Current Bills

Medicaid Values People

Over the past four decades significant advancements have been made in how millions of Americans with disabilities receive the supports and services they rely upon to live and work in communities of choice. Many of these advancements have evolved, in part, due to the availability of federal Medicaid funds. Today, federal budget writers have targeted Medicaid for severe budget cuts that would greatly impact the delivery of long term supports and services to our most vulnerable populations. Such cuts would also Such cuts would only make worse the nation’s unemployment problem, with the elimination of tens of thousands of jobs currently held by members of the direct support workforce.

Economies of Scale

Many view Medicaid as simply an entitlement program and burden on taxpayer resources. While enrollment and costs in the program continue to grow, the untold story is that Medicaid is virtually the only way many Americans can receive treatments, services and often critical supports they rely on for survival.

Medicaid funds make possible vital, life-sustaining supports and services to people with disabilities. Cutting these funds will have devastating effects on individuals with disabilities, their families and local economies.

Families USA recently released the findings of a study designed to demonstrate the impact of a 5% Medicaid funding cut on state economies . A key finding illustrates such a cut would mean the 50 states and the District of Columbia would lose a total of $13.75 billion that is needed to support health care for vulnerable residents. Such a cut would also lead to elimination of tens of thousands of direct care jobs nationwide, severely depleting the already slim workforce needed to provide these critical supports.

As long as current economic conditions continue, entitlement programs such as Medicaid will be targeted for significant cuts by federal budget writers. At the same time, the demand for long term supports and services is growing and the supply of qualified direct support professionals is diminishing. This is widening the gap between those who need supports and those who deliver it.

Supply & Demand

In the current economic climate only a few industries are experiencing economic growth and job creation opportunities. The health care sector is one. In fact, according to information released by the Bureau of Labor Statistics, the health care labor market is forecast to generate more than 3.2 million new jobs over the next seven years, more than any other industry sector.

People with disabilities are living longer. This, combined with America’s aging baby boomer population is creating an unprecedented demand for supports and services from direct support professionals (DSPs). Make no mistake, a skilled direct support workforce is key to people living independently in the community.

By 2020, an estimated 1.2 million DSPs will be needed to support individuals with intellectual and developmental disabilities, an increase of 37% or roughly 323,000 jobs. Meeting this need would require 19,000 new hires per year. However, because of the high turnover rate for DSPs, it is estimated that only 4% of those new hires would be for new positions. Apart from those with “disabilities,” the gap has disturbing implications for every aging American.

Even with more than 300,000 Americans with disabilities languishing for years on waiting lists for desperately-needed services, state revenue shortages and budget cuts have led to a critical shortage of DSPs to assist people with disabilities exists. Currently, there are approximately 874,000 direct support professionals serving people with intellectual and developmental disabilities in America. This is not enough to meet today’s demand, let alone tomorrow’s alarming projections.

A Real Threat

The Joint Select Committee on Deficit Reduction (Super Committee) has been charged with cutting $1.2 to $1.5 trillion from the deficit over ten years and must propose specific federal spending cuts by November 23, 2011. Entitlements, especially Medicaid, and other disability discretionary spending are marked with targets for the Super Committee to slash. Following the November 23 proposal, Congress must take a vote by December 23 on whether to implement the Super Committee’s recommendations.

To win this battle, we must show that Medicaid is not just a number on a ledger to be slashed, but is an essential part of the lives of people in every community across America. We must challenge our elected leaders to respond not to the “prize” of billions cut from a budget, but to the human stories we know all too well.

For every Medicaid dollar spent, there is a person and a story that goes with it. Real people rely on this funding to live. Real people rely on this funding to work.

Let’s get real. Help us tell the story of how Medicaid Values People (MVP).