Tuesday, October 19, 2010

2010 Initiatives – Their Effect on You

Referendum 52 – Healthy Schools for Washington
Many schools across Washington State have harmful toxins such as mold, asbestos and lead. Lead poisoning, particularly from old paint, is the most common environmental hazard that causes developmental problems. More than one in 25 American children have blood lead levels high enough to lower IQ or cause learning disabilities, violent behavior, attention-deficit disorder or hyperactivity.
Ref. 52 would use existing taxes to create 500 million dollars of bonding capacity to fix old, unsafe schools. Every school district in the state could get funding through competitive grants. Ref. 52 will also save taxpayers $130 million a year in reduced energy costs once buildings are updated and modernized and it will create 30,000 new construction jobs across our state. (www.HealthySchoolsForWA.org)
Initiative 1098 – Washingtonians for Education, Health Care & Tax Relief
A coalition of business, labor and community leaders, including Bill Gates, Sr., designed this initiative to provide badly needed funding prioritized for education and basic health services. I-1098 will raise $1 billion per year by taxing singles who make over $200,000 a year and couples making over $400,000 a year, only about 3% of our state’s population. The majority of other taxpayers will pay less by reducing the state property tax by 20% and increasing the small business tax credit from $420 a year to $4,800 a year. Small businesses are now required to pay B&O taxes even when they are losing money. I-1098 will eliminate this tax, making it easier for them to keep current employees and create even more jobs.
The income level cannot be changed to include more than those making the income listed above without a vote of the people. There would be regular audits and full public disclosure to ensure the funds are used for education and health services. Monthly reports on deposits, withdrawals and balances will be posted on the web. (www.YesOn1098.com)
Initiative 1100 and Initiative 1105 – Privatizing liquor stores
Currently, $330 million generated from taxes and the sale of liquor fund core public services for both state and local governments such as health care, law enforcement and education. I-1100 stops the state’s operation of liquor distribution by June 15, 2011, I-1105 stops it by November 15, 2011. Over 5 fiscal years, I-1100 is estimated to decrease state revenues between $76 million - $85 million while for that same time frame I-1105 is estimated to decrease state revenues between $486 million - $520 million. If state liquor stores are privatized, that also eliminates the state’s current avenue for selling lottery tickets, I-1100 would decrease lottery revenues $1,327,000 over 5 years and I-1105 would decrease lottery revenues $1,194,000. Washington State would have an estimated cost of $313,000 during the next biennium to make the changeover. (www.protectourcommunities.com) (http://ofm.wa.gov/initiatives/)
Initiative 1053
During the last legislative session the legislature suspended I-960 until the summer of 2011 in order to avoid an all cuts budget. I-1053 would reinstate I-960 and require a 2/3 vote of the legislature in order to raise taxes or create new taxes. If the legislature had not suspended I-960 during this bad recession it would have had to make severe cuts to public services. If I-1053 does pass, the legislature will have no choice but to cut more services in order to make up for the $3 billion shortfall the legislature is expected to face. This means cuts or elimination of state funded services such as Individual and Family Services as well as Medicaid coverage of dental, vision, therapies and other services. (www.sos.wa.gov/elections/initiatives/text/i1053.pdf)

Initiative 1082 – Privatizing the public worker’s compensation system

Our current public worker’s compensation system is regarded as a national model of efficiency. In I-1082 the insurance industry would like to privatize our worker’s compensation system. I-1082 would allow big insurance companies to prioritize profits over ensuring workers are able to fully recover before returning to work from a work related injury. These companies would look for low-risk, profitable businesses and leave the state with the high-risk businesses, and taxpayers would shoulder the cost.
I-1082 will hurt small businesses as they will not have the power of bigger businesses to get low rates. I-1082 also eliminates the worker’s contribution to the system, which would increase rates for businesses by at least 25% and mean lay-offs for many small businesses. AIG, which was a major player in the collapse of our financial system, is a major player in the private workers’ compensation market. (VOTENO1082.com)
Initiative 1107
In the 2010 legislative session, legislators worked to avoid an all cuts budget and to protect core public services by passing a small, temporary tax on soda pop, bottled water, candy and gum. Adding about 2 cents to a bottle of water or can of pop brings $352 million to our state over the next five years to help keep education, the Basic Health program and other services from being stripped. The legislature passed this tax only after having to cut $4 billion from Basic Health and nursing homes and suspending initiatives to reduce class sizes in education. I-1107 would repeal this small tax on items that are not essential to consumers. The tax does not affect food products, even though claims are being made to the contrary. It will actually increase B&O taxes for some businesses as well.

For additional information:
Washington Secretary of State


State of Washington Office of Financial Management


Washington State Budget and Policy Center

(put together by Washington State Arc)

Public Hearing on Affordable Housing

Public Hearings Re: 2011 Action Plan and Program Performance

Snohomish County will hold two public hearings to solicit citizens’ views on priority needs for the use of CDBG, HOME, and ESG federal grant funds for affordable housing and non-housing community development (ex. public services, public facilities, infrastructure, economic development) activities for the 2011 program year. The hearings will also report on and receive citizens’ views on program performance under the Snohomish County 2005-2009 Consolidated Plan. The County will also respond to proposals and answer questions.

The hearings will be held on:

Date: Monday, November 1, 2010

Times: First hearing will be held at 12 noon
Second hearing will be held at 6 p.m.

Location: Meeting Room 6A02
Snohomish County Robert J. Drewel (Admin East) Building
3000 Rockefeller Avenue
Everett, WA 98201

Persons unable to attend the hearings may submit written comments prior to the hearing date.


Best regards,

Sue Tracy, Senior Grants Analyst
Snohomish County Office of Housing, Homelessness,
& Community Development
Phone: (425) 388-3269
Fax: (425) 388-3504

ADSA Reorganization

Greetings:
Today I am pleased to announce the appointment of MaryAnne Lindeblad, Director of the Division of Health Care Services in the Medicaid Purchasing Administration, as the new Assistant Secretary for the Aging and Disability Services Administration effective November 1. MaryAnne brings a unique background, skill set, and experiences that will serve us well as we continue our efforts to build a strong system of care for our elders and persons living with developmental disabilities.
MaryAnne began her career with DSHS in 1977. Her first job was as a nursing care consultant in what is now ADSA. Lindeblad returned to DSHS as a division director in 2002. Prior to that, she served as assistant administrator at the Health Care Authority, where she managed the Public Employee Benefits Board’s programs for about 300,000 active and retired state employees. Earlier, she directed operations for Unified Physicians of Washington, a statewide physician-owned health plan, from 1994 to 1997. She has a master’s degree in public health from the University of Washington.
MaryAnne serves on the Medicaid Managed Care Technical Advisory Group, chairs the Long-Term and Chronic Care Committees of the National Academy for State Health Policy, serves on the Board of the Olympia Free Medical Clinic and the Family Support Center in Olympia, and is a member of the Advisory Board of the Evergreen State College Masters in Public Administration Program.
Under MaryAnne’s leadership, we will maintain our Department-wide commitment to assure that all people live safely, with dignity and fullness of life.
I know you join me in thanking Kathy Leitch for her service as Assistant Secretary of ADSA since 2000 and recognizing her many accomplishments for our state. She has worked tirelessly on behalf of our aging and developmental disability communities her entire career. She is one of a handful of national experts in the field of caring for our elders and people with physical and mental disabilities in their own homes and communities. We are recognized nationally for how far ahead of the nation we are in our home- and community-based system of care in both our long-term care and developmental disabilities systems. Kathy has been courageous and steadfast in her efforts in advocating at the state and national levels to protect vulnerable citizens from abuse, neglect and financial exploitation. She has positioned us well as we now move forward to reform our health care delivery system and further our efforts to increase the capacities of our systems that provide critical services for our elders and persons with physical and developmental disabilities.
In the future, Kathy will be working with MaryAnne on our initiatives to improve the quality of our adult family homes and modernize our adult protective services system. Kathy will also continue her work as we strive to build capacity and improve the quality of care and services we provide to people with developmental disabilities.
MaryAnne, as Director of the Division of Health Care Services in the Medicaid Purchasing Administration, has brought strong, innovative leadership in creating a state chronic care management program founded on targeting resources where they can achieve the best results and on helping consumers manage their own health. MaryAnne is a champion for the health home concept and other programs that focus on improving access to quality, integrated and affordable health care and services for low-income and vulnerable populations.
Last year, she was one of six Medicaid directors chosen nationally to participate in the inaugural class of a Medicaid Leadership Institute. The Institute, launched by the Robert Wood Johnson Foundation and chaired by former Wisconsin Governor and former U.S. Secretary of Health and Human Services Tommy Thompson, is aimed at building leadership in the Medicaid system and helping the state-federal programs serve as national models for high-quality, cost-effective health care.
I look forward to her continued leadership in making sure we maximize all of the many opportunities national health care reform will bring us to further improve the lives of our citizens.
I know that MaryAnne is looking forward to meeting you and all of our many partners as we continue our work together in the future. We are in historic and unprecedented times. Now more than ever we need to be working together to leverage every possible resource so that we continue to move forward as a state that is committed to our most vulnerable citizens.
MaryAnne will begin as Assistant Secretary of ADSA on November 1. Please join me in welcoming MaryAnne to ADSA. I am confident she will do an excellent job for our State.
Susan N. Dreyfus, Secretary
Department of Social and Health Services
October 15, 2010

Health Care Reform/ Social Security

The Capitol Insider for the Week of October 18, 2010

Major Events Last Week

Health Care Reform

A federal judge in Florida issued a ruling allowing a lawsuit to go forward challenging the constitutionality of the Affordable Care Act (ACA). The lawsuit was filed by 20 states, led by Florida, against the federal government to halt implementation of the new law. The ruling outlines which issues the states will be allowed to proceed with in the case. While Judge Roger Vinson dismissed several issues, he will allow the states to proceed on the following issues: whether the law's individual mandate requiring people to buy health insurance exceeds Congress's constitutional authority and whether the law's expansion of Medicaid eligibility to additional low-income people violates state sovereignty because it will require states to spend billions more on the program. Also last week, in a suit brought by private parties in Michigan, another federal judge upheld Congressional authority to establish the individual mandate to purchase health insurance. In Virginia, a similar lawsuit is scheduled to begin oral arguments today. The Arc and United Cerebral palsy (UCP) participated in an amicus brief supporting the ACA in the Virginia case. The judge in the Florida case refused to accept amicus briefs. These lawsuits could take years to be decided with certain cases making their way to the Supreme Court.

Social Security/ Cost of Living Adjustments (COLAs)

On October 15, the Social Security Administration (SSA) announced that monthly Social Security and Supplemental Security Income (SSI) benefits will not automatically increase in 2011 because there was no increase in the Consumer Price Index from the third quarter of 2008 (the last year a COLA was determined) to the third quarter of 2010. This will be the second consecutive year without an automatic COLA. In the SSI program, the maximum federal payment for an individual will remain at $674 per month. For couples, the maximum federal payment will remain at $1,011 per month. SSI resource limits will remain at $2,000 for individuals and $3,000 for couples.

SSA announced that it will also not increase the 2011 substantial gainful activity (SGA) level used to determine disability. Therefore, the SGA level for people with disabilities will remain at $1,000 per month in 2011, while the SGA level for people who are blind will remain at $1,640 per month. Similarly, while last year SSA increased the amount of earnings required to earn quarters of coverage, or work credits (used to determine whether an individual has contributed enough to the Social Security system to be eligible for disability, retirement, and survivor benefits), SSA has indicated that the earnings needed to earn a quarter of coverage will not increase for 2011. For more information, see:
http://www.socialsecurity.gov/pressoffice/pr/2011cola-pr.htm

Social Security /One-time payment

Following the SSA’s announcement of a second year without a COLA for Social Security and SSI beneficiaries, Democratic leadership of the House and Senate and the White House have announced support for legislation to enact a one-time payment of $250 for beneficiaries. For the typical retiree with a benefit of nearly $1,200 per month ($14,000 per year), the $250 payment amounts to about a 1.7 percent annual increase. Beneficiaries with disabilities, particularly those who receive SSI benefits, typically receive lower benefits than retirees; therefore a $250 payment would equate to an even higher percentage increase for them. Representative Earl Pomeroy (D-ND) introduced legislation in July to provide a one-time $250 payment, at a cost of $14 billion. House Speaker Nancy Pelosi (D-CA) and Senate Majority Leader Harry Reid (D-NV) have indicated their intentions to have the House and Senate, respectively, vote on legislation to provide the $250 payment when the Congress returns for a lame duck session after the November elections. White House Press Secretary Robert Gibbs noted that President Obama will renew his call for a $250 Economic Recovery Payment to seniors this year, as well as to veterans and people with disabilities. He also urged "Members of Congress on both sides of the aisle to support our seniors, veterans and others with disabilities who depend on these benefits".

Friday, October 15, 2010

ADSA FY 2011-13 Reduction Proposals


STATE OF WASHINGTON

DEPARTMENT OF SOCIAL AND HEALTH SERVICES

P.O. Box 45050, Olympia, Washington 98504-5050

October 7, 2010

TO: ADSA Staff and Stakeholders

FROM: Kathy Leitch, Assistant Secretary KL

Aging and Disability Services Administration

SUBJECT: ADSA FY 2011-13 Ten Percent Spending Reduction Proposals

My September 29th memo to you on current-year budget reductions promised information about what has been submitted by DSHS/ADSA for the Governor’s consideration as she prepares her budget proposal for the 2011-2013 biennium.

Unfortunately, the revenue picture is not significantly brighter for 2011-2013. Each agency was asked to submit options to reduce state spending by 10%. That target is not in addition to the 6.3% current-year across-the board reductions I outlined last week. As you will see, we carried some of those proposals forward through the biennium, did not carry others forward, and have identified several new options.

Previously I said the state will be bringing fewer resources into its partnerships than planned and service recipients and their families will need to assess their ability to do more, service providers will need to reassess and revise their business models, we will ask more of the federal government, and labor, local communities, and governments will need to help sort out their priorities and what role they can play in streamlining government. I also said that given the magnitude of these changes there inevitably will be some services that will no longer be provided.

While we have a bit more latitude to be strategic as we approach 2011-2013, those statements are still accurate and will frame our discussions as we move forward.

ADSA’s proposals would reduce its expenditure of state general funds as follows:

Long Term Care $ (272,404,000)

Developmental Disabilities $ (98,915,000)

Mental Health $ (68,512,000)

Alcohol and Substance Abuse $ (18,083,000)

Total $ (457,914,000)

The figures above include an increase of $169M in “other” revenues for ADSA programs (primarily through increased federal match and increased fees). An increase in “other” revenues allows a corresponding decrease in expenditure of state general funds. The balance of the reduction in state general fund spending comes from cuts in programs.

The program specific steps are outlined in the attached chart. Details for all DSHS programs, including ADSA’s, can be found at the DSHS Budget Page. Beginning this week, OFM will begin reviewing agency proposals and we will work throughout the fall to refine those ideas as the Governor’s budget is developed and then finalized in December.

As you can see from the attached chart the types of actions we can take fall into the same categories as before, except there are also several new ideas for 2012-2013 that will increase revenues from non-state sources. In summary:

· Most of the 6.3% current year reduction proposals are continued through the biennium, with the following major exceptions (by category):

o ADSA Reductions: Temporary layoffs for employees are not continued.

o Rate Changes: Boarding home rate reductions; reduction to AAA Case management rates; and DDD SOLA reductions are not continued.

o Service Reductions: Suspension of the Individual and Family Support program for families who support people with developmental disabilities; reduction in funding for the Senior Citizen Services Act; suspension of entry to the Children’s Intensive In-Home Behavioral Supports program; and the reduction to Youth Detoxification are not continued.

· There are several items that appear for the first time on the biennial list:

o Service Alternative: A proposal to purchase health care for direct care workers employed by homecare agencies at a lower cost through the BHP or other Health Care Authority health plan options (DDD and LTC).

o Service Investment: Additional funding for the Volunteer Services Program to increase the number of volunteer hours provided in support of vulnerable adults; incentive-funding for nursing homes to engage more fully in the home and community-based service system; and an additional investment in the Family Caregiver Support Program to slow entry of clients into the Medicaid system (LTC).

o Additional Revenues: Five new revenue proposals that would create a net reduction of $153.3M in state general fund expenditure:

§ A proposal to extend a revenue-generating public utility assessment on DDD community residential providers, licensed boarding and adult family homes and home care agencies (DDD and LTC).

§ A shift of current in-home service participants to the new Community First Options Program under Medicaid, which provides a higher federal match rate (DDD and LTC).

§ Implementation of a quality assurance fee on nursing homes (LTC).

§ A Vulnerable Adults Safety Improvement Package that improves the abuse response system and covers more facility oversight costs through increases in facility license fees (LTC).

§ An increase in fees for licensing, certification, and regulatory oversight of chemical dependency treatment programs and community mental health agencies (ASA and MH).

As always, I will continue to keep you informed as we move toward the upcoming legislative session.

Attachment

Thursday, October 14, 2010

Message from the Governor

Dear Stakeholder:

You likely remember the headlines from a few weeks ago that announced the recession was over. Mathematically that may be accurate, but we know we still have a long way to go to rebuild our economy.

In the wake of reduced spending and hiring, there is still more to be done to balance our state budget. I want to take a moment to explain the need for across-the-board cuts, and what will happen next.

As the economy continues to sag and spending remains at a low level, state revenue continues to decline. At the same time, caseloads are increasing for public education and health care services. It is a cycle that is devastating to the people who rely on state services and difficult for state workers to endure. The supplemental budget passed this year left a $453 million ending fund balance, or surplus, in the state budget. However, the two revenue forecasts since May have been well below expectations. The state lost $203 million in the June forecast and $770 million in September. These reductions turned our $453 million surplus into a $520 million shortfall.

When a shortfall is projected, the law requires that I take action to balance the budget — either through spending reductions referred to as “across-the-board cuts,” or by calling a special session of the Legislature. Legislative leaders could not reach consensus on a special session. Thus, I had to direct agencies to reduce spending by 6.3% starting October 1. Agencies have submitted their reduction plans, which you can view at http://www.ofm.wa.gov/reductions/default.asp.

By law, across-the-board reductions leave no discretion to a governor. They apply to all branches of state government and to all agencies headed by elected officials that receive appropriations from the General Fund.

Though across-the-board cuts do not allow us to pick and choose the reductions we must make, we can use the supplemental budget to address some of the most compelling concerns these cuts raise, but the same level of cuts must be made. That supplemental budget will be presented to the Legislature, and legislators have the opportunity to take swift action when they return to Olympia.

Let me be clear: 1) cuts at this level in a fiscal year are a real challenge, and 2) balancing the budget through across-the-board reductions is difficult. The services we have to reduce are often the very ones we want to protect. These are hard times, and they are hard for me and for the state family I have known for the past 30 years of my career.

For me and my administration, this presents an unprecedented challenge in historic times. We have to do what we could never have imagined.

Simply put, we will emerge from this recession a much different state than when we started. We will still focus on the things we are proud of: protecting our most vulnerable citizens, keeping the public safe, stewarding our natural resources, educating our children, and creating the jobs of the future (lots of them!). But the way state government delivers on our promise will, by necessity, change. We are in that transformation now and I know it has created uncertainty and unfamiliarity.

When the Legislature returns, it will need to pass the supplemental budget and the added challenge of an operating budget that addresses a projected nearly $4.5 billion shortfall for the 2011–13 biennium. We all have a very tough job ahead of us. I welcome ideas from you, and citizens across the state, to transform our budget, prepare for the future and live up to our values.

Even in these hard times, I see hope. This is a time for us to work together and to support one another as we handle these difficult times. As partners, we will make our state an even better place to live and work.

Sincerely, Chris

Monday, October 11, 2010

The President Signs Rosa’s Law

The President Signs Rosa’s Law

E-Newsletter Issue Date: Monday, October 11, 2010

On Friday afternoon, President Barack Obama put his pen to work signing the Twenty-First Century Communications and Video Accessibility Act of 2010 into law, delivering brief remarks on the impact of the law on people with disabilities and celebrating Rosa’s Law. The law, which was enacted by the President on Tuesday, substitutes the term “intellectual disabilities” for “mental retardation” in many federal laws.

Self-advocates William Washington (The Arc’s national office receptionist), Jill Egle (Co-Executive Director, The Arc of Northern Virginia) and Jeremy Jacobson (son of The Arc’s Chief Development and Marketing Officer Trudy Jacobson) joined Paul Marchand, Director of the Disability Policy Collaboration to represent the intellectual and developmental disability community whose advocacy resulted in this bill.

Nine-year-old Rosa Marcellino, for whom the law was named was in attendance with her family and received a hug from the President. Also in attendance were the bill’s sponsors, key policy leaders and musician Stevie Wonder.

Rosa’s Law was passed by the Senate earlier this year and passed the House in September. Self-advocates and The Arc have led the effort to get the bill enacted as part of a nationwide effort to remove the stigma of the “r-word.” The majority of states have altered their terminology by replacing the term “mental retardation” with “intellectual disability” in state laws and in the names of state agencies that serve this population.

Changes in terminology are another stepping stone toward realizing a more inclusive society. The Arc was instrumental in the passage of Rosa’s Law by galvanizing support across the nation and through vigorous advocacy. “We have achieved another historic milestone in our movement. We understand that language plays a crucial role in how people with intellectual disabilities are perceived and treated in society. Changing how we talk about people with disabilities is a critical step in promoting and protecting their basic civil and human rights,” said Peter V. Berns, CEO of The Arc.

The Twenty-First Century Communications and Video Accessibility Act increases accessibility for people with sensory disabilities to modern communications, such as internet access over smart phones. The Arc also advocated strongly for this legislation and celebrates its enactment.

on behalf of DSHS Secretary Susan N. Dreyfus

This message is sent on behalf of DSHS Secretary Susan N. Dreyfus

October 5, 2010
Dear Stakeholders, Partners, Community Leaders and Colleagues:
As I said last week in my message and in our videoconference on Thursday, the 6.3 percent across-the-board spending reductions we announced would not be the end of budget reductions the Department will face in the short term. Given the revenue forecasts for the 2011-13 biennium, which begins July 1, 2011, the Governor’s Office of Financial Management has asked all Executive Cabinet agencies to submit additional reductions totaling 10 percent (Details are now posted on the DSHS Budget Web page).
Unlike the 6.3 percent, the 10 percent reductions we have developed for the next biennium are not going into effect now. We, along with other agencies, we will be working with OFM throughout the fall to refine the spending reduction options as the Governor’s 2011-13 biennial budget proposal is developed. The Governor’s budget proposal will be submitted to the Legislature in December for consideration during the 2011 legislative session, scheduled to begin January 10. The Legislature will adopt a budget for the 2011-13 biennium that we will begin to implement in July of 2011.
Beginning this week, OFM will start reviewing the spending reduction options submitted by all Cabinet agencies. This 10 percent reduction is not in addition to the 6.3 percent reductions. We carry forward into the biennial budget proposal many of the 6.3 percent reductions announced earlier this week, but the biennial budget process allows us to be more strategic in regard to our approach. It provides an opportunity to reinvest a portion of some of the reductions to help build stronger home- and community-based services. While these investments may be short-term in nature, these investments are intended to allow our community partners some flexibility and increased capacity to address expanded areas of social service needs in their communities.
We believe a thoughtful, strategic budget is one way we will bring to life our Framework for the Future. These reductions are not just about reducing, but about resetting in a sustainable way for our future. We must re-examine the work we do -- in light of the Governor’s eight budget development questions and our Department-wide efforts to:
strengthen and expand home- and-community-based service delivery systems
provide integrated case management services to high-need/high-cost individuals and families
and control General Funds-State expenditures while preserving services for our most vulnerable citizens.

I welcome your comments and questions at StakeholdersFeedback@dshs.wa.gov.
Thank you for the great work you do every day and your leadership.

Susan N. Dreyfus, Secretary
Department of Social and Health Services

Kelly Church
Parent/Family Coalition Co-Coordinator
425-258-2459 x 107
The Arc Of Snohomish County
kelly@arcsno.org