Taking action to save jobs for tens of thousands of working parents and small business child care providers, Assemblyman John Pérez yesterday introduced a bill to restore child care funding for working parents that Governor Arnold Schwarzenegger recently vetoed. The action comes, said the Speaker's press release, after the Speaker worked to provide bridge funding for the program by committing $6 million generated from cuts in the Assembly's operating budget and working with California's state and local First 5 Commissions to arrange for more than $40 million in bridge funding for the child care services.
"We partnered with First Five Commissions all throughout the state to keep these parents and childcare providers working. That was the first step," Pérez said. "Today, I am taking the second step by introducing a bill that will fully restore this program and keep the parents and child care providers working. We will not stand idly by while others force parents back onto the welfare rolls and drive providers to the unemployment line. Failing to act will cost taxpayers far more than the cost of providing childcare."
AB 1 (Perez) would be funded by the transfer of $115,534,000 from various unobligated balances. AB 1 (Perez) language below:
http://leginfo.ca.gov/pub/11-12/bill/asm/ab_0001-0050/ab_1_bill_20101206_introduced.pdf
Tuesday, December 7, 2010
GOVERNOR SCHWARZENEGGER RELEASES EMERGENCY SESSION BUDGET PROPOSAL
Here are some lowlights:
• A decrease of $110.1 million in 2010 11 and $646.3 million in 2011 12 from reducing CalWORKs grants by 15.7 percent and eliminating the Recent Noncitizen Entrants program, effective April 1, 2011.
• A decrease of $49.4 million in 2011 12 from reducing the level at which the state reimburses CalWORKs child care providers, effective March 1, 2011.
• A decrease of $1.4 billion from eliminating the CalWORKs program effective July 1, 2011. This General Fund savings is in addition to the savings resulting from the above CalWORKs reduction proposals, and net of General Fund to be provided to the various programs and departments outside of CalWORKs that currently receive federal Temporary Assistance for Needy Families Block Grant funds.
Proposition 98 Subsidized Child Care Reductions
• A decrease of 200.2 million in current year to eliminate all remaining General Fund support of subsidized child care programs, except for the State Preschool Program and CalWORKs Stage 2, effective April 1, 2011.
• Additionally, cost containment reforms are proposed for all child care programs effective March 1, 2011, that include reductions to current income eligibility limits (from 75 percent of the State Median Income to 60 percent) and reductions to voucher based provider reimbursement limits (from the 85th to the 75th percentile of the 2005 regional market rate survey data, and from 80 percent of the respective licensed limits to 70 percent for license exempt providers). While remaining Proposition 98 funding is eliminated, federal funding remains as budgeted for the neediest families under a less generous subsidy program going forward. These reductions are estimated to result in $1.1 billion in annual savings beginning in 2011 12, including elimination of CalWORKs Stage 2 child care effective July 1, 2011, to conform to the elimination of the CalWORKs program as discussed in the Health and Human Services section.
• Legislation is proposed to establish greater incentives for child care providers and administrative agents, including Alternative Payment agencies, to reduce administrative error rates, to establish sanctions for those agencies that do not meet federal error rate guidelines, and to deter fraud in child care programs by recipients and providers. This proposal will help reduce wasteful spending and, consequently, result in more needy families receiving services with remaining funding in the future.
Food and Other Nutrition Programs
• A decrease of $301 million in 2010 11 and $602 million in 2011 12 to the Food Stamp and Child Welfare Services programs from shifting county mental health realignment funding to county social services programs. This adjustment eliminates the majority of funding for county mental health services and retains only the amount necessary to fund mandated mental health services.
• A decrease of $15 million in 2010 11 and $69.4 million in 2011 12 from eliminating the California Food Assistance Program effective April 1, 2011.
• A decrease of $18.1 million in 2010 11 and $93.1 million in 2011 12 from eliminating all Drug Medi Cal programs with the exception of the Perinatal; Early and Periodic Screening, Diagnosis, and Treatment; and Minor Consent Programs. This elimination of services is assumed to be effective April 1, 2011.
Other Health and Human Services
Health and Human Services
Healthy Families
• A decrease of $2.3 million in 2010 11 and $11.3 million in 2011 12 by eliminating vision coverage. This proposal would take effect April 1, 2011, after appropriate provider and beneficiary notification.
• A decrease of $6.2 million in 2010 11 and $25 million in 2011 12 by increasing monthly premiums in families with incomes from 150 to 250 percent of the Federal Poverty Level (FPL). Premiums would increase for the income group from 150 to 200 percent of the FPL by $14 per child (from $16 to $30) and a family maximum for three or more children by $42 (from $48 to $90). Premiums would go up for the income group from 200 to 250 percent of the FPL by $18 per child (from $24 to $42) and a family maximum for three or more children by $54 (from $72 to $126). No increase would result for families with incomes under 150 percent of the FPL. This proposal is consistent with what other states have done and would take effect April 1, 2011, after appropriate provider and beneficiary notification.
• A decrease of $6.8 million in 2011 12 due to increasing co payments for emergency room visits from $15 to $50 ($5.3 million) and adding co payments on hospital inpatient services of $100 per day with a $200 maximum ($1.5 million) consistent with cost containment proposals in Medi Cal. This proposal would take effect August 1, 2011, after appropriate provider and beneficiary notification.
• Medi Cal
The Special Session proposes $3.2 million in 2010 11 and $980.3 million in 2011 12 in savings from various Medi Cal Cost Containment proposals. The following specific savings proposals would contain costs in the Medi Cal program (proposed policies require a state plan amendment or federal waiver):
• Limit services and establish utilization controls for $2.9 million in 2010 11 and $281.7 million in 2011 12.
• Eliminate certain over the counter drugs (such as cough and cold medicine) and nutritional supplements ($2.9 million in 2010 11 and $16.8 million in 2011 12). This proposal would take effect April 1, 2011, after appropriate provider and beneficiary notification.
• Establish a maximum annual benefit dollar cap on hearing aids at $1,510, durable medical equipment at $1,604, incontinence supplies at $1,659, urological supplies at $6,435, and wound care supplies at $391 ($12.4 million in 2011 12). This proposal would take effect July 1, 2011, after appropriate provider and beneficiary notification.
• Limit prescriptions (except life saving drugs) to six per month ($13.6 million in 2011 12). This proposal would take effect July 1, 2011, after appropriate provider and beneficiary notification.
• Limit the number of physician or clinic visits to 10 per year ($238.9 million in 2011 12). The proposed limits are consistent with the aggregate utilization of these services at the 90th percentile of Medi Cal enrollees. This proposal would take effect June 1, 2011, after appropriate provider and beneficiary notification.
• (2) Increase cost sharing for $0.3 million in 2010 11 and $698.6 million in 2011 12.
• $5 co payments on physician/clinic/dental/and pharmacy ($3 for the relatively lower cost preferred drugs and $5 for others) visits ($0.3 million in 2010 11 and $360 million in 2011 12). This proposal would take effect July 1, 2011, after appropriate provider and beneficiary notification.
• $50 co payment on emergency room visits ($142.1 million in 2011 12). This proposal would take effect July 1, 2011, after appropriate provider and beneficiary notification.
• $100 per day co payment and $200 maximum for hospital stays ($196.5 million in 2011 12). This proposal would take effect April 1, 2011, after appropriate provider and beneficiary notification.
• A decrease of $14.8 million in 2010 11 and $120.1 million in 2011 12 by eliminating Full Scope Medi Cal for Certain Immigrants. This proposal includes that elimination of full scope Medi Cal for adult Newly Qualified Immigrants (legal immigrants who have been residing in the United States less than five years), immigrants Permanently Residing Under the Color of Law, and Amnesty Immigrants who are not defined as eligible Qualified Immigrants under federal law. Pregnant women would be excluded from this policy. This proposal would take effect June 1, 2011, after appropriate provider and beneficiary notification.
• A decrease of $20.5 million in 2010 11 and $188.9 in 2011 12 by eliminating Optional Adult Day Health Care Benefits. This proposal would take effect June 1, 2011, after appropriate provider and beneficiary notification.
• A decrease of $2.3 million in 2010 11 and $16.1 million in 2011 12 by rolling back the rate increase for Family Planning Services. This proposal would rescind substantial discretionary rate increase authorized by Chapter 636, Statutes of 2007, for family planning services. This proposal would take effect May 1, 2011, after appropriate provider notification.
Monday, November 8, 2010
Attention: All CalWORKs Stage 3 and Alternative Payment Program Executive Directors and Program Administrators
Child Development Division
| Subject: Parent Voices vs. Jack O’Connell, CDE and John Wagner, CDSS | Number: 10-15 |
| Authority: Alameda County Superior Court – Order Granting Relief by Judge Wynne Carvill – Case No. RG10-544021 | Date: November 2010 Expires: June 30, 2011 |
Purpose
The purpose of this Management Bulletin is to rescind Management Bulletin 10-10 and provide instruction to contractors on implementation of the November 5, 2010, decision issued by Judge Wynne Carvill of the Alameda County Superior Court, in the Parent Voices Oakland, et al. vs. Jack O’Connell, et al. Pursuant to that decision, the California Department of Education (CDE) was informed that the Management Bulletin (MB) implementing the Governor’s veto was deficient. The Court required the Department to instruct contractors regarding rescinding prior Notices of Action (NOAs) and the issuance of new NOAs. At this time, the Department is instructing contractors to rescind all previous NOAs terminating Stage 3 child care services, until such time as a management bulletin can be issued containing new directions.
Background
On October 8, 2010, Governor Arnold Schwarzenegger vetoed $256 million from CalWORKs Stage 3 child care, which eliminated the program’s services effective November 1, 2010. The CDE implemented the veto through MB 10-10, issued on October 12, 2010, which included instructions on issuance of a NOA and requested contractors work with families identifying other child care alternatives.
On October 28, 2010, a coalition of public interest law groups petitioned the Alameda County Superior Court for an injunction to keep the funds in place and to require the CDE to halt the implementation of the Governor’s veto. On October 29, 2010, the CDE was informed that Judge Wynne Carvill issued an Order Granting Interim Relief until November 5, 2010, to allow the Court to hear evidence in this case on November 5, 2010, and make a final ruling on the petition for injunctive relief.
On November 5, 2010, Alameda County Superior Court Judge Wynne Carvill directed the CDE to rescind previously issued NOAs and to provide service to CalWORKs Stage 3 eligible families pending the transmission of another NOA terminating services.
Directions
Under the Parent Voices Oakland, et al. vs. Jack O’Connell, et al. decision, the CDE is required to rescind MB 10-10 and instruct contractors to rescind the NOAs they sent to CalWORKs Stage 3 families and families transferring to Stage 3 informing them that as of November 1, 2010, their child care services would be terminated.
Effective immediately, MB 10-10 is hereby rescinded and CalWORKs Stage 3 contractors should inform their parents by any means available, including, but not limited to phone, fax, and e-mail, that child care services will continue until further notice. There is no need to issue a new NOA rescinding the NOA issued pursuant to MB 10-10 because that management bulletin is rescinded.
Effective immediately, families transferring to CalWORKs Stage 3 programs from Stage 1 or Stage 2 should be informed by any means available, including but not limited to phone, fax, and e-mail, that they will be enrolled in and receive services in Stage 3 until further notice. There is no need to issue a new NOA rescinding the NOA issued pursuant to MB 10-10 because that management bulletin is rescinded.
Information to Providers
When notifying the family, the Child Development Division (CDD) strongly encourages contractors to update child care providers serving these families regarding the status of their eligibility for services.
Policy
The CDE is aware that implementation of the court’s order will impose additional administrative costs on contractors. Because the instructions in this MB are required by an order of the court, administrative costs incurred to implement this MB are reimbursable costs within the definition of Section 18304 of the California Code of Regulations, Title 5. If these costs exceed the cap on your administration and support claim, the CDD is committed to seeking funding to support these costs.
Questions regarding the information in this Management Bulletin or the process by which families receiving CalWORKs child care must be terminated should be addressed to your CDD Field Services Consultant or by phone at 916-322-6233.
Wednesday, October 20, 2010
Rally against cuts to Stage 3 funding for child care
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