Many Harmful Budget Cuts Rejected!
The 2010 legislative session has ended. With hard economic times as a backdrop,
Maine’s budget and the programs it supports dominated this legislative session.
Things got off to a fast paced start with budget hearings beginning the first
week the legislators arrived. Thankfully, equally quickly, Maine people mobilized
to raise their voices in opposition to deep and painful proposed cuts. Early in
January, a press conference and rally organized by Maine Can Do Better brought
hundreds of people to Augusta to demonstrate how these cuts would harm Maine people
and our communities.
Although not all the cuts were restored, the results were far better than we
feared. Many of the most painful cuts were stopped thanks to a combination of
your strong voices; Maine legislators who listened and voted to reject those
cuts; much needed financial help from Congress and the Obama administration;
and a slightly improved revenue picture here in Maine. Thanks to all for preventing
what could have been much greater harm.
But, a challenging political climate created by these hard times still took
its toll. Despite these important victories, some damaging cuts were still made
and they will have a harmful effect throughout the State. The legislature also
failed to pass two key bills that would have given greater workplace protection
to low-wage workers—a guarantee of paid sick days for all workers and
an increase in the minimum wage.
Bills that did not cost money did better. Improvements in laws for tenants
were enacted as you can read about in this newsletter. The legislature also
passed a new law that stops private health insurance companies from setting
total lifetime and annual spending limits in their policies. The legislature
also voted to look for ways to simplify the application process for the Property
Tax and Rent Rebate Program (Circuit Breaker) by allowing people to apply for
this important benefit at the same time that they apply for Department of Health
and Human Services (DHHS) programs like MaineCare or Food Supplement benefits
(formerly food stamps). Next year the legislature will make a final decision
on this issue.
Budget Proposals; Final Actions
In December 2009 the state budget picture looked very bad. The Governor sent
the legislature a proposed budget attempting to fill a $438 million dollar shortfall.
It included cuts to MaineCare, General Assistance and many critical social service
programs that would cause harm to thousands of Maine people with low income
and their communities.
Many of the most harmful cuts were rejected in the final budget that passed
in late March with strong bipartisan support. New federal funds intended to
protect Medicaid and some improvement in state revenues helped our Legislature
and Governor fill some of the budget gaps. We are grateful to the Obama Administration
and Maine’s Congressional delegation for their commitment to protecting
vital services that benefit us all.
Here are the final decisions on the proposed cuts that were priorities for
MAIN and Maine Equal Justice:
- Original Budget Proposal: Limit laboratory and x-ray services
for adults to 15 procedures a year.
Final Legislative Action: This proposal was rejected. These
services will NOT be limited.
- Original Budget Proposal: Limit outpatient mental health
visits for adults to 18 visits per year. Out-patient mental health visits for
children would also be limited to 18 visits. More visits would be allowed with
prior authorization.
Final Legislative Action: The number of outpatient mental health
visits will NOT be limited, but more than 18 will require “prior approval”
from DHHS for both adults and children. DHHS must allow more than 18 visits
when these visits are medically necessary.
- Original Budget Proposal: Limit outpatient hospital visits
for adults to 15 visits a year.
Final Legislative Action: This proposal was rejected. These
services will NOT be limited.
- Original Budget Proposal: Increase co-payments for some seniors
and people with disabilities who receive both Medicare and MaineCare (Maine’s
Medicaid program).
Final Legislative Action: This proposal was rejected. Co-payments
will NOT increase for seniors and people with disabilities. Under federal law
these co-payments may increase by a small amount annually. The increase for
2010 is already in place.
- Original Budget Proposal: Increase the wait from 45 to 90
days for a temporary MaineCare card when DHHS has not been able to make a final
decision for people applying for MaineCare based on disability.
Final Legislative Action: This proposal was rejected. Temporary
MaineCare cards will still be available in 45 days for people applying for
MaineCare, based on disability. DHHS will hire some additional staff to help
people applying for MaineCare fill out disability forms and collect medical
evidence from their health care providers.
- Original Budget Proposal: Reduce state funding for General
Assistance for about a dozen municipalities, including Portland, Bangor and
two of the Native American townships. MAIN and MEJP were concerned that this
might impact access to General Assistance in those municipalities.
Final Legislative Action: This proposal was rejected. State
General Assistance funds will not be cut for these municipalities and there
is no change to the General Assistance program.
The final budget did include some cuts in the rates paid to health
care providers. Providers who provide occupational therapy; Community
Integration and other Community Support; Day Habilitation treatment; and some
(but not all) behavioral health services will see some rate changes. Rates for
Private Non-Medical Treatment Institutions (PNMI’s) were also reduced.
Payments for MaineCare transportation services were also reduced
in the final budget. This cut will affect agencies providing transportation services.
It will also affect members and their friends and families who get reimbursed
directly by MaineCare for medical-related travel. Right now members get 22 cents
a mile for MaineCare-related travel costs. This may be reduced by one or two cents
a mile. MAIN and MEJP will advocate to try to limit the harm from this cut before
it goes into effect.
We hope that the cuts in rates do not discourage providers from seeing MaineCare
patients. But, if you have trouble finding a MaineCare provider, you can call
MaineCare member services.
MaineCare Member Services
Toll-free number: 1-800-977-6740.
Office hours: Monday and Wednesday; 8:00 am - 6:00 pm; and Tuesday, Thursday
and Friday; 8:00 am - 5:00 pm.
If they cannot help you call Maine Equal Justice toll free at 1-866-626-7059,
ext. 205.
Thanks to all of you who testified, contacted legislators, attended events at
the State House and shared your experiences with us. Your actions helped protect
Maine people with low income from dozens of harmful cuts!

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