79R11542 CME-D

By:  McClendon                                                  H.C.R. No. 1  


CONCURRENT RESOLUTION
WHEREAS, The State of Texas has long prioritized efforts to protect and provide for the well-being of its elderly residents; unfortunately, this worthy commitment has been compromised by federal law mandating the creation of a Medicaid estate recovery program; and WHEREAS, An estimated six million elderly in the United States required long-term care in 2000; while most Americans have at least some insurance to cover the costs of medical care, the private insurance available for long-term care generally provides very limited coverage, often only for "post-acute" care that immediately follows hospitalization, and studies indicate that the availability of even this limited private coverage is particularly low in Texas; and WHEREAS, Concurrently, long-term care is expensive, with the average cost of one year in a nursing home at approximately $40,000 and expected to rise to more than $83,000 by 2010; as a consequence, many of our elderly citizens rely on publicly funded programs like Medicaid to help pay for their care; and WHEREAS, The Congressional Omnibus Budget Reconciliation Act (OBRA) of 1993 required the states to establish a program to recover all or part of the costs of certain nursing facility and long-term care services from the estates of Medicaid beneficiaries; to qualify for Medicaid coverage an individual must meet very strict income and resource eligibility standards; in effect, estate recovery is a "death tax" levied against the families of elderly beneficiaries who exhausted most of their assets to pay for their own care and, ultimately, were forced to rely on Medicaid as a last resort; and WHEREAS, Regrettably, the estate recovery program is not an effective means of managing states' increasing Medicaid costs; a study conducted between 1997 and 1998 by the North Carolina Department of Health and Human Services concluded that the amount collected by reporting states under estate recovery as a percentage of total 1998 Medicaid expenditures ranged from a low of .01 percent to a high of .83 percent; and WHEREAS, Medicaid is a critical safety net for thousands of low to moderate income elderly Texans who, much like the State of Texas, are confronted by the ever-increasing costs of long-term care; rather than pursuing these families for what little remains of their loved ones' assets, Congress should seek more sustainable and less punitive solutions to the nation's long-term care needs; now, therefore, be it RESOLVED, That the 79th Legislature of the State of Texas hereby respectfully urge the United States Congress to eliminate the requirement that states implement as part of their Medicaid state plan an estate recovery program; and, be it further RESOLVED, That the Texas secretary of state forward official copies of this resolution to the president of the United States, to the speaker of the house of representatives and the president of the senate of the United States Congress, and to all the members of the Texas delegation to the congress with the request that this resolution be officially entered in the Congressional Record as a memorial to the Congress of the United States of America.