ST. PAUL, MN – Lawmakers in the Minnesota House of Representatives passed a Health and Human Services (HHS) omnibus budget bill today by a vote of 70-64.
The bill saves $150 million over the next two years through targeted cuts, reforms, and re-prioritization within the budget while protecting the most vulnerable Minnesotans.
“Republicans did a lot of damage when they cut over $1 billion from the HHS budget last session, including $500 million in cuts that fell on the backs of seniors and disabled Minnesotans,” said Rep. Tom Anzelc (DFL—Balsam Township). “Thankfully, DFLers are putting an end to that approach. Our plan treats the most vulnerable Minnesotans with the compassion and respect they deserve.”
After more than four years without a raise, the House HHS budget provides a 3 percent cost-of-living increase for workers in nursing homes and a 2 percent increase for workers in other long-term care facilities.
The House HHS bill achieves cost savings in several ways, including an estimated $68 million through managed care payment reforms. It also generates $105 million in savings through increased hospital surcharges by recognizing that those hospitals will receive nearly $1 billion in funding increases over the next four years due to the Affordable Care Act. An amendment to the bill that reduces the existing nursing home surcharge (often called the “granny tax”) by $440 per bed passed with unanimous support.
“Minnesota’s seniors cut a path for all of us to walk behind. They deserve dignity and peace of mind during their golden years,” said Rep. Anzelc. “Our HHS bill is a refreshingly compassionate approach that honors seniors’ contributions to our society.”
Another component of the House HHS bill expands treatment opportunities for Minnesotans with mental illnesses. It funds cost-preventative mental health initiatives for adults and children, such as fully funding Governor Mark Dayton’s request for expanding school-based mental health services and mental health crisis response services across the state.
“The mental health component of this bill is going to make a big difference in many people’s lives,” said Rep. Anzelc. “People struggling with mental illness in northern Minnesota should be pleased to know that help is on the way. We’re going to provide folks with the care they need to get better and we’re going to do it in a way that saves taxpayers in the long run by focusing on prevention.”
The House HHS omnibus bill will go to a conference committee with the Senate’s version of the bill. Differences between the two pieces of legislation will be ironed out and receive a final vote from each chamber before a final budget goes to Governor Dayton’s desk.