Fast Facts about IHSS & SSI/SSP and the impact of the Governor’s budget proposal

There are approximately 427,800 seniors and people with disabilities who receive services through the In-Home Supportive Services (IHSS) program (November 2008 CMIPS data). IHSS is a statewide public program, funded by a combination of federal, state and county funds which provides essential personal care and domestic services to aged, blind or disabled Californians who are unable to remain safely in their own homes without such assistance.

• Approximately 410,000 individuals provide IHSS services (November 2008 CMIPS data).

• Currently, the State has 3.9 million people over the age of 65 - the largest older adult population in the nation numerically. This figure is projected to increase by 172 % over the next 40 years with most of the growth occurring in the next 20 years (Source: Dept of Aging).

• IHSS is a budget solution - not a budget problem; alternative forms of care such as nursing homes cost six to eight times more than IHSS. California cannot afford the costs that would be associated with undermining this critical program. The annual cost of IHSS is under $10,000 per consumer vs. $60,000-$80,000 to pay for care in a nursing facility.

• The Legislative Analyst's Office estimates that 98% of all home care workers now make more than the minimum wage. The average hourly wage for IHSS providers is currently $9.98 (Source: Legislative Analyst's Office). Many IHSS providers live in poverty and are eligible for food stamps, and few have access now to health insurance. Proposed elimination of 90% of consumers from the program means up to 375,000 careproviders would be unemployed.

There are approximately 1,272,000 SSI/SSP recipients who are elderly, blind, or have disabilities, and who depend on SSI/SSP grants for their subsistence. (November 2008 CDSS data).

• The enacted budget has reduced SSI benefits for individuals to $830 per month, the federal minimum-of-effort required. This is a 10% reduction from last year.

Governor used his line item veto power on July 28th to make the following additional cut of $37,550,000 (beyond cuts and major policy changes already in the revised budget bill passed July 24th by the Legislature) impacting In-Home Supportive Services under the Department of Social Services:

         $28,900,000 additional cut that eliminates the exceptions made by the Legislature exempting persons under protective supervision, persons with paramedical services and persons with more than 120 hours of service per month from losing their domestic and related services (if their functional index ranking – different from function index score – is lower than “4” in any of those services) .  The Governor wrote in his line item veto of this because of a “determination that it is necessary to waive exemptions [included in ABx4 4, specifically paragraph 2 of subdivision (e) of Section 29] to maintain federal financial participation.  Due to this determination, more IHSS recipients will be impacted by the reduction in services authorized” in AB 4x4.  ( Note: the Governor’s action to remove the exemption is an authority granted to him in the budget trailer bill, ABx4 4 however)

         $8,655,000 reduction in funding for IHSS Public Authority Administration.  Governor’s veto message says that “This leaves $10,000,000 General Fund available for the Public Authorities to provide assistance to recipients in finding IHSS providers, investigate qualifications of potential IHSS providers and offer training to IHSS providers.”