Presenter
Presented by Mr. Shields
Body
WHEREAS, on April 28, 2005, the United States Congress narrowly passed President George Bush's budget that cuts back federal spending on the Medicaid health care program for the first time since 1997, while increasing federal deficits. After much debate, Medicaid has been earmarked for a $10 billion reduction over four years, beginning in 2007; and,
WHEREAS, these reductions adversely impact Pennsylvania's ability to provide health care coverage to low-income uninsured citizens and add additional burdens to state funding for education and economic development. Beyond the impacts to the well-being of low-income people with chronic illnesses, such cuts place financial burdens upon hospitals, harming local economies by way of increased costs, service reductions, job losses and potential closure of community hospitals, leaving both the Medicaid and private insured persons without access to medical care; and,
WHEREAS, the Pennsylvania Health Care Association contends that Medicaid budget cuts could mean the loss of nearly 11,000 long-term-care industry jobs statewide -- 2,350 in the Pittsburgh area alone. The PHCA believes that proposed cuts will mean not only severe job cuts, loss of revenues and taxes, but also decreased access to care. These cuts translate into the potential loss of 7,500 jobs statewide, and 1,700 in the Pittsburgh region.
WHEREAS, the Council of the City of Pittsburgh is encouraged by both Governor Rendell's and the State Assembly's bipartisan demonstrations of concern and we fully support any and all efforts to restore the proposed funding cuts caused as a direct result of federal action. While the Pennsylvania Senate's $125 million addition to Medicaid funding is a step in the right direction, it is still short of the $197 million it will take to restore all of the cuts (caps, co-pays and premiums) to recipients and the additional $200 million it will take to restore cuts to providers; and...
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