The "Californians for Healthy Kids" campaign - which includes health care, religious, labor and business groups - seeks to build on enrollment gains in state programs and local innovations in 10 counties.
However, 1.1 million children did not have insurance for all or part of last year, the study concluded.
Schwarzenegger vowed in April that "during my administration, I want to make sure that every child will be insured and has health care."
On Tuesday, coalition leaders said the Republican governor's goal can be reached by consolidating state programs, simplifying the application process and tapping more federal funds.
"It's within our reach to make sure that every child in California has access to affordable health care," Wendy Lazarus of the 100 Percent Campaign, a member of the coalition, said at a Capitol news conference.
Coalition officials estimated it would cost the state about $250 million annually to complete the job.
Advocates say that nearly half the uninsured children in the state qualify for the Medi-Cal and Healthy Families programs, both financed partially with federal funds.
Coalition officials said the "Healthy Kids" statewide campaign would expand programs launched in 10 counties to provide coverage to children who fall through the cracks of existing public-private programs.
Under the proposal, which would require legislation, California's health care programs for children would be consolidated under one name, with one application.
Small businesses that cannot afford to provide family coverage to their workers could pay to enroll dependent children in the newer lower-cost program.
In addition, the income eligibility level of Healthy Families - currently less than $47,000 for a family of four - would be raised to assist more middle-class families.
Members of the coalition include the church-based PICO California Project, California Teachers Association, California Small Business Association and the Los Angeles Area Chamber of Commerce
Jim Keddy, director of the PICO California Project, said advocates have met with the governor's top health care adviser, Kim Belshé, secretary of the state's Health and Human Services agency.
"There's some interest on the part of the Governor's Office (that) this is something they're willing to look at," said Keddy, whose organization represents 400 congregations in the state.
Belshé was attending daylong administration budget meetings Tuesday and unavailable for comment, said her spokeswoman, Donna Kingwell.
Kingwell said the governor has "made it very clear" that he wants to expand health insurance for children.
"Of course, everything comes down to money ... so how do you do it?" Kingwell said. "Well, this program is a little bit different and seems to have some success."
The Santa Clara Family Health Plan launched the first "Healthy Kids" program in the state in January 2001.
Chief Executive Officer Leona Butler said the program has since provided coverage for all but 5,000 children not eligible for Medi-Cal or Healthy Families.
Seventeen counties are about to launch similar programs and four - including Sacramento - are in the development stage.
Kelly Bennett Wofford, project director of the "Cover the Kids by 2006" campaign in Sacramento, estimated that two-thirds of the 30,000 uninsured children in the county are eligible for Medi-Cal or Healthy Families.
Wofford said the county is entitled to $10 million from First 5 California, the commission that disburses Proposition 10 tobacco tax money.
"We need to fund-raise for the 6-to 19-(year-old) population," said Wofford, who said area hospitals, foundations and the United Way are joining the effort.
About the writer:
- The Bee's Aurelio Rojas can be reached at (916) 326-5539 or arojas@sacbee.com
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