$130M in Texas health programs may be cut
AUSTIN — More than $130 million in funding for critical health programs could be cut under a plan requested by Republican state leaders in response to the economic fallout from the pandemic and recent drop in oil revenue.
The cuts would impact programs used by millions of vulnerable Texans, including women’s health, family violence and indigent health care; oversight of child care and other facilities; and the state’s system for enrolling children and families in services such as food stamps, subsidized health care for children, and Medicaid.
They were proposed in response to a request by Gov. Greg Abbott, Lt. Gov. Dan Patrick and House Speaker Dennis Bonnen that most state agencies reduce their budgets by 5 percent.
“Agency programs and operations were carefully evaluated during this exercise to achieve the targeted reduction, while ensuring the least impact possible to both client services and essential response activities related to COVID-19,” Health and Human Services Executive Commissioner Phil Wilson said in a letter submitted last month, adding that the plans could change over time.
Wilson said the agency targeted administrative cuts to avoid directly curbing access to care, but said they would impact access nonetheless, likely resulting in delays and lack of oversight. Texas has long had the highest uninsured rate of any state.
“These reductions may potentially delay support for clients and providers, decrease contract oversight effectiveness, limit capacity to assess quality or program effectiveness, and reduce scope or extend implementation of legislatively directed changes, projects, and reports,” Wilson wrote. Health advocates warned that the cuts will further harm vulnerable Texans as they struggle to recover from the ongoing health crisis and emerging recession, and will end up costing the state more over time in unexpected health costs, such as emergency care and unintended pregnancies.
“This is a terrible time to make it harder for Texas kids and families to get the services they need to stay healthy,” said Stephanie Rubin, CEO of Texans Care for Children, in a statement. “Texas leaders have choices. Instead of cutting women’s health, child care oversight, or food stamp enrollment services in the middle of a pandemic and unemployment crisis, state leaders should use the state’s rainy day fund and ask Congress for additional health funding. Brain science is clear that the first few years of early childhood are the foundation for the rest of kids’ lives, so any cuts that hurt the health of infants, toddlers, and moms should be a non-starter.”
Bonnen said Thursday that he had not yet had time to review the proposal in detail but that Abbott’s office, Patrick’s office and the Legislative Budget Board will work collaboratively with Wilson to refine it. There is not a timeline for final approval, but he said they intend to move as quickly as possible.
“The reality of it is we’re doing this now because of the concerns that we see in the future with the state budget so that it’s less of an impact in the future,” Bonnen said. “If we don’t do anything now, we’re going to have a far worse need for cuts moving forward in the next legislation session.”
Lawmakers have not committed to pulling from the state’s Economic Stabilization Fund, known as the rainy day fund, which is projected to have about $8.5 billion available going into next year’s legislative session.
Agencies that were exempted from the cuts include the Department of State Health Services, which is managing the pandemic response, as well as the Texas Workforce Commission, Department of Public Safety and Texas Military Department.
“It will take months until we know the true extent of the economic ramifications of COVID-19, and how combating this virus will impact state finance,” they said in a letter. “To prepare for this economic shock, we must take action today to ensure that the state can continue providing the essential government services that Texans expect.”
Rep. Sarah Davis, R-West University Place, said cuts are a reasonable goal, but those proposed by the health agency go too far.
The agency’s “proposal places short-term savings over the short and longterm health of Texas women, children and individuals with disabilities,” she wrote in a letter to Wilson on June 29. “These proposals are the exact opposite of responsible or prudent, but they are fortunately not final.”
“This is a terrible time to make it harder for Texas kids and families to get the services they need to stay healthy.” Stephanie Rubin, CEO of Texans Care for Children