`Slash and Burn` Approach is Wrong-headed Way for State to Handle Public Health
Epidemic
Cuts-Including $96M from Lifesaving AIDS Drug Assistance Program-Would Trigger
Vast Additional Lost Federal and Private AIDS Dollars; Proposal to Take All
Money for AIDS Care and Treatment from General Fund Could be Death Sentence for
Many Poor Californians
SACRAMENTO, Calif.--(Business Wire)--
AIDS Healthcare Foundation (AHF), the nation`s largest non-profit HIV/AIDS
healthcare provider, today criticized California state officials for planning
draconian budget cuts that will jeopardize the public health by eliminating all
funding for AIDS care and treatment from the state`s General Fund. The state
action came on the heels of Tuesday`s state election where five ballot measures
to address the state`s burgeoning budget deficit were voted down and; as a
result, in response to the $21 billion and growing deficit now facing
California.
"The fact remains that AIDS is a communicable disease. California`s slash and
burn approach to eliminating funding for the care and treatment of those
afflicted by this public health epidemic is totally wrong-headed. As a result of
its actions, the state could actually end up killing many poor Californians
living with HIV/AIDS," said Michael Weinstein, President of AIDS Healthcare
Foundation. "In addition, these draconian cuts-$170 million in total from the
General Fund-will also trigger $322 million in additional lost matching federal
and private AIDS dollars. The state is destroying a crucial public health safety
net by decimating over $400 million in AIDS treatment, care and support
services. And in the end, the state will still be responsible for the care of
many of these patients who will end up seek far more costly care in overloaded
emergency units throughout the state. These cuts would be catastrophic if they
are implemented."
Governor Schwarzenegger`s budget proposal wipes out $170 million that the
Legislature appropriated for General Fund-supported AIDS programs, including $96
million for the jointly funded state/federal AIDS Drug Assistance Program (ADAP)
which serves over 35,000 low income Californians. The state currently gets $88
million in matching ADAP federal funds; however, in order to receive these
matching funds, California must meet a `maintenance of effort` requirement, and
by cutting all state ADAP funding, the state fails this requirement and will
lose out on the $88 million in matching federal dollars.
The state`s elimination of all ADAP funding will also mean a loss in rebates
from drug manufacturers who sell AIDS drugs to the state. These rebates add
millions of dollars to a special ADAP fund. This rebate fund has had as much as
$233 million in at one point, money which also goes toward AIDS services. If the
state halts all drug purchases for ADAP, this additional funding stream for AIDS
treatment, care and services also dries up. The state`s action will trigger a
huge across the board loss of funding-a significant portion of which isn`t even
state money-for the care of some of its most vulnerable citizens living with
HIV/AIDS.
The Governor`s proposal also cuts the entire $8 million budget of the
Therapeutic Monitoring Program (TMP). TMP provides diagnostic assay testing to
help determine the efficacy of an individual's AIDS drug treatment protocol. The
HIV Diagnostic Assay Program had been threatened in 2004 with an 87% cut, but
Governor Schwarzenegger interceded at that time and restored most of the funding
for this crucial AIDS testing program in his 2005 budget.
About AIDS Healthcare Foundation (AHF)
AIDS Healthcare Foundation (AHF) is the nation`s largest non-profit HIV/AIDS
healthcare provider. AHF currently provides medical care and/or services to more
than 100,000 individuals in 21 countries worldwide in the US, Africa, Latin
America/Caribbean and Asia. Additional information is available at
www.aidshealth.org
AIDS Healthcare Foundation
Media Contact:
Ged Kenslea, 323-860-5225
Mobile: 323-791-5526
gedk@aidshealth.org
or
Alternate Media Contact:
Lori Yeghiayan, 323-860-5227
Mobile: 323-377-4312
lori.yeghiayan@aidshealth.org
Copyright Business Wire 2009
