Washington, DC - The American Health Care Association (AHCA) and the National Center for Assisted Living (NCAL) today praised Senator Jay Rockefeller (D-WV) for leading an effort in the United States Senate to include in any final economic stimulus plan a temporary increase in state fiscal relief through Federal Medical assistance percentage (FMAP), and said the strong bipartisan support for doing so will help serve as a necessary insurance policy to protect vulnerable seniors’ future care needs as states brace for an economic downturn.
Senator Rockefeller, in a letter to Senate Finance Committee Chairman Max Baucus (D-MT) and Ranking Member Charles Grassley (R-IA), and co-signed by U.S. Senators Susan Collins (ME), John Kerry (MA), Ron Wyden (OR), Charles Schumer (NY), Debbie Stabenow (MI), Maria Cantwell (WA), Edward Kennedy (MA), Sherrod Brown (OH), Jack Reed (RI), Robert Menendez (NJ), Robert Casey (PA), Hilary Clinton (NY), Barbara Boxer (CA), Carl Levin (MI), Herb Kohl (WI), Tim Johnson (SD), Richard Durbin (IL), Joseph Biden (DE), Sheldon Whitehouse (RI), Christopher Dodd (CT), Daniel Akaka (HI), Russ Feingold (WI), Barbara Mikulski (MD), Patrick Leahy (VT), Amy Klobuchar (MN), Bernard Sanders (VT), Frank Lautenberg (NJ), Barack Obama (IL), and Claire McCaskill (MO), states, “We are particularly concerned about growing state budget deficits and strongly urge you to consider including at least $15 billion in state aid – equally divided between Medicaid and targeted grants to states – in any economic stimulus package considered by the Senate.”
“As he did in 2003, Senator Rockefeller has taken a key leadership role in 2008 to help ensure Congress and the President pass the Medicaid assistance seniors in West Virginia and across the nation need to retain access to quality long term care during the predicted economic downturn,” stated Bruce Yarwood, President and CEO of AHCA. “We thank Senator Rockefeller and the bipartisan group of lawmakers who have joined him on this important pending issue as they work to protect our most vulnerable frail, elderly and disabled citizens.”
Continues the Rockefeller letter to Baucus and Grassley: “Millions of working families depend on the health and education services provided by their state and local governments. However, we know that Medicaid and other social programs are the first in line for cuts in cash-strapped states desperate for revenue. The risk to Medicaid is even greater because the business tax relief that is likely to be included in any stimulus package will decrease state revenues and increase state deficits. In a recent survey of state fiscal conditions, the National Conference of State Legislatures concludes that states are facing growing budget challenges due to the slowing national economy. Several states are already facing billions in financial shortfalls in the current fiscal year. More are expected to face serious budget gaps as this year progresses. We cannot afford to stand by while states cut vital programs that help millions of working families stay afloat.”
In addition, Yarwood noted the National Governors’ Association (NGA) already finds that eighteen states have reported state budget shortfalls totaling $14 billion for FY 2008, and that seventeen states have projected shortfalls of $31 billion for FY 2009.
“The FMAP increase was good public policy five years ago and would be good public policy now when it comes to protecting seniors’ access to quality health care,” Yarwood concluded.
The American Health Care Association and National Center for Assisted Living (NCAL) represent nearly 11,000 non-profit and proprietary facilities dedicated to continuous improvement in the delivery of professional and compassionate care provided daily by millions of caring employees to 1.5 million of our nation's frail, elderly and disabled citizens who live in nursing facilities, assisted living residences, subacute centers and homes for persons with mental retardation and developmental disabilities. For more information, please visit www.ahca.org or www.ncal.org.