Michael McRaith, Vice Chair, Director, Department of Insurance,
Dr. Damon Arnold, Director, Department of Public Health (though Assistant Director Teresa Garate represented the department on this day),
Charles Johnson, Director, Department on Aging,
Grace Hong-Duffin, Acting Secretary, Department of Human Services,
Laura Zaremba, Director, Office of Health Information Technology,
James Sledge, Director, Central Management Services, and
David Vaught, Director, Office of Management & Budget.
According to the Healthcare Reform in Illinois Website, "Governor Pat Quinn signed Executive Order #10-12 on July 29th, 2010, to create the Illinois Health Care Reform Implementation Council. The Council will help the state implement the health care reforms contained in the federal Affordable Care Act (ACA).
Implementation of the ACA will improve the health of residents throughout Illinois by increasing access to health care, reducing treatment disparities, controlling costs, and improving the affordability, quality and effectiveness of health care.
The Council will make recommendations to assist the state to: establish a health insurance exchange and other consumer protection reforms; reform Medicaid; assure high quality care; identify federal grants and other non-governmental funding sources; and foster the widespread adoption of electronic medical records.
The council will submit its first report to Governor Quinn by December 31st, 2010, followed by periodic reports on the implementation of its recommendations."
This particular meeting focused on Medicaid reform and addressing Illinois' Medicaid system, as it moves forward under the new healthcare reform law. The Council wanted people to offer tangible recommendations concerning changing and improving the current Medicaid program in Illinois. I guarantee my testimony broke no new ground, as it focused primarily on oversight of the Medicaid managed care program in Illinois and providing more home and community-based services instead of funneling more money to institutions and nursing homes. However, since many people may not have heard about the hearing nor had a chance to attend, I thought I would provide my written and submitted testimony for you to read, critique, or just delete as you see fit.
After the testimony, I also included something far more important. Tony Paulauski from The Arc of Illinois sent out an appeal for all of us to contact our local legislators, specifically Illinois State House Representatives, about a possible end of year vote on an income tax increase and sales tax expansion. A suggested script and further information is included in Tony's message. I apologize if I am sending you yet another copy of Tony's email. I simply think it is extremely important to spread the word as much as possible.)
The Governor's Healthcare Reform Implementation Council ACA Medicaid Reform Testimony
The Affordable Care Act (ACA) is both a great boon and a great strain to state government, particularly for Illinois. As the state faces high unemployment rates and nearly a $14 billion deficit, allowing hundreds of thousands more Illinoisans to receive Medicaid assistance is a great advantage for people with low incomes as well as people with disabilities. The unemployment rate within the disability community in Illinois hovers around seventy percent, and this has been the norm long before our current economic downturn. Combining that fact with higher unemployment among the nondisabled community adds a great deal of stress to an already overburdened healthcare system.
The other, possibly even more daunting situation facing Illinois government is the extraordinarily high institutionalization rate for people with disabilities in the state. Though advocacy efforts have attempted to change this mindset over the years, Illinois still ranks near the bottom of all states in the country in its use of state operated developmental centers (SODCs), nursing homes, and large ICF/DD. Illinois ranks 51st in the nation when it comes to spending for small community living opportunities for people with disabilities. The state ranks 47th nationwide in community services spending but ranks an inglorious fifth in the country on spending for SODCs. Illinois annually throws millions of dollars at state run institutions, spending on average $166,000 per year on each resident, when the cost of providing services for persons living in the community averages closer to $50,000 annually.
Some may ask what these specific figures have to do with the ACA. My response is that when asked what changes Illinois needs to make to improve the quality of long-term care in the state, I believe we should stop throwing good money after bad. The ACA is pushing states in the direction of less reliance on institutionalization and much more emphasis on home and community-based services. Illinois needs that exact kind of change to guarantee the implementation of healthcare reform. For decades, the state has taken the easy road of institutionalization to bypass the difficult decisions that come with integrating people with disabilities into the community. The ACA has done what Illinois legislators and policymakers have ignored far too long, and that is forcing the state's hand into acknowledging what is a higher priority—institutionalizing people with disabilities because that seems the easier solution or working more diligently to allow people the choice of moving into the community.
Choice is truly the central theme of all the questions asked by this Council. The independent living philosophy values individual choice foremost in the lives of people with disabilities. The choice to live in the community is fundamental to an individual's ongoing overall health. The choice of doctors and specialists who provide care to people with disabilities is equally critical in the overarching theme of healthcare reform. As long as Illinois retains the mindset that SODCs provide adequate living arrangements for people with disabilities, the state will not move forward. If Medicaid managed care becomes the norm in Illinois with HMOs potentially putting profits before people, the state will not move forward. There are tangible ways to assure the letter and spirit of the ACA reach fulfillment in this state, and that comes through putting consumer choice ahead of bureaucracy, policy, profit, and especially politics.
No one with knowledge of the situation would say it is reasonable to close all Illinois' SODCs immediately. Transition takes time, but it must begin before it can reach any semblance of fruition. States across the country have eliminated institutions completely by establishing group homes and CILAs in the heart of the community. Before Illinois can take the actions the ACA has put forth for it, regarding more home and community-based services, its elected officials must focus on establishing the necessary community services and supports. Therefore, a tangible change in the approach Illinois takes to long-term care is providing more accessible and affordable housing. You cannot expect people to move out of institutions or even contemplate such a move, if they feel they have nowhere to go once they are "on the outside." A recent study from the University of Colorado showed Illinois ranks worst in the nation when it comes to housing for people with disabilities. A result like this is unacceptable. An effort to change this culture and provide adequate housing would require an initial outlay of several millions of dollars, but it would also create jobs, provide housing, and boost an otherwise sagging Illinois economy. Moreover, studies have shown people who live in the communities as opposed to institutions have better overall health outcomes, including mental health.
There is also a tangible way to guarantee transparency and consumer choice in what increasingly seems like a statewide Medicaid managed care system in the future. First, people with disabilities and seniors must be involved in the contract negotiation process to make their concerns heard and force both the state and HMOs to act in good faith when implementing consumer choice-driven aspects of the contracts. However, advocacy and the presence of advocates must not end when the contracts are signed. There must be an independent oversight committee, comprised of advocates, providers, and other interested and astute individuals, to act as a watchdog over both the state and the HMOs. There are too many examples from numerous other states delineating how Medicaid managed care has worked as a complete failure with HMOs receiving far too much profit and the states providing far too little oversight. Illinois needs to avoid this trap before the system begins. There are examples to which the state can turn to avoid the pitfalls of California, Florida, and Wisconsin. Consumer choice is the key, and providing a consumer voice in the overall process of creating such a vast and uncharted system allows Illinois to show in concrete terms its commitment to better healthcare and better lives for people with disabilities.
These are only two problems and two potential solutions in the Herculean effort of implementing the ACA accurately, completely, and equitably. There is much more than can be discussed in only one hearing. However, it is essential for this Council to understand the fundamental principles behind the ideas that guide people with disabilities and the disability rights movement. Consumer choice, independence, freedom to live where you choose, and access to healthcare not mandated by sometimes unknowing insurance companies only begin to scratch the surface of the many issues people with disabilities find concerning in Illinois' current fiscal and healthcare environments. Yet, even as we bring these concerns before you, we also have hope the ACA will develop into everything the federal government intended it to be. We are now beginning to crack open the door and see what lies behind the term "healthcare reform." Now, we all must act in ways that reach the goals of the ACA and strive for means that go beyond the Act's intent into another area where integration of healthcare meets integration into the community. That is our truest and most important goal.
______________________________________________________________________________
The Arc of Illinois
November 18, 2010
Leaders in The Arc:
I wanted to share with you what Phil and I have been hearings as we talk to legislators and advocates about recent new revenue initiatives.
What follows is a quick draft of a package of materials we will develop for your use when talking to legislators.
You can see the urgency of this opportunity and a very short timeframe.
I know you and others will step up in this time of reduced services and major threats to children and adults with disabilities in Illinois!
Tony Paulauski
The Arc of Illinois
815-464-1832
Tuesday night, Speaker Madigan held a three hour caucus with his House members. Much of the time was spent on new revenue during the fall session. What is being considered is a 2% increase in the income tax, sales tax expansion, and further cuts. The Speaker believes that the Governors proposal does not raise enough revenue.
These increases would be used to pay off the backlog of unpaid bills to providers and would halt any new initiatives for the next two years.
The target for a possible vote would be in early January. The Speaker is calling members back to session right after the first of the New Year, adding four additional days to the legislative calendar. This is highly unusual, but during that period, a simple majority would only be necessary to pass this type of a legislative package so the window of opportunity is very short. To pass the House, 60 votes would be needed, and the Speaker will only call a vote if there are Republicans that will vote for this increase. Last time a vote for new revenue was considered, only 42 House members voted for the increase. In the Senate, 30 votes will be necessary. President Cullerton believes the Senate will support this plan because the Senate already passed a new revenue bill last spring. The Senate President wants this legislation to start in the House.
The Speaker and the President are looking to us to get bipartisan support for a tax increase.
We will need a solid 60 votes in the House for this tax bill and it must be supported by both Republicans and Democrats.
This may be our last opportunity for new revenue in Illinois.
I need you to report back to me which legislators in your area will support this tax increase and which legislators will not. I need to know that there will be a solid 60-vote roll call in the House if we are going to be successful.
Needless to say, we need to activate advocates, staff, and board members to meet with their legislators in their home offices between now and the end of December. We need their commitments.
This vote will be the most important vote for disability services and supports in recent times.
Talking Points for Legislators
Introduce yourself to the legislator and describe your affiliation/organization and its work.
1. Here is how I personally see our state’s fiscal challenges hurting people with disabilities and our community. Have individuals and their families share their stories.
(Briefly describe how budget cuts and funding delays have hurt the public services with which you are most familiar. Cite specific examples of people losing supports, jobs being cut, salaries being slashed, the more specific the example, the better!)
These are just some of the ways in which Illinoisans-children, families, seniors, people with disabilities and many others are suffering.
2. We need to do better we can no longer rely exclusively on massive cuts and long payment delays that:
Hurt disability services, schools, providers of health care and human services and public-sector businesses as well public-sector jobs
Ignore the 21,000 infants, children, and adults on the waiting list
Harm economic recovery by forcing more layoffs in non-profits
Plus, heavy borrowing only digs our budget hole deeper in the long-term
We’ve already begun work on important government reforms, but we’ve done nothing to raise desperately needed new revenues. Illinoisans needs two things to restore our state to balance and responsibility:
Additional revenue to pay-off our bills and more adequately fund vital community services.
Your leadership, to help make it happen.
4. To help put Illinois on more stable fiscal footing, will you support efforts to raise new revenue by increasing the income tax and expanding the sales-tax base to more services, before the next General Assembly convenes in January?
What if these moves were temporary?
Could you support an increase in the new General Assembly’s spring session?
Be sure to thank the legislator for his/her time.
THANK YOU for helping to support a more balanced and responsible solution to Illinois fiscal problems!
Responsible Budget Coalition