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Daily Updates 2008
June 26, 008
THIS IS THE FINAL PAFCO DAILY BUDGET WATCH!
Thank you for your patience with daily updates and your persistent citizen advocacy.
Together we made a difference.
The state Senate and House passed the budget (HB2209 General Appropriations Bill and several other companion bills) today - Thursday June 26 with five days to go on the budget clock.
·The Senate version, which by and large protects most health and human services, passed both chambers. The House proposal didn't even get a vote.
·In the Senate four Republicans acted with the Democrats to pass the budget this morning about 5:30am. Senate President Tim Bee, Senators Tom O'Halleran, Carolyn Allen, Jay Tibshraeny voted to support the bipartisan budget proposal the Senate Democrats.
·Four Republicans in the House Representatives, Jennifer Burns, Pete Hershberger, Lucy Mason and Michele Reagan - joined the House's 27 Democrats to pass the bills the minimum number of votes needed to win approval.
·While all agencies are taking some cuts, most major program line items are persevered some even with caseload adjustments. Health care for low income people, Kidscare and Kidscare parents, child care, freedom to work, domestic violence, homeless support services, elder care home and community based services, adult protective services, respite care, and most other health and human services were all protected.
·Under the circumstances of current revenues this is the best deal at the moment and so much better for children and vulnerable adults too.
·Given the depth and breath of the original proposed cuts, this is a victory for children and families and critical health and human services.
·This final budget is probably the best budget under the current revenue circumstances, the struggling economy, and budget balancing tools available.
·THANK YOU - Next item of business is to send a thank you to the Governor and all those senators and representatives for their hard work and courageous votes to protect critical health and human services for children and vulnerable adults.
·Tomorrow and next week after we are able to do more detailed analysis we will a more complete session wrap up.
·Finally, thank you for your citizen advocacy. You did make a difference.
June 24, 2008
The daily budget count down continues - now with dueling budgets.
While we now have both House and Senate budget proposals, we have dueling budgets with different versions for solutions for 2009. We must keep vigilance and make sure we hold our policy makers accountable. While the Senate version of the dueling budgets seems much better upon review for children and vulnerable adults, we need to make sure legislators know we are watching and holding them accountable for protecting health and human services. Many observers believe the Senate bi-partisan budget will prevail. It is not over till, its over!
-Have you contact your legislators yet and told them to protect children and vulnerable adults? See action alert below.
-The Senate announced their bipartisan budget today, but no budget bills were available at the time of this late email. Both President Tim Bee and Senate Minority Leader Marsha Arzberger appeared together at the press conference demonstrating their solidarity about their budget approach. Here is brief summary of what we know today about these budgets. While there are some painful parts to the Senate budget, it appears that the Senate bipartisan budget protects children and vulnerable adults much better than the House version.
-AHCCCS: continues KidsCare parents; freezes reimbursement rates for many AHCCCS services; continues Healthcare Group Subsidy; continues freedom to work ticket program and requires Maricopa & Pima counties to pay ALTCS growth. Unfortunately, the Senate Budget eliminates adult dental services and suspends temporary medical coverage program.
-In the House approach adults without minor children over 21 will be required to do AHCCCS eligibility at least every 6 months. That could have a negative impact on individuals served in the system.
-Department of Economic Security: The Senate Budget suspends unused Healthy Families funding; eliminates academic tutoring funding; there are increases in DD early intervention services but the freezes DD provider rates. The House approach requires DES to do lump sum reductions while purporting that it protects CPS and programs for persons with developmental disabilities.
-However, upon closer analysis the House proposal will actually cut CPS funding by $16.3 million. This is the amount of the monies added in FY 08 to cover caseload growth and provide full funding for authorized CPS staff. Under this House budget proposal, CPS will actually start the year with a 9% cut.
-AND with $478 million of DES funding considered exempt from budget cuts - including the federally funded Title XIX program for persons with developmental disabilities and Child Protective Services, the $64.7 million lump sum reduction results in a 19% cut to the remaining $347.5 million General Fund budget. Programs subject to the cut are Adult Protective Services, home and community based services for the elderly, child care vouchers, hunger, homeless and domestic violence programs, and AHCCCS enrollment. (CAA analysis)
-Department of Health Services: Unfortunately once again DHS takes some cuts to community health centers by $1.5M, reduces the health crisis fund by $500 K; reduces poison control by $250,00; reduces DBHS contract compliance by $605,00, rollbacks youth meth prevention by $500,000, suspends vaccine increase by $2 M, reduces abstinence by $1.5 M, suspends valley fever by $184,700; eliminate women's services saving $501,500, suspend Health Start for $226,600; suspend county nutrition by $330,300 and reduce ASH lease payment by $1.6 M. Department of Health Services also includes a fund sweep of $8.2 million. We are requesting detail on this about what is planned and any impacts.
-The Housing Trust Fund sweeps $8 plus million in the Senate version but the House proposes to sweep $30 million.
-The House bills requires DES, DHS & AHCCCS to change eligibility, benefit level or freeze enrollment in programs in order to meet agency wide lump sum reductions. These changes shall not conflict with federal law or be in violation of the state constitution. However, this is an interesting way to transfer the difficult hard choices to the executive agencies while forcing the poison pill of very large lump sum cuts based on flat budgets without caseload or other increases.
-Both chambers are holding budget hearings on Wednesday June 25 at 9:30. The budget struggle is NOT over yet. We must remain watchful and continue to contact our legislators to let them know we want them to protect children and vulnerable adults and critical health and human services. Contact your legislators. See the click and send letter below.
(Sources: Thanks for Children Action Alliance for analysis and updates and also many other PAFCO leaders with their analysis and input into these updates.)
June 23, 2008
The Senate and House leadership worked over the weekend.
· The House GOP leadership announced their budget today. Essentially there are now dueling budgets.
· The Senate budget version (no bills yet published) has bipartisan support including the Governor - also announced today.
· Budget bills were published by the House late in the day. Based on a very quick first look analysis, the House budget for most health and human services is basically a flat budget based on 2008 numbers with no caseload or other increases which force lump sum cuts. There is a paragraph in the House bills essentially empowering (forcing) agencies to stay with the amounts by cutting program eligibility or staying within the budgeted amounts any way possible within federal or state law. Nothing is really protected.
· No Senate bills were published by late in the day. The Senate bill published for the Appropriations hearing on Wednesday is basically a 1/12 (one month) emergency measure keeping some government agencies operating, but does not include DES, AHCCCS or DHS other than the state hospital.
· Both the Senate and House have budget hearings scheduled for Wednesday June 25.
· Apparently the Senate proposal does have some cuts to health and human services, although we are told attempts are made to protect as much as possible. No detail was available this evening.
· Does the budget deal protect children and vulnerable adults and critical health and human services?
· Comparisons of the budget approaches are below at the bottom of this email.
Economic Stimulus - A State Earned Income Tax Credit for Working families
Some legislators have proposed an "economic stimulus" package to deal with the Arizona's struggling economy. Without commenting on the final merits of those ideas, we propose some tax credits that really work. As long as the legislature is seriously considering tax credits and subsidies to developers, we recommend one for working parents who can benefit the most and immediately recycle the funds into the economy.
· The Earned Income Tax Credit (EITC) is a tax credit with a proven, 30-year track record of lifting working families out of poverty and quickly pumping money into local economies.
· A state version of the EITC would boost the economy, while at the same time providing a buffer for poor families caught between low wages and spiraling food, fuel, health care, and child care costs. Some facts:
· The federal EITC is one of the most effective government programs at lifting children out of poverty. In fact, in 2005 nearly 414,000 Arizona households, the vast majority of them working families with children, received the federal EITC (Arizona has the 15th highest child poverty rate in the nation).
· The federal EITC was created by Congress in the mid-1970s and has been expanded since, with support from both Democrats and Republicans. The credit provides a tax cut for low-income working families. It is now the largest, most popular anti-poverty measure in the federal arsenal.
· At the state level, an EITC helps to offset regressive sales and property taxes, the burdens of which fall primarily on low-income earners.
· Families spend the EITC in the local economy in ways that are likely to increase earnings or protect against future economic shocks, such as loss of a job. A team of researchers from Syracuse University and the Center for Law and Human Services found that families used money from the EITC to pay education expenses, repair their cars, and move to a new neighborhood or put money in a savings account.
· In 2007 alone, 10 states either created or expanded their EITCs, providing significant new support for low-income working families with kids. As of May 2008, two more states have followed suit and an additional three states are considering increases to existing EITCs.
· In all, the EITC expansions of 2007 will put an additional $1 billion in the pockets of working families over the next five years. That represents a huge financial advancement for working families in all of those states.
· In tax year 2006, the Federal EITC pumped $796 million into the Arizona Economy.
· Arizona should join the 24 other states that now have a state EITC, in addition to the federal EITC. It would be great for the economy, poor families and would help reduce poverty at the same time. Seems that is a winner for everyone. (Sources: The Brookings Institution, The Center for Budget and Policy Priorities, the Annie E. Casey Foundation, and Children's Action Alliance.)
June 19, 2008
HEALTH CARE NEEDS GROWING DURING SLOWING ECONOMY
-The AHCCCS caseload is growing at the rate of 6% over last year, but many fear growth will be much larger as recession continues in Arizona. Unemployment benefits claims are up 40% over last year and are typically a leading edge of health and social concerns. As families run out of resources, they will turn to available health care for their families.
-Many Arizona businesses can no longer afford to offer health coverage to their employees or their dependents. Only 52% of Arizona's private sector employers offer health coverage to their employees. Only 39% of Arizona's small employers offer employee health coverage. Arizona is experiencing a decline in employer sponsored insurance coverage.
-Health insurance costs are rising for Arizonans. From 2000 to 2007, premiums have increased 87%.
-Many Arizonans live in a state of health insecurity, wondering whether the health care system will be there when they need it or whether they will be exposed to huge medical costs - or even bankruptcy.
-Over a million Arizonans are uninsured. That's 18 percent of Arizona's population.
-Over 250,000 Arizona children are uninsured. That is 15% of Arizona's children. Among states, Arizona has the highest rate of uninsured children who receive no health care during the year.
-Reducing Community Health Centers Funding makes no sense either. These funds provide grants to 19 community health centers to provide primary health care services to uninsured persons below 200% of the Federal Poverty Level. This cut would eliminate funding for health care 12,000 uninsured low income working families.
-Cost shifts and emergency care will grow if cuts to AHCCCS and community health centers are made. Reducing these types of health care funding only pushes these costs to higher cost services like emergency care and further shifts costs to other working class families and businesses to higher premiums for their health care. It stops families and children from getting needed preventive regular health care, contributes to poor learning and work absenteeism.
June 18, 2008
Budgets are both economic and moral documents.
-State budgets have a great impact on the state and local economy. Budgets determine the level of investments and taxes needed by the state to do its business for the people.
-The new state budget for 2009 will have a economic impact one way or another on families particularly those suffering during this recession economy.
-As Nobel Prize Economist Joseph Stiglitz says "cutting spending on programs that serve low-income people tends to reduce consumption - and thus state economic activity - by the full amount of the spending reduction."
-Protecting families is not just the right thing to do, it is the smart thing to do.
Budgets are moral documents reflecting our deepest shared values.
-The measure of a humane society is how it treats its most vulnerable members. Needs of vulnerable families continue to be very severe and worsening with a slowing economy.
-We believe it is our obligation as a society to protect and serve those most vulnerable among our citizens, whether they are children, adults or elderly.
-Many businesses and institutions can weather a storm of recession but vulnerable families only have the public and private safety net systems to help them make it through.
-We need to protect those systems as the last resort support for those families. It is a matter of human dignity.
June 17, 2008
Rising transportation costs are making the workforce crisis even worse.
-There is a well documented health and human services workforce crisis. That crisis is exacerbated now by rising transportation, food, and other costs. Fuel costs have risen 50% in the last six months alone.
-Many home care workers and other human services workers' wages are so marginal that rising gas prices make it impossible for them to afford to get to work much less make house calls as required by their work.
-The in-home services system, child care system, mental health vans system, home delivered and human services systems are approaching a prefect storm of rising costs, years of neglected rates not consistent with costs, and increasing demand. Providers are not able to pay adequate wages or cover increased food and fuel costs.
-Some agencies are already laying off staff because of these converging forces. Cuts to these types of programs would be devastating.
-Even flat budgets will be real cuts to vital programs for very vulnerable people.
-State agencies responsible for services must be provided the resources to find a way to make some real time adjustments and provide relief to these programs to maintain current capacity to serve vulnerable families and individuals.
-If AHCCCS, DES, and DHS are not able to make rate adjustments and provide relief for next fiscal year, service delivery will be severely compromised. Elderly, families in crisis, people will disabilities will suffer the consequences.
-There could also be an increase costs in emergency care, hospitalizations, medical costs, and foster care with other potential negative consequences.
-Ambulance regulations provide for automatic rate increases due to increased fuel or other costs, in recognition of the fact that emergency medical service and transport is a vital public service. Similar logic should be employed on behalf of these critical health and human services.
These issues need to be addressed in the 2009 budget.
June 16, 2008
Cuts to public health programs threaten community health
-High Risk Perinatal Services Funding. Program covers specialized services for critically ill newborns & pregnant women, pays for care of the ill newborns & training of MDs for screening of developmental programs.
-Reduce Community Health Centers Funding - These funds provide support to 19 community health centers providing primary health care services to uninsured persons below 200% of the Federal Poverty Level. Proposed cuts would eliminate funding for 11,000 visits. ($1,500,000)
-Arizona Immunization Program The program provides vaccines to children and high-risk adults not covered by federal vaccination programs, entitlement programs, or private health insurance. Funding needed to keep pace with population growth and increasing vaccine costs while providing 360,000 additional doses for children and 51,000 doses for adults.
-Senior Food Program supports program funding to individuals 130% Federal Poverty Level. The programs serve 14,000 seniors a month with state funds. Seniors Farmers Market provides $30 coupons which will be reduced by about 5,000..
-Child Care Licensing - Child care licensure staff to reach a facility-to-surveyor ratios of 50:1. Protects children and families using facilities. Could result in harm to children and reduction in options for families trying to maintain work.
-General Mental health and substance abuse funding: Cuts to this program will be a serious blow to individuals and families who are relying on this program to pay for services that they cannot afford to pay for on their limited incomes. If these services are no longer available, the untreated children and adults will show up in the crisis system, the emergency rooms, and the jails, where it will be more expensive to treat them and they will have experienced failure in schools and jobs, leading to more serious problems and stresses on them and their families.
June 12, 2008
"It shouldn't hurt to be a child" - Protect and Improve Child Protective Services (CPS)
-CPS investigations continue to grow about 6% a year about double the growth in the child population. Most CPS reports are for neglect - about 65%. Many families clearly need help and community supports while raising their children.
-There are about 9,700 children in foster care. 51% of the children in foster care have been in care for more than one year and 27% have been in the state's care for more than 2 years.
-CPS worker caseloads are almost 20% above established standards for quality effective work with children and families. Many children and families and foster families still don't get the required visits to assure their wellbeing and improvement. Over 200 new caseworkers are needed to provide high quality casework with families.
-The primary underlying cause for removal of young children from the home by CPS is substance abuse. The Families First program provides family-centered substance abuse services to parents and caregivers with the goal of maintaining or unifying the children with parents or family caregivers. Drug or alcohol abuse was a factor in 62% of the deaths of the 50 child deaths in Arizona due to child maltreatment in 2005. Preserve Arizona Families F.I.R.S.T.--$5,000,000 from general fund.
-The Healthy Families Program is a critical element in the larger CPS system: Reducing this child abuse prevention program serving 5,900 families annually with documented results preventing child abuse and neglect doesn't make sense in even tough budget years. Cuts could result in increased children in foster care and increased costs.
-CPS is great illustration of the interdependence of the health and human services system. CPS is reliant on many other systems of care and family support, mental health, substance abuse treatment, child care, health care, education, food banks, jobs, and family support services like domestic violence. A cut in any of those systems can also impact CPS's capacity and ability to do its job --- and potentially increase cost as a consequence.
-Certainly CPS reform must continue and the system must be more open and transparent, but we must NOT starve the system of needed resources to do quality work for children and with families while those major policy changes are being completed.
-LUMP SUM CUTS could really negatively impact CPS. It could force cuts like:
-Staff reductions could include: 140 fewer CPS case managers, 670 fewer staff at eligibility functions,
-3,000 families lose in-home child welfare services, 800 peoples with Developmentally Disabled put on waiting list, & 900 lose substance abuse services.
-10% reduction in APS case managers, & 80 staff in child support.
-There will be a lose in federal funds & longer waits to get eligibility completed.
June 11, 2008
Rumors about cuts abound as closed door talks limp along.
While few people really know what is being discussed behind closed doors or what is on the list for cuts, these programs and services listed below have been rumored recently (from a variety of sources) as once again being considered for 2009. We must take heed of such rumors and act and contact our legislators and say NO cuts to critical health and human services. While none of these cuts have been publically proposed or finally adopted - talks are still going on, advocates must pay attention given the secretive closed nature of the budget discussions. There may be other programs on a list for sweeps and cuts, but credible rumors may not have surfaced yet. Stay tuned and please take action. (See advocacy message talking points below.)
-CHILD CARE - Lowering child care eligibility limits or creating a child care waiting list impacting thousands of low income families trying to work during a recession. As many as 4,000 children could lose child care throwing many families out of work during a recession. (This type of cut just pushes families onto public welfare which does not seem like good public policy.)
-KidsCare Health Care- Lowering eligibility to 175% from poverty rather current 200% of poverty leaving families no alternatives and more clogging emergency rooms or even more dire consequences of not getting regular health care. (Over 19,000 children would be eliminated from the program and just shift cost to emergency rooms and general health care system.)
-KidCare Parents - eliminating 13,000 parents from health care furthering clogging emergency rooms or resulting in loss of regular primary care or health care in emergencies only.
-General Assistance - Eliminating this safety net program for persons with serious disabilities for 1,300 persons. This is a basic support and safety net program and may just be cruel while only saving a few million dollars.
-Community Health Centers (cutting $1.5 million) which could impact up to 38,000 low income persons from getting needed health care. (This could just clog emergency rooms even more.)
-Housing Trust Fund sweeps which will impact homelessness, loss of needed construction jobs and state revenues. Makes no sense economically or humanely.
-Healthy Families: Reducing this child abuse prevention program serving 5,900 families annually with documented results preventing child abuse and neglect. Cuts could result in increased foster care costs.
-General Mental health and substance abuse funding: Cuts to this program will be a serious blow to individuals and families who are relying on this program to pay for services that they cannot afford to pay for on their limited incomes. Could also result in other health care costs and emergency room costs.
-LUMP SUM CUTS rather than program cuts. Lump sum reductions could force significant impact on child welfare and family services in DES. It could force cuts like:
-Staff reductions could include: 140 fewer CPS case managers, 670 fewer staff at eligibility functions,
-5,000 children lose child care & a waiting list would be established,
-3,000 families lose in-home child welfare services, 800 peoples with Developmentally Disabled put on waiting list, & 900 lose substance abuse services.
-10% reduction in APS case managers, & 80 staff in child support.
-There will be a lose in federal funds & longer waits to get eligibility completed.
-Lump Sum funding reductions in AHCCCS could result in
-Elimination of 314 eligibility positions; lengthen eligibility processes, reducing quality control oversight and administrative capacity and loss of federal funds.
-AHCCCS caseloads are growing because of the economic downturn.
June 10, 2008
Cutting Homeless Safety Net Services during a Housing and Foreclosure Crisis would make no sense.
-There are estimated 19,000 homeless men, women and children in Arizona in any given month in rural and urban areas. The Urban Institute estimates that about 54,000 men, women and children experience homelessness in a year in Arizona. Approximately 19,600 school aged children are identified by homeless school liaisons over the course of a year.
-Of the men, women and children who are homeless in Arizona, typically 49% are persons living in families; 10% are Veterans; 17% are Seriously Mentally Ill; 27% are victims of alcoholism and substance abuse; 8% are people with physical and/or developmental disabilities.
-Homelessness cuts across all other socio-economic issues especially during and housing and foreclosure crisis. Among those are: access to healthcare, access to affordable childcare, ability to earn a living wage, and access to affordable housing.
-The alternative to not offering homeless safety net supportive services is to potentially increase numbers and costs of the persons and families who are homeless slipping into far more expensive public safety or health services. According to recent studies per diem housing costs in prison are four times more expensive, in mental hospitals about twelve times more expensive, and in acute care hospitals more than fifty times more expensive than shelter in Greater Phoenix.
-The wise use of limited state resources for homeless services is both cost effective and humane. The Homeless line item is $2.8 million but leverages significantly more federal, state and local funds. Another $400,000 is for homeless youth services. In actuality, much more funding is needed to address the homeless safety net so cutting these types of services in this time of crisis makes no sense.
-It would make no sense to cut homeless safety net services or the Housing Trust Fund during a housing and foreclosure crisis and cripple the current capacity during this crisis. (Data from the Fact Sheet prepared by Arizona Coalition to End Homelessness in the PAFCO Unfinished Agenda.)
-Cuts like these make no sense humanely or economically. Nobel Prize economist Joseph Stiglitz, reports that "cutting spending on programs that serve low-income people.
June 9, 2008
Healthy Families Program prevents child abuse and neglect
-Healthy Families Arizona serves families experiencing multiple stressors that can put their children at risk for child abuse and neglect. Families are identified as being at risk (like in hospitals or prenatal care) and offered intensive family support and parenting services to prevent child abuse and neglect.
-Healthy Families serves about 5,900 families annually and about 3,700 families a month. Families are in the program about a year to get the full impact.
-Healthy Families has 58 program sites throughout the state. The program was started in 1991. The program general funding is about $8.7 million leveraging federal and other funds up to about $21.5 million.
-Healthy Families really does prevent child abuse and neglect. Parental participants consistently report improvements in healthy parenting behavior.
-Child abuse and neglect incidents (substantiated) rates are extremely low for program participants --- less than one percent or that the program is 99% effective at preventing substantiated reports of child abuse and neglect. (LeCroy & Milligan Associates, Inc. (2007). Healthy Families Arizona Evaluation, Report 2007. Tucson, AZ: LeCroy & Milligan Associates, Inc.)
-Cutting this type of program could increase foster care costs. That would not make sense in a tough budget year.
June 6, 2008
Bipartisan leadership meetings are occurring behind closed doors but at a very high level of discussion (apparently) with lots of talk in the meetings about the big target numbers, like the amount of potential sweeps, cuts, bonding, and rollover numbers.
-But nothing has been published for the members or the public to consider. This is not a way to do the people's business. Why are strict rules of confidentiality being employed?
-Based on revenue projections, the deficit seems to be growing --- could be $2 billion plus or more. Some rumors about more funds may be available for sweeps to solve deficit problems.
-Bonding still seems to an unresolved issue.
-So as revenue goes south, other numbers are growing:
-UI benefit checks are up 40% over last year.
-Food bank requests in many locations are up 40%.
-Food stamps recipients up 16% over last year.
-AHCCCS caseload growing at 6%
-Most non profits are reporting demand for all kinds of services are up 20% or more (many are reporting 40 to 60% requests) - while donations are going down.
-All the while capacity is shrinking because of increased costs for transportation, health care, food, utilities, and almost everything else. Some are predicting that worst is yet to come, this is not a time to abandon families, children, and vulnerable adults. Flat budgets will be cuts given current rising costs while demand will increase in the foreseeable future. This is not a time to cut vital critical programs for children and vulnerable adults.
-Difficult choices will have to be made, but we should never balance the state budget on backs of the poor and vulnerable.
-And few legislators (if any) are talking about tax reform and an adequate tax structure for a growing state where critical investments in infrastructure are needed to move forward. Our state needs more than just new highway and transportation systems, we need all kinds of infrastructure including a vibrant quality health and human services system to build a positive and excellent quality of life for all. Where are the courageous leaders who might suggest such bold action as another alternative? Maybe we should consider some short term taxing alternatives to help the conservatives avoid more debt they are so afraid of -- while many educational and health and human services advocates concerns could also be addressed and programs protected.
June 5, 2008
Maintain funding for AHCCCS Freedom to Work - a ticket to financial self-reliance for people with significant disabilities.
-Without this program, few people with severe disabilities on AHCCCS will be able to take the risk to try working again.
-Currently there are over 1,099 Arizonans participating in this program who pay a monthly premium and work.
-Young people with disabilities will face a future of poverty and dependency because they will never be able to take advantage of the other work incentives available.
-Arizona's Ticket to Work/AHCCCS Freedom to Work health plan works because it allows Arizonans with disabilities to work, pay a share of their healthcare cost and maintain AHCCCS eligibility until they can get their own health insurance.
-It helps people with disabilities earn their way off the program and the public assistance rolls completely.
-This program benefits all Arizonans in millions of dollars in wages spent in Arizona's business and millions of dollars in taxes collected from these earnings in sales and income taxes. It would not make sense to throw more people out of work during an economic recession. (Thanks to the Arizona Disability Advocacy Coalition and ABIL for supplying information for this daily update.)
June 4, 2008
Cutting General Mental Health and Substance Abuse Funds makes no sense - it would be penny wise and pound foolish.
-Arizona Families F.I.R.S.T. - Substance Abuse Treatment
-This program provides family-centered substance abuse services to parents and caregivers with the goal of maintaining or unifying the children with parents or family caregivers. This program is critical to child protective services.
-In 2007, 450 children were safely returned home to their parents without a recurrence of abuse and neglect. Without funding, more children will not be able to stay at home or return home. They will be in foster care situations, which results in huge financial costs to the state and emotional and developmental costs for the children.
-Cutting this program would cost more than saved. ($5,000,000 from general fund)
-General Mental health and substance abuse funding: Cuts to this program will be a serious blow to individuals and families who are relying on this program to pay for services that they cannot afford to pay for on their limited incomes.
-If these services are no longer available, the untreated children and adults will show up in the crisis system, the emergency rooms, and the jails, where it will be more expensive to treat them and they will have experienced failure in schools and jobs, leading to more serious problems and stresses on them and their families.
-There are 47,226 non-SMI (Seriously Mentally Ill) adults who are the working poor who are uninsured or underinsured for these services funded by the program. 5600 children receive services from this fund for mental health and substance abuse. There is also a small population of Title XXI kids who are seriously emotionally handicapped and receive services funded by the state. Other populations funded under this program include non- XIX SMI and SMI required to be funded by Arnold v. Sarn.
-This fund of $125,000,000 has been flat for the past three years, which effectively means a gradual reduction in the number of persons served because of increasing costs. (Thanks to the Arizona Council of Human Service Providers for providing information for this daily update.)
-Cuts like these make no sense humanely or economically. Nobel Prize economist Joseph Stiglitz, reports that "cutting spending on programs that serve low-income people tends to reduce consumption - and thus state economic activity - by the full amount of the spending reduction."
tends to reduce consumption - and thus state economic activity - by the full amount of the spending reduction."

