Journal Report
Positive Populations 
A Bi-Monthly Newsletter Examinging Infectious Disease
Policies and Program Management within Public Health

Volume 6:  Number 4
 

Schwarzenegger Proposes ADAP Increase


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The California legislature is expected to approve a budget proposal put forth by Gov. Arnold Schwarzenegger to increase the state’s ADAP budget by $29.4 million during the next state fiscal year, which begins on July 1.

“I cannot imagine any reason the legislature would not approve this,” said Anne Donnelly, Director of Public Policy for Project Inform in San Francisco. “They always have been incredibly supportive of the program.” Schwarzenegger proposed a $20 million increase for the state’s AIDS Drug Assistance Program as part of his overall $85.7 billion 2005-06 budget. He expects ADAP to recoup another $8.8 million in rebate money, bringing the total ADAP budget to $263.6 million in the 05-06 fiscal
year, about $29 million more than the current fiscal year and enough of an increase to offset rising ADAP costs and utilization rates. “We believe our need this year is about $30 million,” said Donnelly.
“This will get us to where we need to go from everything we can see right now.”

The governor proposed flat funding for other AIDS-related prevention, testing and counseling programs.
Schwarzenegger is also calling for sweeping changes to the state’s Medi-Cal program, which includes a plan to move all of Medi-Cal’s aged, blind and disabled into mandatory managed care plans starting in 2007. “This is really concerning for people with HIV because we do not necessarily have the infrastructure within the managed care plans to provide people with specialists,” said Donnelly. “We have a law on the books that says people in managed care have to be provided with specialists so that part would be worked out but there are issues around adequate reimbursement – the usual issues you
run into with managed care.”

Schwarzenegger asked for an additional monthly cost-sharing premium of $10 for each adult enrolled
in Medi-Cal and $4 for every enrollee under 21 with a monthly cap of $27 per family. “Cost sharing for people with HIV prohibits them from receiving care and adhering to their medications,” said Donnelly. “We know that from Medicaid studies. If a person or family fails to make payments for two months,
they are kicked off Medicaid.”
 

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Schwarzenegger Proposes ADAP Increase
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