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As Minnesota lawmakers and the governor look for ways to fill the now $4.57 billion hole in the state's biennial budget, we encourage our elected officials to approach the budgeting process as an opportunity to make necessary and lasting changes to bring about a more fiscally healthy state. Part of that is by directing the federal stimulus dollars for their intended purpose.
Last month, the Obama administration and Congress passed a nearly $87 billion stimulus package that is intended to provide relief to states and to provide a quick boost to the economy. Minnesota is projected to receive $9 billion in federal stimulus aid and tax cuts, with nearly $2.1 billion in increased federal Medicaid funding as part of that stimulus package. Gov. Tim Pawlenty has pledged that he will accept the full amount of the federal assistance and for that, we, as leaders of the Long-Term Care Imperative, applaud the governor.
It is now up to the governor and lawmakers to use the funds for the intended purpose. We urge Pawlenty and state legislators to ensure that funds designated to older adult services are actually invested in older adult services and not diverted into other state spending programs.
The dollars support good jobs
The economic conditions and the budgetary chaos in Minnesota are the worst in decades and we are sympathetic to the plight of our state lawmakers. The temptation to cut health and human services funding and use federal dollars elsewhere in the state budget may be great. However, we hope that state lawmakers bear in mind that the state and federal dollars that support older adult services in Minnesota flow through reimbursement rates and support good jobs in Minnesota's communities.
The wages paid to caregivers are spent in Minnesota's communities, spurring local economic stability. The total economic impact of the state's care centers, assisted living and residential care facilities is more than $9.8 billion. Our providers support more than 142,000 jobs statewide. The employment growth trends for the workforce providing care to older adults has increased approximately 15 percent during the past two years, at a time when other employers are decreasing their workforce. Without state and federal funding in older adult services, we may be unable to protect these valuable jobs.
The increase in federal Medicaid funds also will go a very long way in maintaining Minnesota seniors' access to quality older adult services, whether those services are provided in a care center, housing with services, or in the community.
Let us make certain that the good news from Washington with regard to new federal Medicaid funds is translated into good, fair, common-sense eldercare policy once these resources arrive in St. Paul and that we use this as the first step in building a comprehensive future for long-term care in Minnesota.
Patti Cullen is president and CEO of Care Providers of Minnesota; Gayle Kvenvold is president and CEO of Aging Services of Minnesota. The Long-Term Care Imperative is a legislative collaboration between Care Providers of Minnesota and Aging Services of Minnesota, the state's two long-term care trade associations.
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If you're interested in joining the discussion by writing a Community Voices article, email Susan Albright at salbright [at] minnpost [dot] com.
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