Press Releases on the eve of a three-day weekend are like the contents of a registered letter. Neither one hardly ever contains good news. Over our morning coffee yesterday morning(Happy Fourth of July), we learned the details of the $28.2 billion legislative budget which came in for a colorful characterization by, Rob Willington, executive director of the Massachusetts Republican Party, as quoted in a Boston Globe article:
"This budget, which comes three days late already, contains enough pork in it to make BLTs for the Whole Commonwealth."
Not that this comes as an unexpected shock. Representative James R. Micelli's (D-Wilmington)comments in the same article speaks to the expectations of many:
"You're there to deliver for your district. Show me a legislator who can't and I'll show you someone who will not be there very long."
Micelli was successful in bringing home a $200,000 piece of pork to rehabilitate an historic Wilmington farm. This, and many of the earmarks scattered throughout the budget can, I am sure, be rationalized on some basis, assuming an bottomless supply of funds. The watchword on Beacon Hill continues to be more along the lines of: Spend it and they will pay. They? The taxpayers, natch. Ah the joys of living in a one-party state.
For a more in-depth analysis of the list of earmarks, see Sharilee's analysis at Worcester County Freedom Trail. I thought the Santa Train earmark was particularly telling.
Interestingly enough, however, the earmarks may not be the budget's biggest problem. One of its underlying assumptions is that the Federal Government will not only re-new its Medicaid Waiver for another three years, but will also grant Massachusetts a 14% increase. This relates to the anticipated federal matching funds used to pay for the state's Commonwealth Care program which helps provides health insurance to low-income residents. At issue is the fact that Massachusetts has been operating under a temporary waiver outside the Medicaid guidelines. For example, Medicaid usually provides hospital care for the poor, with incomes at or below 200% of the Federal Poverty Level. The Massachusetts Plan provides no cost, or low cost, insurance to those with incomes at or below 300% of the FPL. A family of four can qualify for state subsidized health insurance if it has income of less than $63,612 per year.
Quoted in an article in the Wakefield Observer, State Senator, Richard Tisei (R-Wakefield) says, "The fiscal year 2009 budget has been built on a house of cards." He goes on to provide an excellent analysis of this issue. Should the waiver extension be denied, a significant funding deficit could suddenly be added to the new budget. On June 20th, US Health and Human Services Secretary, Michael Leavitt, allowed a short extension of the Medicaid waiver, then set to expire on June 30th. This means that by July 18th, we should know what to expect in terms of federal matching funds. If the feds force a reversion the original guidelines, all bets are off. Not only the budget, but Commonwealth Care, and its success in attracting those seeking free health insurance, may be dragged back under the budget knife. I wonder if this means that the Santa Train may not run after all?
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