FOR IMMEDIATE RELEASE

January 10, 2007

Granholm Signs Legislation to Strengthen Long-Term Care in Michigan

LANSING – Governor Jennifer M. Granholm has signed legislation that will strengthen the state’s long-term care system.  The bills implement recommendations made by the Long-Term Care Task Force appointed by Granholm in 2004.

“The Long-Term Care Task Force report has provided a clear and well-researched road map to improving long-term care in Michigan,” Granholm said.  “My administration has already implemented a number of the recommendations, and these bills help us take the next step in our efforts to ensure that citizens have affordable, quality care throughout their lives.”  

The two bills address key recommendations contained in the task force report:  Single Points of Entry and long-term care partnerships.  A Single Point of Entry (SPE) is a program that enables a consumer to obtain information, screening, assessment of need, care planning and support, and referral services at a single location.  In June, the Granholm administration announced that four locations had been chosen as SPE demonstration sites.  The four sites, located throughout the state, received a combined grant of $34.83 million for a 27-month trial period.  Providing complete long-term care services in a single location will create cost savings for the state while improving services.  House Bill 5389 mandates the establishment of up to four SPEs and establishes a series of reporting requirements for them.

Long-term care partnerships provide additional care options to citizens once insurance benefits have been depleted.  Currently, Michigan residents who have long-term care needs as a result of illness or injury must liquidate their assets and spend their savings before they qualify for Medicaid assistance.  Under a long-term care partnership, residents will be able to retain some assets and still qualify for assistance.  Until recently, federal law prohibited Michigan and 45 other states from offering such policies.  But a recent change in federal law, called for in the governor’s task force report, eliminated the prohibition.  House Bill 6478 authorizes the Department of Community Health, the Department of Human Services, and the Office of Financial and Insurance Services to establish long-term care partnerships in Michigan.

“We are committed to providing every resident in Michigan with access to affordable health care,” said Granholm.  “To achieve that goal, we must also ensure that citizens’ long-term care needs are affordable and accessible as well.  This legislation, combined with our on-going efforts, will help us achieve that goal.”

House Bill 5389 (Public Act 634 of 2006) was sponsored by Representative Rick Shaffer (R-Three Rivers); House Bill 6478 (Public Act 674 of 2006) was sponsored by Representative Barb VanderVeen (R-Allendale). 

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