New Jersey State Budget FY2010

State Legislature Passes FY’ 2010 Budget;Governor Expected to Sign. Please Send Thank You Letters to the Legislators

The Legislature passed the FY 2010 budget with minimal changes to the initial budget proposed by Governor Corzine. Services to people with developmental disabilities were spared significant cuts. It is important for Legislators to hear from you now to thank them for the budget. Below are some highlights in the budget for people with developmental disabilities.

The budget included funds for approximately 100 people who were living at home with their families who were on the Waiting List to receive services and funds for approximately 62 individuals to transition from the State’s Developmental Centers to the community.

The Governor’s initial budget did not include funds for new May 2009 graduates from special education programs. However, the Governor agreed to use funds in the Division of Developmental Disabilities’ budget to fund adult programs for new graduates of special education.

Co-pays for Medicaid and the AIDS Drug Distribution Program have been eliminated from the budget. This is the seventh year in a row that advocates have successfully eliminate Medicaid co-pays from the budget.

Medical Day Care Reimbursement rates will be reduced to $78.50 a day from the current rates of $83 and $92 a day for free-standing facilities and hospital based programs. This is a victory because the Governor’s initial budget included a cut to $70 a day. ABCD has advocated for many years that it costs more to serve people with multiple and physical developmental disabilities in Medical Day care than it does to serve the general elderly population.

The $3.7 million cut to services for individuals with disabilities in the Division of Vocational Rehabilitation Services were not restored.

This year, once again, the State is using federal reimbursement from the Community Care Waiver (New Jersey’s Home and Community-based Services Waiver for people with developmental disabilities) for purposes other than for services for people with developmental disabilities. The Division of Developmental Disabilities has been maximizing its federal revenue, including new amendments to the Community Care Waiver. However, all of these funds are not being re-invested into community services for people with developmental disabilities. The developmental disabilities community infrastructure is in need of significant repair. Services and supports for people in the community are needed for medical care, psychiatric and behavioral services, and accessible housing.

The Governor’s budget included $1 million in additional funding for the Early Intervention Program, for infants and toddlers with developmental delays and disabilities and their families. However, these funds are not enough to account for the estimated 5-7% increase in estimate growth due to the number of eligible children and families entering the program. ABCD and its Early Intervention Providers Association are pleased that the Governor understands the financial needs of this program. The initial budget proposed, and the final budget passed by the Legislature included, budget language which allows for additional funds if needed for the progra without formal Legislative review and approval.

For the second year in a row, providers of community services did not receive a cost of providing care increase, despite the fact that health insurance, workers compensation, gas and other energy costs are increasing dramatically. Agencies are experiencing difficulties as a result of the national economic crisis including difficulties recruiting and retaining quality staff and meeting the rising costs of providing care to the most vulnerable. ABCD continues to call upon the Governor and the Legislature to provide an annualized cost of providing care increase, based on the Consumer Price Index, to community-based provider agencies.