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Budget improves Oregon's home care system
Health Plan Standard enrollment declines
Maintaining a safety net of services for seniors and people with disabilities
Partial restorations support vital mental health and addiction services
Restoration of Health Plan services requires federal
approval

Budget improves Oregon's home care system
The department's 2003-2005 budget includes funds for the first-ever labor
contract with home care workers, an important improvement in the system that
provides care to thousands of seniors and people with disabilities.
The budget provides $25 million for the contract, which covers about 13,000 client-employed
providers who help with dressing, bathing, housekeeping and other daily activities.
These services help seniors and people with disabilities remain in their homes.
Oregonians set the foundation for improvements to the home-care system with approval
in 2000 of Measure 99, which created the Oregon Home Care Commission. The commission
was charged with:
- Developing standards and training opportunities for home care
workers
- Establishing a registry of home care workers
- Serving as "employer
of record" for purposes of collective
bargaining
- Improving home care workers' benefits.
In 2001, home care workers organized
under Local 99 of SEIU Local 503, the Oregon Public Employees Union.
HB 5030 contains about $25 million to fund the
contract with home care workers.
The commission and union, with assistance
from the state Department of Administrative Services, ratified an agreement
on Aug. 1, 2003.
The agreement covers wages,
future health coverage, future workers' compensation coverage, and leave
benefits for all home care workers in the bargaining unit.
Home care workers
will see a 40-cent-per-hour wage increase, effective July 1, 2003.
The agreement
also calls for paid time off — one day per year for workers who work 80 hours
in any month, and 24 hours per month for 24-hour, live-in
workers.
Beginning April 1, 2004, home care workers will be eligible for health care
coverage, which will start 30 days after they have worked a minimum of 88 hours
in two preceding months, and for workers' compensation coverage. The agreement
also
has provisions for suspension or discharge, grievances, health and safety
matters, mileage reimbursement, union rights and other matters.
No strikes or lockouts are allowed.
The full contract, a summary document and other
resources are available online.
For more information,
contact Genevieve Sundet, with the department's Seniors and People with Disabilities
group, by phone at (503) 945-5990, or by email.
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Health Plan Standard enrollment declines
Nearly 55,000 Oregon adults were enrolled in the Oregon Health Plan's Standard
benefit package in September 2003, a number that has fallen in recent months
for several reasons.
Enrollment, once as high as 100,000, has dropped largely as a result of changing
premium requirements that were effective Feb. 1, 2003. Beginning on that date,
payments were required monthly. Previously, enrollees could delay paying premiums
until the end of their six-month eligibility period, when full payment was
required for re-enrollment.
The new premium rules, along with other changes in the benefit package, are
part of an effort to operate the Health Plan in ways that parallel commercial
health plans. About 35,000 people were disqualified from the Health Plan during
the first months of required monthly premiums, through Aug. 1.
Other factors in declining enrollment included people deciding not to re-enroll
in the Health Plan at the end of their eligibility period and people not applying
in the first place, perhaps as a result of publicity about reduced benefits.
Monthly premiums range from $6 to $20.
The legislature has directed the department to take a look at the premium
requirements and other policies to assess their impact on clients. A report
will be made in late 2004.
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Maintaining a safety net of services for seniors and people with disabilities
The 2003 Legislature sought to restore a safety net of services for the most
vulnerable of Oregon's seniors and people with disabilities.
Clients receiving
in-home and 24-hour services are classified in 17 levels depending on their
ability to perform daily activities, with those in the lowest
levels requiring the most assistance.
The 2003-2005 budget continues long-term
care services for people in levels 1 through 11. Subject to federal approval,
the budget also restores funding
for services to people in levels 12 and 13 - about 1,200 clients who need
help in such areas as mobility and eating.
Services to about 3,600 people
in levels 14 to 17 were eliminated in budget reductions in early 2003, and
were not restored.
Some other features of the 2003-2005 budget:
- The budget provides a scaled-down
replacement for the department's former General Assistance program. This
program provided cash assistance
to about
2,600 low-income people with disabilities waiting for determination
of their Supplemental Security Income (SSI) or Social Security Disability
Insurance
(SSDI) claims.
The new program serves about 1,150 clients, focusing on those deemed
likely to meet SSI criteria.
- Subject to federal approval, the
budget provides prescription drug coverage for seniors and people with
disabilities with incomes
up to
133 percent of
the federal poverty level, with some cost sharing by program
participants. This will allow many of those formerly enrolled in the department's
Medically Needy program to regain some coverage.
- Funding for Oregon
Project Independence, which provides in-home services for clients who do
not qualify for Medicaid, was restored
to $7.6 million.
Overall, the program is funded at a level that's $6.1 million
below that of 2001-03.
- Funding continues for residential care
facilities and adult foster homes at their 2001-2003 legislatively approved
levels.
However,
the budget allows
2.6 percent cost-of-living increases for assisted living
facilities in each year of the biennium.
- The budget includes funding for
a re-negotiated Staley Agreement, which provides services to people with
developmental
disabilities.
- A tax on nursing facilities, scheduled to
be implemented February 1, 2004, will provide additional funding for services
to seniors
and people
with disabilities.
- Other-fund revenue generated through
tax collection will be used to provide increases in Medicaid nursing facility
rates.
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Partial restorations support vital mental health and addiction services
In restoring some critical mental health and addiction treatment funds to the
department's 2003-2005 budget, legislators sent a clear message about the
importance of these services.
Mental illness and addiction problems contribute significantly to crime, child
abuse and neglect, homelessness, escalating health care costs and other social
problems.
As the 2003 legislative session proceeded, advocate groups, service providers
and others gave lawmakers comprehensive information about the value of treatment,
said Bob Nikkel, administrator of the department's Office of Mental Health
and Addiction Services.
"By the end," he said, "legislators had become champions for
an integrated system in which mental health and addiction treatment services
are an essential piece."
Legislators made significant restorations to mental health services, including
community mental health treatment for severely ill children, adolescents and
adults who do not have any means to pay.
Partial restorations were made to community mental health crisis services,
and to the child and adolescent psychiatric day treatment program. Some Oregon
Children's Plan funds were restored for treatment of parents whose alcohol
and drug problems place their young children at risk, and for treatment of
parents or their young children who are at risk due to mental disorders.
Other major developments during the session included partial restoration of
Lottery-funded prevention and treatment of problem gambling, and restoration
of $2.7 million for residential alcohol and drug services.
In addition, partial restoration of the General Assistance program and former
Medically Needy program will help Oregonians with mental health or addiction
problems find adequate housing and access to medications.
Nikkel said that organizations such as the National Alliance for the Mentally
Ill were key in raising awareness about mental illness and addiction throughout
the session. He also credited county mental health directors, alcohol and drug
providers, and other partners and stakeholders.
"For thousands of Oregonians, recovery from mental illness and rehabilitation
from addiction is real, and providing appropriate and timely services to them
is vital," he said. "Working with our partners, we will deliver services
to ensure the best outcomes for children and adults."
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Restoration of Health Plan services requires federal
approval
The department is seeking federal approval to permit the Oregon Health Plan
to partially restore services that were eliminated last spring to balance the
state budget.
The changes would affect about 55,000 adults statewide who are covered by
the Health Plan's Standard benefit package, which on March 1 eliminated coverage
for dental services, medical supplies and outpatient mental health and chemical
dependency services.
The Standard package covers people whose incomes are below the federal poverty
level but who wouldn't qualify for coverage under conventional federal Medicaid
law.
In the 2003-2005 budget, the legislature restored mental health and chemical
dependency benefits, medical supplies, and emergency dental services to the
Standard benefit package. Coverage was continued for prescription drugs and
services such as doctor and emergency room visits.
Hospital services in the Standard benefit package were reduced to about 70
percent of the value of the current hospital benefit. Emergency services and
admission for conditions requiring prompt treatment to prevent life-threatening
health deterioration will be part of the new hospital benefit package. Oregon
hospitals and managed care plans are paying new provider taxes that will offset
some Health Plan costs.
The limited dental services package will include extractions and some additional
emergency services.
Assuming federal approval is received in time, the revised Standard benefit
package would go into effect on Jan. 1, 2004. Approval is required because
the federal Medicaid program pays about 60 percent of Health Plan costs.
Lynn Read, state Medicaid director, said lawmakers recognized the importance
of mental health and chemical dependency coverage, which they restored.
Lawmakers also broadened eligibility for the Children's Health Insurance Plan
(CHIP), permitting children and teens to qualify in households with incomes
up to 200 percent of the federal poverty level (up from 185 percent currently).
Broadening CHIP eligibility also requires federal approval.
Read said the department already had requested federal approval to move by
30 places the line on the Health Plan's prioritized list of medical conditions
and treatments, from line 549 to line 519. Among the treatments that would
be eliminated, subject to federal approval, are those for chronic ear infections,
carpal tunnel syndrome, urinary incontinence, osteoporosis and osteoarthritis.
As a major expenditure, Health Plan services could be affected if tax increases
that the legislature used to balance the budget are referred for a statewide
vote and overturned in a February election.
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