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News Report | Policy/Regulation Report | Aging Services Report
News Report
Tax on Retirement Savings Passes Budget Conference Committee
California Governor Arnold Schwarzenegger’s proposal to impose a quality assurance fee on skilled nursing beds in multi-level retirement communities has passed the Budget Conference Committee in the California Legislature. Aging Services of California has identified the fee as a de facto tax on the retirement savings of MLRC residents (see the cover story in the May 2010 issue of agenda.)
“While we are not winning yet in our effort to turn back this proposal, we are right where we thought we would be at this point in the budget process,” said Jack Christy, director of public policy at Aging Services. “We can still prevail in this debate, but we have a lot of work to do to persuade Sacramento that taxing seniors is not the solution to the state’s budget problems.”
The issue is now in the hands of the so-called Big Five who largely determine the fate of California budget proposals.Three are on record in favor of the new fee: Governor Schwarzenegger; State Senate President Pro Tem Darryl Steinberg, D-Sacramento; and Speaker of the Assembly John Perez, D-Los Angeles.The two Republican leaders in the Big Five -- Assemblyman Jim Nielson, R-Biggs, and Senator Bob Dutton, R-Inland Empire -- have come out against the quality assurance fee for MLRCs.
In addition, two senators, Lois Wolk, D-Davis, and Alex Padilla, D-Pacoima, have written to the governor asking him to revise his proposal to make it fair to MLRC residents.
“Slowly but surely, people are beginning to understand how pernicious the governor’s proposal is,” Christy noted. “In any event, the issue is still alive, and the urgency of its defeat is still as important as ever. That’s why the Board of Directors of Aging Services of California has voted additional resources to support the campaign against the fee.”
Aging Services has prepared documents that explain the impact of the quality assurance fee and provide tools for opposing the fee; to download these resources, visit the association’s website. For more information, contact Christy at jchristy@aging.org or 916-469-3366 or Eric Dowdy, associate director of public policy at Aging Services, at edowdy@aging.org or 916-469-3376
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Policy/Regulations Report
HUD Issues Guidance on Refinancing Pre-1975 Properties
The Department of Housing and Urban Development recently issued guidance on prepayment and refinancing of Section 202 properties financed before 1975. HUD previously had permitted refinancing of such projects only if the new mortgage resulted in a lower interest rate. Given that the original loans for such properties were issued at an annual rate of 3 percent, the provision effectively blocked refinancing in today’s loan market.
Under the new guidance provided in HUD Housing Notice 2010-14 (H 10-14), prepayment and refinancing of the oldest Section 202 projects is now allowable in certain circumstances if rehabilitation is proposed; in such cases, HUD waives the interest-reduction requirement. The guidance implements an administrative provision included in the fiscal year 2009 omnibus appropriations legislation, which also provides for project-based rental assistance to prevent resident displacement in refinanced properties.
For additional information on the guidance, visit the AAHSA website.
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Aging Services Report
National Forum Issues Draft Report on Quality Measures
The National Quality Forum has issued a draft report on its 2010 Nursing Homes Project, which seeks to identify and endorse quality measures and patient experience-of-care surveys for public reporting and quality-improvement purposes. The draft document, “National Voluntary Consensus Standards for Nursing Homes: A Consensus Report,” has gone out for comments. The completed report will be available on the National Quality Forum website.
Program Launched to Reduce Hospital Readmission Rate
According to a recent article in The New England Journal of Medicine, about one in five hospitalizations of patients with Medicare is followed by readmission within 30 days after discharge. To reduce this rate, the Society of Hospital Medicine (SHM) has launched Project BOOST, which involves a comprehensive, evidence-based intervention; an implementation guide; longitudinal technical assistance; and a collaborative. With funding from the California Healthcare Foundation, the project will train staffs at 20 California hospitals. Data from the evidence-based intervention will be available in early 2011. For more information, visit the SHM website.
Preparing Leaders for the Future of Aging Services
Aging Services of California has partnered with Sodexo and the California HealthCare Foundation to offer a comprehensive leadership development program specifically designed to better prepare its membership to meet the housing and services needs of future generations of older Californians. EMERGE is a year-long growth and development experience for high potential leaders seeking to transform themselves and their organizations.
Joanne Handy, president and CEO of Aging Services, urges members to consider which of their employees would benefit from the program: “Is there someone in your organization who has a real passion for the field of aging services? Someone who has the courage to be themselves and welcomes different perspectives? Someone who craves opportunities for partnership and is always looking to learn? Someone who understands the trust that comes with caring for older adults? If so, you have an ideal candidate for EMERGE.”
The program is available to anyone who works for an Aging Services of California member, including voting members as well as associate members. Application packets will be available in mid-September. For additional information on EMERGE or for guidance regarding the application process, visit the Aging Services website.
2011 Public Policy Conference: New Dates and Location
Aging Services of California’s next annual Public Policy Conference is set for March 1-3, 2011, at the Hyatt Regency, Sacramento, Calif. Please note the new dates and location. The program is still in the planning stages. As details become available, they will be announced in agenda and on the Aging Services website.
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