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News Release

FOR IMMEDIATE RELEASE
Thursday, August 12, 2004

Contact: CMS Public Affairs
(202) 690-6145

HHS Approves California Plan to Continue Program Allowing Elderly to Receive Self Directed Home Care

California to Receive $1.7 Billion Over Five Years for Program

Nearly 66,000 elderly California residents or people with disabilities will continue their home and community-based services allowing them to live at home rather than in an institution, as a result of an approval of the largest Independence Plus Medicaid waiver ever granted by President Bush and HHS Secretary Tommy G. Thompson. The number of people who will continue to receive service also includes those receiving services under the state’s existing Medicaid plan.

The Independence Plus program, created by President Bush, helps states to achieve the goals established in President Bush’s New Freedom Initiative. The initiative is intended “to ensure that all Americans have the opportunity to live close to their families and friends, to live more independently, to engage in productive employment and to promote community life, and it a cornerstone of the President’s commitment to helping Americans lead fuller, productive lives at home.

The program, known in California as In-Home Supportive Services, was threatened during the state’s budget debate, but the approval saved the program, which gives power to participants to direct their own personal care services rather than have their care designed by a home health agency. Independent living is the primary goal of the Independence Plus waiver program. California will receive $1.7 billion over five years to keep the program operating.

“Living at home is where most Americans want to be as they grow older, even when their health starts to fail. California’s program lets people to stay in their own homes by giving them and their families the power to decide how and what community-based services they need at home to live the life they want,” Secretary Thompson said “Today’s action shows the strong partnership between HHS and California and how we can work together to address the need of all Americans. We encourage and will support other states in designing programs like California’s to help persons of all ages with disabilities live fuller, more independent lives.”

Consumers and their families will be involved in planning all aspects of service delivery, including but not limited to the hiring, direction and appraisal of service providers. A “support broker” --sometimes a social worker -- and a financial management service model will assist families and individuals with the self-directed process including payroll tasks.

“Allowing persons with disabilities and their families to engage in ‘self-direction’ is a high priority for the Bush Administration and my agency,” said Mark B. McClellan, M.D., Ph.D., administrator of the Centers for Medicare & Medicaid Services (CMS), the agency that oversees federal health insurance programs.”

California joins five other states with Independence Plus programs: New Hampshire, Louisiana, South Carolina, North Carolina and Florida. In addition, the 2003 Real Choice Systems Change grants awarded grants to 12 states to develop Independence Plus programs or build infrastructure towards that end.

As former governors, President Bush and Secretary Thompson have made it a priority to make it simpler for states to submit Medicaid and State Children’s Health Insurance Program waiver requests and to initiate new programs such as Independence Plus. Since January 2001, HHS has approved waivers and plan amendments that have given states the authority to expand eligibility to more than two million people and enhance benefits for more than six million people.

Additional information regarding federal support of self-direction options can be obtained at http://www.cms.hhs.gov/independenceplus.

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Note: All HHS press releases, fact sheets and other press materials are available at http://www.hhs.gov/news.

Last Revised: August 12, 2004

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