Senator Edwin "Ted" Erickson (R-Delaware), a member of the Senate Public Health and Welfare Committee, plans to introduce the Senate version of legislation tying an inflationary adjustment (formerly cost-of-living adjustment [COLA]) for mental health/mental retardation (MH/MR) programs to a national index.
How
PCPA Members Can Assist in This Effort
PCPA members are asked to contact their respective state senators October
21 and 24, encouraging them to sign Sen. Erickson’s co-sponsorship memo
for the MH/MR index legislation. Information regarding identifying your individual
senator or locating contact information for him/her can be found in PCPA’s
Legislative Directory booklet or on the web site in the Legislative Affairs
Section (the www.legis.state.pa.us or www.capwiz.com/lwv/officials/state/?lvl=C&state=pa
link). Please thank your legislator if s/he has signed on to the memo. Following
is a listing of Senate members who have already signed on to co-sponsor the
legislation: Boscola, Costa, Earll, Fontana, Gordner, Greenleaf, Lemmond,
Logan, Musto, O'Pake, Orie, Pileggi, Punt, Rafferty, Rhoades, Tartaglione,
Waugh, and White (M.J.).
Background
Information on the Legislation and the Index
Near the close of the 2003/04 legislative session Representative George T.
Kenney, Jr. (chairman, House Health and Human Services Committee) introduced
inflationary index legislation for MH/MR and drug and alcohol (D&A). The
index, published annually, would ensure modest increases for programs within
its scope. The Home Health Market Basket Index (HHMBI) has been identified
by House Health and Human Services Committee staff as the most appropriate
index for MH/MR/D&A programs. For example, the HHMBI for the current fiscal
year is 3.1%, according to the October 2004 Federal Register.
Chairman Kenney reintroduced the legislation this year in the form of House bill 1813. An informational hearing is scheduled for House bill 1813 on October 26; PCPA will testify at the hearing.
At this time, inflationary index legislation has been reintroduced for MH/MR only. While it is still under consideration for D&A, efforts are currently focused on the dedicated alcohol tax initiative which would include an annual increase for five of the D&A budget line-items.
Synopsis
of the Inflationary Adjustment Index Legislation
As outlined in the co-sponsorship memo, the Community Mental Health and Mental
Retardation Services Supports Act (proposed) would be an effort toward stability
of the community-based MH/MR system as well as ensure the health and safety
of consumers served by the system. The legislation also stipulates that funding
allocated through the Department of Public Welfare to counties only be utilized
to increase the rates or amount of funding for existing community-based MH/MR
services.
The HHMBI is a mechanism for addressing an annual funding review for MH/MR programs thus allowing for a "cost-of-doing-business." The MH/MR system has historically requested COLAs annually. By instituting an index, proper inflationary adjustments would be permanently established and an annual request for a COLA would be alleviated.
