HomeMy WebLinkAboutMINUTES - 05031988 - S.7 TO; BOARD OF SUPERVISORS
FROM: Supervisor Nancy Fanden Contra
May 3 , 1988 Costa
DATE:
County
SUBJECT: ' LONG-TEM CARE INSURANCE
SPECIFIC REQUEST(S) OR RECOMMENDATION(S) & BACKGROUND AND JUSTIFICATION
REQUEST:
That Mark Finucane, Health Services Department, review
Senator George Mitchell' s proposed bill designed to provide
comprehensive long-term home health and nursing home
insurance to the nation' s 32 million Medicare beneficiaries,
and come back to the Board with a recommendation.
BACKGROUND:
The bill would:
1) Provide a new category of home health benefits for
individuals needing chronic home care, including homemaker
and chore-aid benefits. The beneficiary would pay the first
$500 a year of home-care expenses, and Medicate would pay 80
percent of the remainder.
2) Create a category of "respite" services to allow
relatives caring for a Medicare beneficiary at home to hire
someone to relieve them when needed. Medicare would pay
half of up to $2,000 a year.
3) Create a long-term Medicate nursing home benefit, under
which the individual would pay for the first two years in a
nursing home and Medicare would pay 700 of all costs
thereafter for an unlimited period.
The bill would also give insurance firms tax benefits to
encourage them to develop policies to cover the first two
years of care.
CONTINUED ON ATTACHMENT: YES SIGNATURE:
- RECOMMENDATION OF COUNTY ADMINISTRATOR
- RECOMMENDATION OF BOARD COMMITTEE
APPROVE OTHER
SIGNATURE(S)
ACTION OF BOARD ON May 3? 1988 APPROVED AS RECOMMENDED _ X OTHER
VOTE OF SUPERVISORS
X UNANIMOUS (ABSENT
AYES: NOES: I HEREBY CERTIFY THAT THIS IS A TRUE
ABSENT: AND CORRECT COPY OF AN ACTION TAKEN
ABSTAIN: AND ENTERED ON THE MINUTES OF THE BOARD
OF.SUPERVISORS ON THE DATE SHOWN.
CC: Health Services Director ATTESTED
County Administrator Ph�P, 0��t!�r'07,�Vcr.lf MhBoardol
a rd Courity Ad mi.qistratar
M382/7.83 B Y DEPUTY
Friday,April 22;1988
til
on =In
riot .
-Care Insurance :Ready
W""W'"post
-Washington a create a long-term Medicare
Senator George I itchell, nursing home benefit,under�which
• )-Maine, chairman.of the Sen- the individual would,pay:for the
e Financ
e subcom
first two years in a nursing.home
r Castidittee on
ealth,unve�iledhis plan yester- and Medicare would pay:70percent
ay to provide:comprehensive of all costs thereafter for an;unlim-
bng-term home :health and Ited Period.
ursing home insurance to the Mitchell said he recogiilies that
'Ration's 32 million ,Medicare not providing nursing-home,bene-
;...
neficiaries. : fits until after two years would be
viewed by some as inadequate;but
Long-term care insurance is ex- 'he said costs would otherwise be
cte'd to be one of;the key'issues in enormous.The.bill gives insurance
he. next Congress, and Mitchell's firms tax benefits to encourage
ng-awaited bill the centerpiece of them_to develop policies to cover. .
attempts to enact a;comprehensive tiSe�tlrst two years of care.
;urogram because of his-position as >,
ubcommittee chairman. T
too.pay-the estimated$16 billion
Win billion'annual costs of the bill,
y The bill would: - f _..Mitchell- ro several :sources
of revenue..The current ,;45,000-a-
#Rrovide .a new category of year:cap on the amount of anmual
me health benefits for individu-.: .wages, subject to the 1.4 percent
needing cbronicIome',care,in- Medicare payroll tax would.be lift-
uduig-homemaker.and chore-aid ed,:raising$8.5 billion a year.
nefits:The.beriefitiary w.ouldpay �
e first $500 a year of homecare ; . .. 'hi addition, an'extra Medicare
•:expenses, and Medicare would pay.s :premium of $2 a month from all
'80 percent of the,remainder. ''beneficiaries,plus an Inco_me-based
- ' premium to be paid by`better-off
O Create a, category Of "re Medicare enrollees, is expected to
*spite'`services to allow relatives car raise$2.5 billion a year.-
.ing'ftir a Medicare beneficiary at;.
,home''to hire someone to.relieve Remaining.costs would be cov-
hem when, needed. Medicare._ erect by imposing a 5 parcenf Feder-
ould pay half of up.to $2,000 a al suitax on glfts or`inheritance of
ar. ;; assets in excess of IM,000. .