Proposed Federal Budget in Final Discussion

December 17, 2005

PCPA, as a statewide association, generally focuses on Pennsylvania-specific news. However, there are times when PCPA provides information to members about pertinent federal issues. One such issue in recent months has been proposed changes at the federal level to Medicaid. The US Senate is expected to vote in the next several days on a budget measure, following the US House of Representatives’ passage of a budget bill December 14.

Many national organizations – including the National Council for Community Behavioral Healthcare (NCCBH), FamiliesUSA, Center on Budget and Policy Priorities (CBPP), American Network of Community Options and Resources (ANCOR), and The Bazelon Center – have done an exemplary job keeping the behavioral health and mental retardation systems informed of discussions and pending changes. Past PCPA Infos covering related issues such as targeted case management are available on the association web site. For additional information regarding targeted case management access the NCCBH web site at www.nccbh.org.

The Bazelon Center has recently prepared information regarding proposed cost-sharing initiatives for prescription drugs in Medicaid. Access www.bazelon.org for more information and to obtain contact information for targeted federal legislators.

As well, CBPP prepared an overview of the Medicaid/budget reconciliation bill which can be viewed at www.cbpp.org/12-9-05health.htm. The center states that the House version of the reconciliation bill would significantly increase co-payments and premiums on low-income Medicaid beneficiaries. While proponents believe this leads to better utilization of prescription drugs and might increase the use of generic brands, persons with long-term illnesses or disabilities (including mental illness) will unduly suffer as they often require more frequent use of prescription medications and generics may not always be suitable. Regarding the Senate version of the reconciliation bill CBPP writes, “[The bill] demonstrates that it is possible to achieve savings in health entitlement programs without compromising care for low-income people, by reducing the cost of health care rather than beneficiaries’ access to it.”

As Pennsylvania providers, members are strongly encouraged to contact Senators Arlen Specter and Rick Santorum to share information about how prescription co-pays affect individuals with mental illness and other disabilities. Washington DC telephone numbers for the senators are:

Sen. Arlen Specter 202-224-4254

Sen. Rick Santorum 202-224-6324

PCPA acknowledges the assistance of NCCBH, The Bazelon Center, and CBPP in providing this information.

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