6-03StateBudgetFY04

State Budget FY '04

As of press time Governor Romney has not announced his vetoes of the compromise budget proposed by the state legislature. See accompanying document to see the flow of the budget process. Once he announces his vetoes (it will be later today- 6/30/03) the legislature can then override vetoes with a 2/3 majority in each chamber. But since the Governor has the ability to veto sections, but not add anything, advocacy groups feel fairly confident announcing cuts to key areas of the social safety net.

The FY04 Budget adopted on June 19 by both the House and Senate and sent to the Governor for signature (and possible line item vetoes) goes a long way toward protecting and restoring critical health care access programs. Specifically, the budget restores coverage for 36,000 low-income adults who lost coverage on April 1st and preserves the Prescription Advantage program for 80,000 seniors and low-income adults with disabilities.

Thousands of legally present, special status immigrants lose health care coverage in this budget, as could more than 7000 children presently covered by the Children's Medical Security Plan. Adults with disabilities will also face significant obstacles in accessing care with additional financial burdens and restrictive benefits and eligibility.

Gains -

Major Setbacks -

-Adapted From: MassHealth Defense (http://www.hcfama.org/hcfa_contents.php3?fldID=148)

MassHealth Long Term Care

Gov. Mitt Romney's proposals to severely limit the availability of MassHealth coverage for nursing home residents, which for the most part were included in the House version of the budget but not the Senate's, made it out of the Conference Committee and into the final budget passed by the Legislature.

These changes authorize the Division of Medical Assistance (DMA) to adopt the so-called income-first rule, limiting assets the spouse of a nursing home resident may keep. Under current rules if the "community spouse" has an income below a certain figure, she can keep additional assets until she reaches that figure. If all the assets are exhausted, then she can keep some of the institutionalized spouse's income. Under the new rules she would take from his income first and will have to divest of whatever additional assets remained (above what she was already allowed to keep). This also puts her at risk if he dies first and no longer has an income. MassHealth changes will also force nursing homes to hold beds for MassHealth beneficiaries who go to the hospital with no reimbursement from MassHealth, increase the level of care required by nursing home residents to get MassHealth coverage, expand estate recovery to non-probate property, and seek federal approval to make transfer penalties more severe. The details of all of these changes will be forthcoming once MassHealth promulgates the appropriate regulations.

-Adapted from ElderLaw News an e-publication of Margolis & Associates

Rape Crisis Centers

This budget eliminates 70 percent of public funding for state rape crisis centers and sexual assault services.

The Legislature's spending plan for next year, which still awaits Romney's approval, cuts the budget of Jane Doe Inc, the state's largest support service for members of sexual assault victims, current $2.5 million budget to $800,000, which would cause the elimination of a number of services.

The loss of funding could close 13 of the 18 state rape crisis centers, some as soon as Tuesday, July 1, the first day of the next fiscal year. Llamonos y Hablemos, the state's only 24-hour hot line for Spanish-speaking victims, and the Refugee and Immigrant Safety and Empowerment program are also slated to shut down.

Romney and the state Senate preserved rape crisis funding in their budget proposals, while the House cut it by about 70 percent. The compromise budget uses the House's figure.

Advocates and backers are hoping the Legislature will provide additional money later this summer by passing a supplemental budget.

-Adapted from the Boston Globe, By Brendan McCarthy, Globe Correspondent, 6/27/2003

06/03