The statewide advocacy group is calling attention to a $55 million dollar in Medicaid funding for in-home hospice care that was cut from the Senate’s budget proposal as the House works out its own spending plan.
“These cuts would affect rural areas more than urban areas,” AHHCNC Director of Government Relations Tracy Colvard said. “Let’s say the $55 million makes it through. That figure represents over half of the total spending in the program. Also, because the federal government matches the spending in this program at a rate of two to one, that would cut out over $100 million in federal funding.”
He said there would be a two-pronged effect of the loss of the funding.
First, there is the question of how this would affect the patients who rely on in-home hospice care.
“We’re not sure how the state might try to implement the cuts to the CPS program,” Colvard said. “Would it be a cut in hours, or other policy changes that might restrict the program from providing services? We just don’t know.”
Second, it would cost local economies valuable income.
Colvard said this effect would be more pronounced in rural areas, partly because there is a dependence on Medicaid to access these services.
“But also, the agencies that provide these services in rural areas are often are often big employers, as well,” he said. “These cuts wouldn’t just mean the loss of the services, but it would also trickle down and cost people their jobs. In many small towns you may have an agency that is the only game in town and people depend on those jobs and nurses and nursing assistants to earn a living.”
Richmond County Hospice Director Susan Eason said Medicaid payments account for about 5 percent of its funding.
“We rely on Medicare more, but we do also rely on payments from Medicaid,” she said. “If this program was cut, it would definitely have a negative impact on our ability to care for patients who rely on Medicaid.”
She said while Richmond County Hospice wouldn’t have to cut positions if the bulk of this funding was lost, they are also working through the Carolina’s Center for Hospice and End of Life Care to prevent the loss of this funding.
Colvard said his agency estimates that statewide, a $55 million cut in funding would mean the loss of over 10,000 jobs.
“Of course, the House is working on their budget, and hopefully have their budget completed in the next two to four weeks,” Colvard said. “So, we’re looking at least at getting these cuts at least reduced. Then, when they get together with the Senate and work out the final budget, hopefully the program will maintain at least part of its funding.”
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