Covered California expansion.

Assembly Member Arambula's proposal to expand Covered California would establish a pathway for California residents to access health insurance coverage regardless of immigration status, replacing the current requirement for federal waivers with a state-administered program. The initiative would take effect no earlier than January 2027, contingent upon legislative appropriation, with enrollment opening October 2028.

The legislation requires Covered California to develop and implement a program offering health coverage options substantially similar to those available to other state residents. Health insurers participating in Covered California's individual market would need to extend identical qualified health plans to newly eligible enrollees. The Exchange would establish annual program designs through board resolutions, incorporating input from stakeholders and the public.

To support implementation, the bill creates the Covered California for All Fund within the state's General Fund to receive and manage user fees and appropriations. The Exchange must conduct targeted outreach and marketing while protecting applicant privacy - collecting only information necessary for eligibility verification and program operations. Regular progress reports to the Department of Finance and Legislature would be required each May from 2027 through 2029.

The measure responds to data showing undocumented Californians contribute approximately $3.7 billion annually in state and local taxes while facing barriers to subsidized health coverage. The bill's authors frame the expansion as addressing historical disparities in healthcare access among immigrants and communities of color.