Governator vetoes universal health care

For the second time in three years, Gov. Arnold Schwarzenegger on Tuesday vetoed legislation that would have established a government-run universal health care system.

Senate Bill 840 by Sen. Sheila Kuehl, D-Santa Monica, would have set up a single-payer system in which the state would assume the role that private insurance companies now play.

In his veto message, the governor said he could not support "a bill that places an annual shortfall of over $40 billion to our state's economy."

"According to the Legislative Analyst's Office, the bill is estimated to cost $210 billion in its first full year of implementation and cause annual shortfalls of $42 billion," Schwarzenegger said.

The veto came nine months after Kuehl, the chair of the Senate Health Committee, and other Democrats joined Republicans in voting against the governor's health care expansion program, which would have required most employees and employers to contribute to the cost of their health care.
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