068-2006_ Major Funding Increases Get Governor's Approval.

CDCAN
CALIFORNIA DISABILITY COMMUNITY ACTION NETWORK
DISABILITY RIGHTS NEWS REPORT
#068-2006 June 30, 2006 - Friday afternoon
Advocacy Without Borders:
Connecting people with disabilities & seniors to rights and unified action
IN MEMORY OF WARREN A. MATTINGLY WHO PASSED AWAY MAY 24
1225 8th Street Suite 480 - Sacramento, CA 95814 916/446-0013 Fax: 916/446-0026
To Respond to THIS email report reply to: martyomoto@rcip.com
CDCAN website: www.cdcan.us

BREAKING NEWS
* Governor Signs 2006-2007 State Budget
* Major Funding Increases for People With Disabilities & Seniors Approved
* SSI/SSP Cost Of Living Increase for January 2007 in Budget
* Supported Employment Program Gets 24% Increase
* Line Item Vetoes on Some Medi-Cal and Special Education Budget Items

SACRAMENTO - Gov. Arnold Schwarzenegger, signed the 2006-2007 budget bill, AB 1801, Friday morning (June 30) on the last day of the 2005-2006 State budget year in a press conference at the State Capitol saying that the "real winners" were the people of California. The Governor signed the $131 billion budget - the largest of any state budget in the nation - approving nearly all of the major funding increases made by the Legislature for programs for people with disabilities and seniors, including additional increases in funding for supported employment and work activity programs for persons with developmental disabilities.

Advocates for people with disabilities and seniors generally had high praise for the Governor and Legislature for the budget that saw increases in several programs after several budget years of reductions and cuts. Still, some advocates raised concerns about the need for additional critical funding and worried about the possibility of another large budget deficit next year, which state officials say could be well over $3 billion.

Other Increases Made By Legislature That Governor Approved:
Here are some of the major increases in funding made by the Legislature (that was not in the original Governor's proposed budget), which the Governor approved. A full and detailed CDCAN report on all budget items impacting people with disabilities and seniors will be released over the weekend.
* SSI/SSP Cost of Living Adjustments - Approved as part of the budget was the restoration of the federal SSI/SSP cost of living increases due January 2007, that will be passed on to SSI/SSP recipients in January, instead of being delayed and withheld for the first three months of 2007.
* Regional Center Funded Programs - Surviving the Governor's line item veto power was about $19 million in additional funding increases, beyond his 3% increase for many regional center funded community-based programs, directed to enhance wages of direct care staff for work activity and day programs that meet certain criteria. This funding is in addition to the Governor's 3% rate increase for community-based programs where the Department of Developmental Services sets rates: community care facilities, community-based day programs, habilitation service programs, respite agencies and vouchered respite service providers, and for specified contract services (supported living, transportation and look-alike day programs).
* Multipurpose Senior Services Program - Also surviving a veto and approved by the Governor was additional increase made by the Legislature for Multipurpose Senior Services Program.
* Governor also approved $864,000 in additional funding by the Legislature for Emergency Housing Assistance Program, approved $100,00 increase made by Legislature to provide for podiatry services related to eliminating the Treatment Authorization Request (TAR) process, and approved $12,127,000 increase made by the legislature for county reimbursement for programs funded through the Department of Health Services, Department of Alcohol and Drug Programs, Department of Child Support Services, and the Department of Social Services.

Legislature Passes Budget Before Deadline For First Time Since 2000
As reported in a previous CDCAN report, the California State Legislature passed, for the first time since 2000, a budget before the end of the State budget year, June 27, and sent the $131 billion spending plan to Gov. Arnold Schwarzenegger. The Legislature adjourned for its summer recess on June 29 and will reconvene on August 7.

In addition to the main budget bill, and AB 1811, which modifies the main budget bill based on agreements made by the legislative leadership and Governor, the Legislature passed and sent to the Governor 9 other different "trailer bills" that contain budget related legislative language implementing certain programs . The Governor will review and consider and is almost certain to sign those bills over the next several days or weeks. All the bills, when signed, go into effect immediately (or when specified in the bill).
[Note: A full report on details of the final budget signed by the Governor, as it impacts people with disabilities and seniors will be included in the next CDCAN Report.]

Governor Uses "Line Item" Veto Power On Several Issues
The Governor however - as all governors do - did use his veto power to reduce or eliminate - where State law allows - budget line items on the following that impact people with disabilities and seniors - though with one or two exceptions, nearly all were not issues of critical importance raised by advocates.
Medi-Cal
* Medi-Cal non-emergency transportation rate increase: Line Item Veto - Deleted $2,502,000 increase by the Legislature to provide for an increase in rates paid to Medi-Cal non-emergency transportation providers. This was a major issue raised by advocates. Governor said that "with this reduction, approximately $82,900,000 still remains to compensate the providers for non-emergency transport services".
* Managed Care Plan Additional Increase: Line Item Veto - Deleted $9,349,000 increase by the Legislature to provide funding for Medi-Cal managed care plans in the event of financial emergencies. Governor's budget proposal - approved - provided for rate increases to six Medi-Cal managed care plans at risk, based on a review of the managed care plans by the Department of Health Services.
* Deficit Reduction Act Pharmacy Reimbursement Study: Line Item Veto - Deleted $300,000 increase by the Legislature to fund a study of the impact of the federal "Deficit Reduction Act" (passed in February) on pharmacy reimbursements. The Governor said "a rate study is premature at this time since it is unknown where the Deficit Reduction Act changes will be implemented. As part of next year's budget development process, the Department of Health Services will evaluate whether a pharmacy reimbursement rate study is necessary."
* Department of Education - Adminstrative Law Judge Compensation: Line Item Veto - Reduced by $320,000 the increase made by the Legislature for increased compensation for Administrative Law Judges concerning dispute resolution services for special education. Governor said "This legislative augmentation is unnecessary, as funding is already included in a separate item for employee compensation adjustments".
* Department of Education - Special Education Study: Line Item Veto - reduced this item by $300,000 by the Legislature, for a study of the special education funding formula's Special Disabilities Adjustment. Governor said: "I note that a similar study funded in the 2002 Budget Act failed to update the adjustment factors in a satisfactory manner, and I see no compelling reason to believe that a second study will bring greater clarity to the issue."
* Governor also made line item veto of $500,00 increase made by Legislature to provide funding for construction management grants in the Self-Help Housing Program,

Legislative Leaders Join Governor at Press Conference
The Governor, during the press conference where he signed the budget, was accompanied by Assembly Speaker Fabian Nunez (Democrat - Los Angeles), Senate President Pro Tem Don Perata (Democrat - Oakland), Senate Republican Leader Dick Ackerman (Republican - Irvine) and Assembly Republican Leader George Plescia (Republican - San Diego). [Note: A full report on details of the final budget signed by the Governor including any line item vetoes, as it impacts people with disabilities and seniors will be included in the next CDCAN Report.] Also appearing at the press conference was Sen. Wes Chesbro (Democrat - Eureka), chair of the Senate Budget and Fiscal Review Committee, and Assemblymember John Laird (Democrat - Santa Cruz), chair of the Assembly Budget Committee.

People First of California Present At Budget Signing
In addition to several legislative staff and other officials, Michael Cooke, president of People First of California Inc, the only statewide advocacy group composed of persons with developmental disabilities was an invited guest and was present standing with the state officials during the budget signing ceremony and press conference. Cooke's presence was yet another indication how far the self-advocacy group has come in terms of being recognized by policymakers.
"We are a presence at the table with the Governor and others" Cooke said after the ceremony and said People First would contine to be a "voice for the rights of all people with disabilities"
The group earlier in June held what state officials and legislators said was an "historic" event - the first public hearing on disability rights and issue held at the State Capitol, which People First of California moderated. That was followed by visits to the Governor's office and other leaders with thousands of letters signed by People First members across California calling attention to critical issues impacting people with disabilities. [Note: go to the CDCAN website to see video clip of the People First hearing, reported by CDCAN]

CDCAN News Reports and Alerts
These CDCAN Reports are partially funded by a small grant from the USC UCEDD, Grant #90DD0540 from the Administration on Developmental Disabilities. The opinions expressed or content in these reports do not necessarily reflect the views or opinions of the USC UCEDD.
The California Disability Community Action Network is a non-partisan link to tens of thousands of Californians in every community, including people of color, people of every type of disability, including people with physical disabilities, people with developmental and other disabilities, people with traumatic brain and other injures, people with mental health needs, seniors, people with MS, Alzheimer's and others, and all of their families, community organizations and providers, direct care and other workers, and other advocates. These action alerts and news reports is for all of them. If you would like to get on this distribution (and conversely, get off of it) please send an email with that request to: martyomoto@rcip.com OR sign up via the NEW CDCAN website at www.cdcan.us Sharing information is part of our organizing effort. Please feel free to forward or copy this (attribution is nice but not necessary). We're all in this together!
MANY THANKS to Training Toward Self Reliance, UCP, California NAELA, Californians for Disability Rights, Inc (CDR), CHANCE Inc, Parents Helping Parents, Arriba, Strategies Toward Empowering People, Parents Helping Parents, Asian American parents groups, Resources for Independent Living and many other Independent Living Centers, several regional centers, People First chapters, IHSS workers, other self advocacy and family support groups, developmental center families, and hundreds of individuals. Thanks also to partnerships and the good people with the State Council on Developmental Disabilities, and also the Department of Health Services, the Department of Developmental Services, Department of Social Services and the CA Health and Human Services Agency and other agencies, and the State Legislature and staff, the Legislative Analyst Office. Good people who do good things can make a difference together.