Thursday, April 14, 2011

Budget Cuts in California

We've all been hearing about the budget crisis at both the Federal and State levels. Cuts to funding of programs dealing with our elderly hit many people especially hard at this time of recession when caregivers and family and friends look to these services for help. In California, our Governor has outlined some of the cuts he signed. In an update from the Alzheimers Association, here is what our State Government has proposed:

Governor Brown Signs Legislation that includes $6 billion in cuts to Health and Human Services programs. Who will lose funding? Late in March, Governor Brown approved the following budget cuts:


1. Elimination of Medi-Cal reimbursement to Adult Day Healthcare (ADHC) programs (effective6/1/11)


2. Cuts to In-Home Supportive Services (IHSS) (effective 7/1/11)

3. Additional ge neral Cuts to Medi-Cal (effective 7/1/11)


What does that mean and why should you care?


4. Adult Day Health Care loses Medi-Cal Funding As many as 80-85 percent of the low-income participants in adult day health care (ADHC) programs are there because the program receives funding from Medi-Cal to serve these individuals. This means ADHC programs must be condensed; days shortened; staff let go; become social, private pay programs; or possibly close their doors completely.


Every ADHC in the state is now considering what populations they can serve including whether they will continue to serve people with Alzheimer's disease -- who are often the most service intensive and who need extensive supervision and support.


IHSS - $486.1 million reduction in funding.

Governor Brown eliminated domestic services from outside providers (i.e. cleaning and meal preparation) for recipients who are living with a care partner. The reduction requires all participants to be reassessed and to obtain certification from a licensed health-care professional that says without in-home supportive services, the recipient is at risk of being placed in a skilled nursing facility. This costly measure to reassess each and every individual will be a barrier of many days, weeks or months for frail or disabled people to receive needed services.

Medi-Cal - $584 million in savings, achieved through new mandatory co-payments on prescription drugs, physician and dentist visits, emergency room visits, and hospital stays.

What's Next?


We can't be sure, but we do know that these cuts are going to become law. The hope that a ballot initiative will be prepared immediately and allow for new revenue is no longer an option. It appears increasingly likely there will be an initiative to gather signatures for a November ballot measure; however, that would be about NEW tax increases that expired in July. This will almost certainly create a great deal of controversy.

In the absence of other alternatives to solve the continuing budget shortfall, the legislature and governor may be forced to implement further cuts. Elimination of some programs is a very real possibility in the absence of revenue-creating solutions.


What Can You Do?

Know your legislators and their websites, emails and phone numbers Call or email your representative. Tell him or her your story and how Alzheimer's impacts your life. As a constituent, make it clear that complete elimination of programs and services is unacceptable for you and other millions of Californians who rely on these programs.

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