments, all Regional Centers for Developmentally Disabled, and all hospitals with accredited residency training programs in pediatrics and in obstetrics/gynecology. The questionnaires were developed and pretested with advice from an advisory committee.