Archive | May, 2009

Wage Cuts Imminent for CA Home Care Workers

In California, cheers from SEIU and other homecare supporters over the state’s abandonment of a plan to slash wages for home health workers (“Wage Cuts Avoided for CA Home Care Workers“) gave way to renewed protests last week as the state revisited the plan after being told that it does not, in fact, violate the terms of the American Recovery and Reinvestment Act (ARRA) (“U.S. backs off threat to withhold California stimulus money,” Los Angeles Times, May 20).

The new ruling came a day after California voters rejected a series of fiscal ballot initiatives intended by Gov. Arnold Schwarzenegger to help fix the budget.

In response, Schwarzenegger brought back the plan to cut wages for home care workers and began announcing a series of draconian cuts to state programs that would include, among other things, the complete elimination of welfare and medical insurance for low-income families.

“I understand that these cuts are very painful and they affect real lives,” he said. “This is the harsh reality and the reality that we face. Sacramento is not Washington — we cannot print our own money. We can only spend what we have” (“California faces its day of fiscal reckoning,” Yahoo! News, May 23).

SEIU and others react

SEIU and other homecare advocates have been swift to respond. On May 22 more than 5,000 homecare providers, care recipients, and disability and senior advocates rallied in front of the California State building in downtown Los Angeles to protest the proposed cuts to the state’s home care program.

On Tuesday — the very day that Schwarzenegger outlined a plan to cut funding for even more state programs– SEIU launched a planned month of protests, began a 48-hour vigil on the grounds of the state capitol, and filed a class action lawsuit seeking a preliminary injunction to stop the State of California and Fresno County from cutting home care worker wages and reducing care hours for seniors and people with disabilities. The suit charges that the cuts will put these people at risk and violate the ADA and federal Medicaid law.

On Wednesday the Los Angeles Times ran a letter from Pauline Beck, the California home care worker with whom Obama prominently spent a day during his presidential campaign in 2007, in which Beck pleads with the President not to let Schwarzenegger cut home care workers’ wages and hours. SEIU also began airing a television ad (see video at top of post) this week in the Los Angeles, Sacramento, and Fresno media markets, which shows presidential candidate Obama with Beck at her client’s home. The ad praises Obama for appreciating the commitment of home care workers to their clients and then challenges Gov. Schwarzenegger as someone who “doesn’t see [elders and people with disabilities] at all.”

Dr. Susan Chapman, associate professor at the University of California—San Francisco Department of Social and Behavioral Sciences, warns that California’s health care workers may be overlooked. “Some of the importance of the home care issue gets lost in the overall picture of California’s giant fiscal crisis,” she told PHI.

She described the plan to take money away from California’s In-Home Supportive Services program as “short-sighted,” since “it may create a situation where more people have to resort to institutional care, which is far more expensive.”

She also said the negative impact on homecare workers themselves may hurt the state’s economy. “These people have to survive, and their wages are already so low that cutting them further will only make these workers more reliant on the state’s support services,” she said. “So for various reasons, it’s not clear at all that the governor’s plan will result in budgetary savings. In fact, it may end up losing money for the state in the long run.”

Hurting the powerless

Bernadette Lynch, president of California Association of Public Authorities for IHSS and executive director for Sacramento County IHSS Public Authority, told PHI the timing of the planned cuts could not be worse.

“IHSS provides services to hundreds of thousands of clients, and the economy is already devastating California’s families, so this isn’t a time to be cutting necessary support systems or reducing those already-small wages,” she said. “The current pay for homecare workers doesn’t even amount to a living wage at this point, except in one or two counties. Reducing it will end up causing a dearth of providers, which will hurt consumers. It’s devastating.”

She continued, “As always, it’s the people who tend to be less heard, who don’t have a voice, who are basically powerless, that will be hurt by this.”

Posted in PHI Blog, PolicyWorks2 Comments

New York Legislators Introduce Bills to Expand Coverage

new-york-state-capitol

New York State Capitol

By Carol Rodat, PHI New York Policy Director

Now that the state budget has passed, the governor and the New York state legislature have turned their attention to a variety of other issues, notably health insurance coverage.

The most sweeping proposal is that which was introduced in both houses by the chairs of the health committees, Assemblyman Richard Gottfried and Senator Thomas Duane. These bills (A7854/S4884) would create universal coverage for New Yorkers under New York Health Plus, a program based on Family Health Plus and Child Health Plus.

Under the proposal, New Yorkers would have a choice of plans including a publicly sponsored plan and would pay no premiums. A payroll tax, modeled on that which Medicare uses, and surcharge on upper bracket non-wage and salary taxable income would finance the proposal.

A full report describing New York Health Plus is available at Assemblyman Gottfried’s website.

Senator Neil Breslin, chair of the New York State Senate Insurance Committee, has introduced a bill (S5742) in the State Senate on behalf of Governor Paterson that takes more moderate steps towards coverage. This proposal would:

  • Extend COBRA from 18 to 36 months, helping those individuals who have lost their jobs retain coverage if they can afford the premiums;
  • Permit coverage of unmarried young adult dependents up to age 29 under the parent’s employer-sponsored coverage; and,
  • Require health plans to get permission from the Superintendent of Insurance before increasing premiums; and,
  • Institute a variety of managed care reforms that providers and consumers have requested such as setting a requirement for the number of providers in a network and reducing the time to review post-hospital authorizations from managed care companies to one business day.

PHI’s recent survey and report on the coverage status of home care aides in New York sheds additional light on the New York Health Plus proposal and its effect on home care workers. For example, many home care employers do not currently offer coverage due to premium costs and would likely oppose a payroll tax.

In addition, those personal care aides who are currently using Family Health Plus have found the eligibility process to be onerous and one which resulted in fewer individuals being covered.

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Senate Finance Lays Out Health Reform Options

Senators Max Baucus and Chuck Grassley (l-r)

Senators Max Baucus and Chuck Grassley (l-r)

Eager to have a bill to introduce in June, the Senate Finance Committee, chaired by Max Baucus (D-MT) with Charles Grassley (R-IA) as the Committee’s ranking member, has released  three papers with options for health reform and invited public comment.

The first paper is on transforming the delivery system, the second on expanding health care coverage, and the third on financing comprehensive reform. Continue Reading

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Advancing Excellence Announces New Goals

aeanh-logoAs the Advancing Excellence in America’s Nursing Homes campaign enters its second year, an overhaul of its original eight goals has been announced. Three of these goals relate directly to the workforce. Continue Reading

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Business Journal Explores Aging Boomer Issue

sacramento-business-journalThe Sacramento Business Journal has launched a three-part series about aging in America, and the inaugural article paints a troubling picture of a nation that is medically and economically ill-prepared to deal with the challenges posed by an aging boomer generation.

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Report: Chronic Diseases Take Heavy Toll on Health System, Economy

chronic-disease-report

The 2009 edition of the Almanac of Chronic Disease (pdf), subtitled “The Impact of Chronic Disease on U.S. Health and Prosperity,” has been released by The Partnership to Fight Chronic Disease (PFCD).

The report combines peer-reviewed data with commentary from national health care leaders and policy experts to provide a comprehensive collection of current information as well as guidance for making improvements through changes in individual, community, and national action. Continue Reading

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