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2004-01-09 -- Budget Protest;  Sick budgets, sick kids

  *  Protest at Schwarzenegger's State of State speech

  *  Sick State Budgets, Sick Kids

Protest Hits Schwarzenegger's Proposed Cuts
In Services to the Elderly and Disabled
 By STEVE ARGUE, SEIU Local 415 Executive Committee member

SACRAMENTO CA.  Colleen Fernandez was amongst the 1,000 people who
came to the capitol on January 6th to protest Arnold Schwartzinegger's
proposed cuts in services to the elderly, poor, and disabled.    "I am
a mother of six kids, two have severe autism that requires 24-hour
care.  To take away from IHSS [In Home Support Services] I don't think
is the way to take care of the budget deficit, especially for people
who are in need of these services for their very survival.  There are
a lot of moms out here."

Chanting: "No more cuts!" "Tax the rich, don't touch the poor!" "Hasta
LaVista Baby!" and "Si se puede!" the protesters had come to the
capitol to make their demands outside of Governor Schwarzenegger's
State of the State address.  Those present to make the demands
included the elderly, the disabled, their relatives, and union home
care workers from the SEIU and AFCME.

The protest was organized by the California Disability Community
Action Network (CDCAN) in response to the Schwarzenegger
Administration's release on November 24th of a plan to slash 2 billion
dollars from the state budget, with a big chunk coming from health and
other services to the disabled and poor.

Speaking for the CDCAN was protest organizer Marty Omoto.  "The State
of the State is not just dollars, it is also the health of the
children and elderly."  He went on to explain that his sister, named
Hope, died due to earlier state cuts in services.  Speaking against
further deaths that would be caused by the cuts proposed by
Schwarzenegger he initiated the chilling yet optimistic chant, "Hope
died last!"

Schwarzenegger's November 24th plan states, "In order to achieve
savings in these programs, legislation must be enacted in the current
year to include suspending the Lanterman Act, which provides an
entitlement to services for the developmentally disabled."  Legal
protections would be removed from young children and others with
mental retardation and other conditions to make way for the proposed
cuts.

A cap would be put on many essential services "at the January 2004
estimated level of caseload. Waiting lists would be established, and
as attrition occurs, new enrollments would be permitted up to the
capped level."   A broad list of programs would be hit including:
rehabilitation, health insurance for low-income families, help
provided to cover the cost of AIDs medications, and many services
provided for children and adults with disabilities.

Long term care facilities that increased the salaries and benefits of
caregivers would also have their state payments cut.

Schwarzenegger's plan would also gut Medi-Cal.  It would tack another
10% cut on the provider rate.  This would be on top of last years 5%
cut.  This 15% cut from the provider rate would effectively cut off
Medi-Cal patients from many essential services that include physician
care, medical transportation, and home health care.

California Medical Association (CMA) President Ronald Bangasser, M.D.
has pointed out that these Medi-Cal cuts are not only dangerous, but
actually cost more money in the long run by forcing patients into the
more expensive care of the emergency rooms.  "Patients who cannot find
care will increasingly turn to emergency rooms for basic care or
ignore problems and see their health conditions turn into emergencies.
This is an inefficient and expensive way to provide health care."
Additional federal matching funds would also be lost from these cuts.

In addition Schwarzenegger's plan would also prohibit payment to
relatives for the In Home Support Services (IHSS) that they give.  All
IHSS recipients are low income and are not allowed to have assets over
$2,000.

In response to this proposed elimination of the family IHSS program
the California Autism Coalition have stated their opposition pointing
out, "Many parents, grandparents and relatives of people with
disabilities have given up their livelihood to care for a child with a
disability.  It is difficult to hire a non-relative to care for a
person with a disability on IHSS wages."   They go on to state, "If
family caregivers no longer receive IHSS they will be forced to place
their child or family member with a disability in a group home or an
institution.  This will result in families breaking apart and will be
a much more costly alternative to retaining IHSS."

This family care is one of what are called the "residual programs"
(IHSS programs not covered by federal money).  All of the residual
programs would be chopped under Schwartzenegger's plan, disrupting or
eliminating the care of 75,000 people in California.

Speaking against the cuts to IHSS, Sal Rosselli, President of SEIU
250, (a union representing 90,000 care-givers in northern California)
pledged resistance to Schwarzenegger's proposed cuts saying, "We are
not going to let him cut the care of 75,000 seniors, poor, and
disabled people in the state!"

Yet every indication from Schwartzenegger's State of the State speech
is that he plans to charge ahead with a budget that he hopes will be
balanced on the backs of the disabled, elderly, sick, and poorest of
the poor without raising any new taxes for the rich.  His speech was
one meant to prepare working people for more hardships and attacks
through austerity, the gutting of worker's compensation, and the
privatization of bussing and maintenance services at schools.

Stating, "We do not have a budget crisis, we have a spending crisis."
Schwarzenegger went on to state, "We have no choice but to cut
spending, if not we will be bankrupt." Nothing was said about the
details of the cuts he has already proposed, but he will be forced to
talk more about that when unveils his budget plan on Friday Janiuary,
9th.

While many would pin our hopes on stopping Schwarzenegger's plans
through the Democrat majority that sits in the California Assembly, we
should all be reminded of their 5% cut to Medi-Cal last year.  That
cut was not only passed by the Democrat majority, it was also signed
into law by Governor Davis as a budget compromise after he had
originally proposed a 15% cut.  This is a clear indication that it
will take a strong response from labor, the disabled, elderly, poor,
and all other concerned people to defeat these cuts by educating the
public, exposing the politicians, marching, and taking direct action.

Due to earlier action in response to the proposed cuts Schwarzenegger
has backed off of his plan to cut recreational therapy to disabled
children.

Protest organizer Marty Omoto responded to this change saying, "The
fact that he rescinded that was very, very critical and very
important, but there are so many cuts that are being contemplated or
are on the table now that that's what really concerns us."

In addition to Schwarzenegger backing down from part of his plan, a
lawsuit by the California Medical Association has forced a partial
temporary injunction against Davis's 5% cut to Medi-Cal, calling into
question the ability of Schwarzenegger to implement his proposed
aditional10% cut to Medi-Cal.          The temporary court order by
Judge David Levi states, "Medi-Cal recipients who must wait until
after trial to receive appropriate services may well sustain
irreparable injury, whether in pain suffered or irremediable worsening
of a condition."  Yet Levi's temporary injunction applies only to fee-
for-services patients, and does not apply to those who have managed
care plans.

This is an emergency temporary order pending a decision on CMA charges
that the Davis's 5% cut denies patients equal access to care. In
making his injunction Levi cited federal appellate precedent saying
that federal statute guarantees beneficiaries "a rate-setting decision
by the state that is not arbitrary and that takes into account
provider costs, quality service, and equal access to medical
services."

The order has helped to preserve health care for 6 million Medi-Cal
patients.  Democrat Assemblyman Darrell Steinberg expressed his
concern that the ruling will place additional strains on legislators
who are already facing tough budget decisions, but what about the
strains on Medi-Cal patients?

While some Assemblymen have spoken out strongly against
Schwarzenegger's State of the State address, past cuts and voting
records make clear that continued pressure will necessary to save the
lives and quality of life of those threatened by the Terminator's
budget axe.

Steve Argue sits on the Executive Committee of SEIU, Local 415

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204-01-09 -- Sick State Budgets, Sick Kids

New York Times, January 9, 2004
OP-ED COLUMNIST
By BOB HERBERT

While headlines continue to tell us how great the economy is doing,
states across the U.S. are pulling the plug on desperately needed
health coverage for low-income Americans, including about a
half-million children.

Even as the Bush administration continues its bizarre quest for ever
more tax cuts, the states, which by law have to balance their budgets,
are cutting vital social programs so deeply that tragic consequences
are inevitable.

The cruel reality is that Americans at the top are thriving at the
expense of the well-being of those at the bottom and, increasingly, in
the middle.

A new report by the Center on Budget and Policy Priorities shows that
34 states have made potentially devastating cuts over the past two
years in public health insurance programs, including Medicaid and the
very successful children's health insurance programs known as CHIPS.
More cuts are expected this year.

"Almost half of those losing health coverage (490,000 to 650,000
people) are children," the report said. "Substantial numbers of
low-income parents, seniors, people with disabilities, childless
adults and immigrants are also losing coverage. Cutbacks of this depth
in health insurance coverage for low-income families and individuals
are unprecedented."

The worst of the cuts are in Texas. "The Lone Star State has adopted
deep cutbacks in its State Children's Health Insurance Program that
will cause about 160,000 children - one-third of its SCHIP caseload -
to lose coverage," the report said.

Texas is also making Medicaid available to fewer pregnant women, a
dangerous move that increases the number of women without coverage for
prenatal care and the actual deliveries. "All told," the report said,
"Texas is eliminating coverage for between 344,000 and 494,000
children and adults. Census data showed that, even before these
changes, the percentage of people who were uninsured was higher in
Texas than in any other state."

A loss of health coverage frequently leads to a reluctance to seek
needed care. "In poor or low-income families, where there is not a lot
of disposable income, people will avoid going to the doctor or getting
a prescription," said Leighton Ku, one of the authors of the report.
"Certain diseases can then become much more severe. With children,
it's likely that they won't get treatment for ear infections, asthma,
diabetes - conditions that can ultimately lead to hospitalization."

When treatment can no longer be avoided, the financial consequences
can be ruinous. Medical expenses are one of the leading causes of
bankruptcy in the U.S.

Officials at the center noted the case of a woman in St. Louis who
works but whose annual income is below the poverty line. Under
eligibility rules in effect until 18 months ago, she would have
qualified for Medicaid. Under the new rules, she does not.

The woman became ill and was told upon her release from the hospital
to seek follow-up care. But without any health insurance, her medical
bills have been overwhelming. According to the center, "[The woman]
has occasional abdominal pain but is not getting any treatment. She
intends to declare bankruptcy because she cannot pay the $47,000 she
owes in medical bills, but so far has been unable to save the funds
needed to pay for a bankruptcy filing."

People caught in this kind of squeeze often find themselves "sicker,
much poorer, or both," said Robert Greenstein, the center's director.

It seems extremely strange that in the United States of America, the
richest, most powerful nation in the history of the world, we are
going backward in the 21st century in our ability to provide the most
fundamental kinds of health care to ordinary people, including
children.

The health insurance cutbacks would have been even worse if not for
the $20 billion in emergency state aid that was reluctantly approved
by the Bush administration and the Republican-led Congress last year.
Despite the economic upturn, states are still struggling. They face a
collective budget deficit of $40 billion to $50 billion for the coming
fiscal year, and there is little sentiment among Republican leaders in
Washington for another round of fiscal relief.

Maybe the nation itself needs a doctor. Shoving low-income people,
including children, off the health care rolls at a time when the
economy is allegedly booming is a sure sign of some kind of sickness
in the society.