How the Budget Bills Affect People with Disabilities April 2011 Distributed by.

How the Budget Bills Affect People with Disabilities

April 2011

Distributed by

2011-2013 State Budget

• 1 in 5 Wisconsinites use Medicaid in some form; Medicaid accounts for 10% of state spending.

• $594M new funding for Medicaid Budget• Currently no across the board rate cuts• No plans for reductions in optional services (yet)

– Such as Personal Care and Prescription Drugs• No plans to change coverage (yet)• The same number of children’s waiver slots will

continue

Mixed News for Medicaid


• $500 million in unspecified savings needs to be found from Medicaid (and about $750 to $800 million federal match), relative to a cost-to-continue budget

• $96 million from centralizing, automating, and privatizing the “income maintenance” – these services will no longer be at the county level

Concerns about Medicaid


• Potentially limits public input about proposed Medicaid changes

• If Wisconsin’s proposed changes aren’t federally approved, possibly up to 70,000 people may lose coverage on BadgerCare (133% over Federal Poverty Level, FPL)

Concerns about the Medicaid Decision-Making Process


• Increased premiums and co-pays in BadgerCare• Changing standards for state residence• Revising retroactive eligibility & eliminating grace

periods• Allowing providers to deny care or services if an

enrollee is unable to share costs• Establishing different benefits or packages for

different recipients• Requiring enrollees to participate in managed care• Restricting or eliminating presumptive eligibility• Restricting eligibility of non-citizens • More frequent review of eligibility

Changes DHS is Considering


A freeze on long term care programs like Family Care and IRIS means creating new waiting lists for services in counties that ended waiting lists years ago.

Effects on Family Care


• Family Care, Partnership, PACE and IRIS are all frozen at the number of participants in the program in June 2011– Enrolled participants can still switch between

programs• ADRCs planned to be statewide June 30, 2013• Results of the Family Care audit may determine the

future of Family Care• Family Care/IRIS independent Advocacy/Ombudsman

Program continued with no cuts• Proposed increase in participants enrolled in Self-

Directed Support options, including IRIS

Effects on Family Care (continued)


• $15 million reduction for SeniorCare

• People enrolled in Senior Care will also be required to enroll in Medicare Part D

• The effects could vary based on individual situations

• DHS states that Senior Care only (without Medicare Part D) could result in twice the cost for co-pays and cost sharing

Effects on Senior Care


• Most community-based services and supports for the public mental health system are county funded.

• Decrease in funding to counties by $36.5M could puts local mental health programming at significant risk– Community Support Program, Comprehensive

Community Services, and Community Recovery Services

Effects on Mental Health


• $800 million cut in general school aids; K-12 funding makes up 40% of state spending

• Children with disabilities are general education students first; large cuts to education will result in big changes for all students regardless of disability

• Cuts to general school aids will make it very difficult for schools to pay for special education services

• Students with disabilities are more likely to spend time in segregated settings as general education classes become larger

• Estimated average cut: $750/child

Effects on Education


• No increase for special education funding– Resulting in reduction in reimbursement rates for

Special Education services (rate will change from 27.9%-24.5%)

• Reduces revenue cap by 5.5%• $40 Million increase in choice, charter and open

enrollment options. No income requirements– Students with disabilities don’t typically benefit

from these options.• State funding that supplements federal Head Start in

Wisconsin would continue, but with a 10% cut.

Effects on Education (continued)


• Moves public transportation to the shrinking general fund in the budget – making public transit compete with other programs for funding

• Reduces transportation aids by 10% - will result in big cuts in accessible transportation for those who rely on it

• Loss of $44 million in federal transport aid• Specialized Transportation (85.21) is level-funded• Implementation of a statewide transportation broker• $350 Million increase for highways/roads

Effects on Transportation


• $20/person/month cut in maximum Wisconsin Works payment to low income families

• $74 million in cuts to the state Earned Income Tax Credit (EITC) for low-income working families

• Eliminates all state family planning funding– This is the main access to health care for

many low-income women with disabilities• Eliminates the Wisconsin Quality Homecare

Authority

Other Budget Effects


• Wisconsin taxes are average in the U.S.• The Governor proposed a NO TAX Budget.

Some receive tax cuts Corporations $115 million Health Savings Accts. $49 million Investors $36 million TOTAL $200 million less revenue

Places where the budget puts additional moneyRoad builders $350+ millionPrivate schools $40 million

Considering Taxes

• A Wisconsin Policy Research Institute Poll shows 72% favor income taxes on those above $150,00/year

• 67% believe revenue should be part of a balanced budget solution

Examples of revenue generators:• Collect tax on investment profits - $140 million• Surtax on incomes over $250,000 - $168 million• Sales tax on business and professional services - $322

million• No cuts to business and investor taxes - $176 million• Collect uncollected taxes - $1.2 billion per year


Taking a Balanced Approach


• Reduce Administrative costs in Family Care/IRIS/Partnership

• Reduce unnecessary institutionalization• Streamline program eligibility for children's services• Increase investment in recovery oriented consumer run

services and peer support• Better coordination between DHS, DPI, DVR for

transition age youth• Increase use of self-directed services and supports• Target education investments• Consider revenue generators – a balanced approach.• Increase investment in recovery-oriented consumer-run

mental health services and the certified Peer Specialist Program

Possible Recommendations


1. Develop a relationship with your legislator/ policymakers. Share your story and your concerns.

2. Write letters to the editor.

3. Talk to your friends, family and co-workers; testify at hearings.

4. Join public actions or coalitions.

5. Remember to Vote!

What You Can Do to Make Your Voice Heard


To continue to have your voices heard, stay up-to-date and get informed about issues that affect you and your family, visit:

• http://www.dawninfo.org/co/sc/survival_coalition.cfm

• http://www.il-wisconsin.net/advocacy/

• The WI Board for People with Developmental Disabilities’ Facebook page (www.facebook.com)

• www.disabilityrightswi.org

Take Action!


• Lynn Breedlove, Disability Rights Wisconsin: [email protected]

• Maureen Ryan, Wisconsin Coalition of Independent Living Centers: [email protected]

• Beth Swedeen, Wisconsin Board for People with Developmental Disabilities: [email protected]

Survival Co-Chairs

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