California small business owners recently met with lawmakers in Washington, D.C. to discuss the small business agenda for the remainder of the session. NFIB members thanked Reps. Young Kim and James Gallagher for taking the time to meet with them.

State Budget Deadline Looms

Meanwhile, back in California, the state budget deadline is today, with lawmakers required to pass a budget by midnight or go without pay until they do. As of this morning, no final agreement has been announced between the Legislature and governor.

According to The Sacramento Bee, the deal announced by Democratic leaders in the Assembly and Senate leaves out a proposed tax on corporations who leave their employees reliant on the state’s Medicaid system, called Medi-Cal. Instead, the agreement relies on a tax on commercial health insurance plans to raise more revenue, which is expected to increase the cost of many working Californians’ monthly premiums.

Health Care Costs Continue to Rise

The cost of health insurance remains a top concern for small business owners in California. In fact, it has been the number one problem for small businesses in the state since 1986, according to NFIB’s quadrennial Small Business Problems & Priorities report.

In a rare showing of bipartisan support, the state Senate recently passed a bill that would require health insurers to cover anti-obesity medications, such as Ozempic. However, CalPERS, the health plan for 1.3 million public employees and retirees, is recommending its board oppose the bill due to the estimated $437.2 million increase in premiums.

Gas Taxes to Increase

California gas taxes are set to increase on July 1, with the state tax on a gallon of gas jumping to 63.4 cents. This does not include federal taxes of 18.4 cents a gallon on gasoline and 24.4 cents a gallon on diesel.

Original reporting: NFIB (National Federation of Independent Business) — read the source article.