As President Obama and Congress continue to wrestle over a budget plan to reduce the federal deficit, a small group of bipartisan senators known as the “Gang of Six” put forth a proposal which, if enacted, would cut Medicare, Medicaid, and Social Security, and repeal the Community Living Assistance Services and Supports (CLASS) Act.
The CLASS Act, a provision in the health care reform law passed in March 2010, establishes a voluntary, federal insurance plan designed to help people purchase long-term services and supports.
Details of the CLASS Act — including the monthly premiums and the cash benefit to purchase these services and supports — have yet to be worked out. However, according to the law, the Secretary of the Department of Health and Human Services (HHS) has until October 2012 to do so.
HHS Secretary Kathleen Sebelius has said that she is developing a plan that would make the voluntary, long-term insurance plan solvent, as required by the health reform law.
The sustainability of the CLASS Act has been called into question by some Republican lawmakers, prompting a March 11 hearing. Assistant Secretary for Aging Kathy Greenlee, who is the administrator of the CLASS Office, testified that the program would remain fiscally sound even when elders and people living with disabilities begin to make claims.
The CLASS Act would lower the cost of Medicaid, which pays for 62 percent of the nation’s long-term services and supports costs (pdf), say supporters of the program.
“What’s strange to me is that this started out as a cost-saver, and now it’s being targeted in the name of cost savings,” Judy Feder, a professor at the Georgetown Public Policy Institute and fellow at the Urban Institute, told Politco. “The people who are saying it will cost us money say that that’s a challenge that cannot be met, but I believe it can.”
Personal Care Attendants Workforce Advisory Panel
Less well-known is that the CLASS Office is also charged with managing a Personal Care Attendant (PCA) Workforce Advisory Panel.
While HHS has accepted nominations to the panel, which were to be announced last fall, to date there has been no such announcement.
The panel is responsible for examining the adequacy of the number of personal care aides, their wages and benefits, and access to their services, as well as advising Congress.
Personal Care Aides are projected to be the fourth fastest-growing occupation in the country between 2008 and 2018, increasing by 46 percent, according to a PHI analysis available in PHI FACTS 3: Who Are Direct Care Workers? (pdf).
– by Deane Beebe








