Remember in 2003 when services
for persons with disabilities were cut severely? Well, welcome to
2008. In recent weeks there have been several significant announcements
at the Capitol impacting the future of services and supports:
• Minnesota faces
a $935 million budget deficit for the budget years ending on June
30, 2009.
• The governor wants health and human services to be responsible
for $500 million worth of budget cuts and funding transfers. The lowlights
of the governor’s budget include:
• Elimination of
the 2% cost of living adjustment (COLA) scheduled for this July
• Caps
on growth in the CADI and TBI waivers.
• Limits on the
growth in MNDHO (Minnesota Disability Health Options).
• Calls for four
counties to pay back $4.2 million in past over-expenditures on
the developmental disabilities waiver in 2004.
The deficit is not expected
to disappear after 2009. The state budget forecast in February
2008 projects a $1 billion deficit in the 2010-11 biennial budget
year—$2 billion when
inflation is factored in.
Persons with disabilities are tired of making sacrifices to help the
state balance its budget. Since 2003, people with disabilities receiving
human services and providers of disability supports have experienced
more than $500 million in spending cuts, fee increases, additional
copayments, and/or budget transfers. In 2008, human services are being
asked to bear 50% of the responsibility for eliminating the $935 billion
deficit when they make up only about 28% of the state budget.
Some would argue that
the continued existence of deficits means we have a spending problem.
However, I would argue we have more of a revenue problem. The income
tax rebates and cuts from the late 1990s, 2000, and 2001 have helped
create a hole that we haven’t
been able to dig out from. We know that we need to be wise stewards
of the resources that taxpayers provide, and we know that many Minnesotans
are struggling financially as we face a downturn in our economy.
But we need adequate resources to provide the services that Minnesotans
with disabilities need, too. And these supports help more Minnesotans
become contributing, included, and valued members of our communities.
Our elected officials
need to make a greater commitment to raising the revenues required
to make life better for persons with disabilities, in a way that
fairly distributes the contributions Minnesotans are asked to make
in taxes. Our job is not made any easier when Gov. Pawlenty proposes
a 1/8 percent cut in the sales tax – a $77 million yearly
hit to the budget. This is $77 million more that won’t be available
to disability supports and other valuable state projects.
What action can you
take this session? The Arc of Minnesota and its partners in the
Consortium for Citizens with Disabilities (CCD) will monitor the
situation closely at the Capitol. Please urge your legislators
to not balance the budget on the backs of people with disabilities.
If you don’t know who your legislator is, go to The Arc of Minnesota
Web site, and click on the “Who Represents Me at the State Capitol?” link,
or call 651-296-2146 (1-800-657-3550 toll free). You can also check
their Web site for updates from the State Capitol and other specific
actions you can take before the Legislature adjourns. ![]()
Steve Larson is Public Policy Director at The Arc of MN
