BILL NUMBER:  SB 1198
  VETOED	DATE: 09/30/2008




To the Members of the California State Senate:

I am returning Senate Bill 1198 without my signature. The addition of
a new mandate, no matter how well-intentioned, will only serve to
increase the overall cost of health care.  This mandate is estimated
to increase premiums for private employers by almost $120 million
dollars annually. Enrollee contributions would increase by over $32
million annually. The hardest hit population would be the small group
market - the small businesses that are most sensitive to price
changes and struggling to keep their employees covered at all.

We cannot afford to increase these costs without enacting other
measures that improve efforts aimed at prevention, address
affordability of care and share responsibility between individuals,
providers, employers and government.

For these reasons, I am returning this bill without my signature.

Sincerely,



Arnold Schwarzenegger