Governor Gavin Newsom unveiled his plan Wednesday that he says will save Californians big money on prescription drugs.
Newsom will join Los Angeles County leaders to make a major announcement in the fight to lower prescription drug prices.
Newsom is in Downey where he says a new plan will save the state a lot of money on prescription drugs.
He says an executive order he signed lets California bargain with big drug companies to negotiate lower prices.
The governor says costs are just way too high right now.
It's projected this fiscal year that Medi-Cal will spend about eight billion dollars on prescription drugs.
Newsom says drug companies charge so much because they've been allowed to now he says that has to stop. Just moments after getting sworn in, Governor Newsom signed an executive order to create one of the nation’s biggest single-purchaser systems for drugs.
In an assessment by the state legislative analyst, the carve-out can be expected to promote Medi-Cal savings.
Elsewhere, Newsom is promising full funding for efforts to tackle the homeless crisis. He told a roundtable of formerly homeless people and community leaders in San Bernardino that extra cash will be found as he revises the state budget:
"We will have your back and will be providing an unprecedented amount of resources. We are here for the long haul, not just this year, we will be here for many, many years if we are going to turn this around. This is going to take a long time. I don't want to overpromise but if people see progress, they will see momentum," he said.
He says he is looking for new approaches to the crisis and praised work by San Bernardino County to convert run-down motels into housing for the homeless.