On February 9, 2016, Gov. Tom Wolf announced his proposed $32.7 billion fiscal year 2016-2017 budget to a joint session of the General Assembly.
The speech and the governor’s spending plan for FY 2016-2017 were posted to the governor’s budget office website. LeadingAge PA staff has been reviewing the information and provides some general information of interest to members.
The governor’s executive budget proposes spending $32.728 billion in general funds in FY 2016-2017, an increase of $2.2 billion over the amounts available for FY 2015-2016. Much of this proposed increase in funding will go to education - $500 million in total. The other increases in funding include $1.6 billion for mandated spending increases and $120 million for all other increases. The governor also included some savings in his budget proposal. Perhaps the most noted one for long-term care is an increase of $92 million to expand home and community based services to drive savings over the long run.
The proposal includes some favorable aspects for the long-term care field. More...
The Department of Human Services budget proposal revealed increased funding for all long-term services and supports funded by Medical Assistance. The most notable of these proposed increases include the following:
- Funding of $17.828 million to provide a rate increase for nursing facilities as well as an additional $31.398 million for increased utilization.
- An additional $7.4 million to increase the LIFE program to an additional 600 individuals plus $1.5 million more to expand this program to five additional counties.
- Additional funding of nearly $18 million to serve 2,304 more seniors in the Aging Waiver. - Additional $34.440 million in state funding for the costs of converting Pennsylvania’s current fee-for-service payment system to Community HealthChoices, the commonwealth’s proposed managed long-term services and supports initiative.
The governor proposes $2.7 billion in new and higher taxes, including an increase in personal income tax, an expansion to the base of the sales tax, increased taxes on cigarettes and tobacco products, a severance tax, a gaming promotional play tax, as well as other tax increases. It does not appear that long-term care services and supports will be included in the proposed expansion to the sales tax base, however, there is no documentation on the proposal.
LeadingAge PA staff will provide additional details as they become available.
A video message from LeadingAge PA LeadingAge PA
Senior VP & Chief Government Affairs Officer Anne Henry provides a summary of Gov. Wolf’s proposed $32.7 billion 2016-17 budget and its potential impact for providers of long-term care.
##LeadingAge PA is extending an invitation to the PEAK conference
Your voice is the key to successful advocacy. Join your colleagues from Pennsylvania and around the country on March 15 for meetings on Capitol Hill with Pennsylvania’s congressional delegation as part of the 2016 LeadingAge PEAK leadership conference in Washington, D.C. The PEAK conference is March 14-16. The Hill meetings are designed to give you the opportunity to discuss how federal policies impact your communities. For details please follow this link. More... or contact Becky Mehringer at 717-790-3967 or <firstname.lastname@example.org>.