Fifth Time a Charm for Direct Care Worker Raises?

Published in Woonsocket Call on November 6, 2016

When the Rhode Island General Assembly wraps up its session many times the stars are not in political alignment for passage of a particular legislative proposal or budget amendment, even if many lawmakers considered these to be worthy of passage. Sen. Louis P. DiPalma understands this very well.

During the past four legislative sessions he has unsuccessfully pushed to increase pay for direct care workers serving persons with intellectual and developmental disabilities by boosting the state’s budget funding for these workers.
DiPalma, a Middletown resident who as a senator has represented Little Compton, Middletown and Tiverton for over 8 years, has come back for a fifth time, hopefully the last, to see his efforts succeed in providing a living wage to these providers, enhancing the quality of life of their lives.

A Call for a ’15 in 5’ Pay Increase

At a news conference held on Friday, Oct. 28, at Warwick-based West Bay Residential Services, DiPalma along with fellow Senators, announced their support for his proposal: ’15 in 5’ pay increase for workers serving persons with intellectual and developmental disabilities. The Democratic senator envisions annual, incremental increases in compensation to reach $15 an hour in five years, and tying the pay rate to inflation thereafter.

A 2015 survey by the Community Provider Network of Rhode Island paints a picture of Rhode Island’s direct care workers. The majority of these individuals are women of households. Many receive state assistance from programs geared towards low-income workers, such as SNAP benefits, WIC, heating assistance, day care assistance, and housing aid. More than 40 percent of the workers hold more than one job to financially survive.

At the 53-minute press conference, DiPalma urged Rhode Island Governor Gina Raimondo to include his funding proposal in her 2017 budget submission. He also plans to submit legislation in the 2017 session to address the compensation system for these direct care workers, providing annual increases so that the pay rate of direct care workers reaches $15 in five years, and tying future wage increases beyond five years to inflation.

“The minimum wage has increased by 30 percent since 2012, but the rate paid to these essential direct care providers has remained stagnant,” charged DiPalma, at the press event. “The pay is now barely more than minimum wage, which is having a detrimental effect on staff retention, training costs, and, as a result, quality of care [for persons with intellectual and developmental disabilities],” he says.

DiPalma noted that the need for this pay increase is obvious. “The facts and data show that our direct care workers love their jobs and want to stay in the field. They genuinely care about the population they serve. Yet, 62 percent of respondents to a recent survey indicated that low salary was a factor that may make them leave their jobs. We need to act to address this urgent situation,” he said.

According to DiPalma, the average annual staff turnover rate in the private provider network is approximately 33 percent. “This is three times as high as the approximately 11 percent staff turnover rate for comparable positions with the state-run providers through the Rhode Island Community Living and Supports (RICLAS) at the Department of Behavioral Healthcare, Developmental Disabilities and Hospitals, according to providers and RICLAS,” he says.

The average private-sector direct care worker makes $10.82 per hour, or about $22,500 a year, says DiPalma, noting that entry level provider positions at state RICLAS pay $17.15 per hour. When considering longevity, the average wage for all RICLAS direct care workers is approximately $42,278. RICLAS workers also receive state employee benefits.

Jumping on the Band Wagon

Two days before DiPalma’s press conference, Secretary of Health and Human Services Elizabeth Roberts penned her endorsement of his wage increase proposal. In her Oct. 26 correspondence, she strongly endorsed his efforts to implement multiyear wage increases to Rhode Island’s direct service providers. “These workers are critically important to realizing the goals set forth in our clients’ person-centered plans,” she adds, noting that these workers provide services necessary for ensuring that persons with disabilities are integrated in Rhode Island communities.

At the press conference, S came to give DiPalma his blessings. “Increasing wages to private direct care workers addresses an important part of the wage inequity problem, and helps improve outcomes for the individuals they serve. At the same time, we need to continue to review the methodology for compensating all those direct care workers who serve our children, homebound elderly, and individuals with disabilities through other types of provider agencies,” says Da Ponte.

Like other speakers at the press conference, Donna Martin, executive director of Community Provider Network of Rhode Island, called initial salaries for direct service workers “woefully inadequate” for the work they perform. “They are working nights and holidays leaving their families behind to support individuals under their care.,” says Martin. “These individuals serve as mentor, friend, confident and even some serve in the role of family to their clients,” she adds.

Adds speaker Anthony Antosh, Director of the Paul V. Sherlock Center on Disabilities: “The field of developmental disabilities has dramatically changed in the past two decades as have the responsibilities and expectations for direct support staff. The outcomes achieved by adults who have a developmental disability are directly connected to the quality and stability of direct support staff. Developing a career ladder built on quality training and fair wages will go a long way towards stabilizing the direct support workforce and improving quality of services.”

Marie Carroll, a direct service provider employed by ARC of Blackstone valley, a
Pawtucket-based agency employing over 200 employees, sat in the audience to support DiPalma in his efforts to increase funding for direct care workers. She sees Rhode Island’s lower wages pulling her colleagues into Massachusetts for higher incomes.
Carroll hopes to see the Rhode Island General Assembly in the upcoming session value the work she and 3,500 direct care workers provide. “People who care for the state’s disabled should not be paid poverty wages. You can’t expect people to work in an emotional and sometimes physically demanding job for $11 per hour,” she said, stressing that low wages keep these workers from taking adequate care of their own families.

Boosting Wage Payments in Next Year’s Budget

At press time, DiPalma’s wage increase proposal has received a seal of approval from President of the Senate M. Teresa Paiva Weed and Senate Finance Committee Chairman Da Ponte. Roberts, as Secretary of Health & Human Services, who oversees the state’s disability programs and services, gives her enthusiastic support for boosting funding of direct services workers in the upcoming 2018 budget. But, press secretary Larry Berman says that House Speaker Nicholas A. Mattiello is studying DiPalma’s proposal and has not yet taken a position on this issue.

Even with early political support of DiPalma’s ’15 in 5’ Pay Increase proposal, its ultimate passage lies with either Governor Raimondo boosting direct car worker wages in her FY 2018 budget proposal or in the state’s final budget crafted by the House with the sign off of the Senate. For DiPalma and those working with persons with intellectual and developmental disabilities, the Governor, House Speaker and President of the Senate must be on the same page to move DiPalma’s proposal forward. Hopefully, the “fifth time is the charm.”

Housing Report Supports Push to Approve Question 7

Published in Woonsocket Call on October 30, 2016

Earlier this year, Rhode Island Housing (RIH) released a 44 -page report detailing the Ocean State’s current and future housing needs. One thing was clear to those attending this event: over the next decade the state will need more affordable housing for its residents.

Over the last 7 months, RIH’s Executive Director Barbara Fields has crisscrossed the Ocean State calling for increased housing opportunities for working Rhode Islanders. During this period of time she has presented the study’s findings to more than a dozen civic and government groups, including AARP Rhode Island, the Providence City Council and United Way.

During the last legislative session Rhode Island housing advocates were successful in their push for the enactment of a bond initiative that would make a significant state investment in affordable housing. As part of the omnibus statewide budget package, a $50 million Housing Opportunity Bond initiative for housing programs was passed by the House and Senate chambers, ultimately to be signed into law by Governor Gina Raimondo (D) and put to voter approval on the November ballot.

With the November election fast approaching, Fields has not let her report, compiled by HousingWorks RI, a research program at Rogers Williams University, sit on a dusty shelf but is using it to push for passage of the housing bond initiatives.

RIH Releases its Comprehensive Housing Study

On April 6, Fields gathered with state housing advocacy groups at the Rhode Island Commerce Corporation to unveil RIH’s landmark housing study, Projecting Future Housing Needs. Fields warned that the state’s economic comeback must be tied to new and existing housing that stays within the financial reach of Rhode Islanders. “Today in Rhode Island, the demand for housing is high while the supply is much too low. This imbalance simply makes the cost of housing too expensive for what our residents earn. This report provides critical insight into what the future needs of Rhode Islanders will be and that information will allow us to develop a plan to address those needs,” she said.

At this event, Rhode Island Commerce Secretary Stefan Pryor tied adequate housing for working Rhode Islanders as key to bringing businesses to the Ocean State. “Companies looking to expand or relocate consider how well they will be able to retain and attract their workforce, and a key part of doing so is ensuring that employees of all income levels have high quality housing opportunities,” said Pryor. “It’s vital to our state’s economic success and our quality of life that we preserve and produce high quality housing options for our residents,” he added.

The RIH report’s findings indicate that Rhode Island’s population is projected to grow between 3 and 5 percent from 2015 to 2025. Researchers warn that new housing demand will outpace population growth, and anticipate a 12 to 13 percent increase in the number of households, driven by a growing population and simultaneous decline in household size tied to both lower birth rates and an aging population. Researchers also predict housing demand will be driven by a large population growth in two demographic groups that tend to have lower incomes – namely aging baby boomers and seniors and young millennials.

According to the RIH report, cost burden problems of paying rent do not just impact older Rhode Islanders and Millennials, but have become more mainstream issues over the last ten years and now affect all income brackets. The findings found that Rhode Islanders already pay more than 30 percent of their income on housing costs, and that more than half of the increase in cost burden from 2000 to 2012 impacted households earning more than $57,700.

From 2000 to 2014, the researchers found that the state’s total population grew marginally at 0.11 percent, but the number of households grew by 0.28 percent. Rhode Island’s smaller household sizes are due, in part, to a larger proportion of older persons and a smaller proportion of persons of color when compared to national rates. Younger households are likely to have more people than those headed by people aged 65 and older, primarily because they are more likely to be family households with children. As this demographic shift continues, the future population will need more housing units to meet the increased household need caused by smaller household sizes typical of older householders.

Pushing for Passage of Question 7

Like Fields, Chris Hunter, campaign manager for the Yes On 7 Campaign, sees the RIH report’s findings as crucial information that voters need to know about the impending housing crisis. “As Rhode Island Housing’s recent report shows, we’re simply not creating enough new housing to meet projected population growth. At the same time we’re facing an affordability crunch as our young workers just starting their careers, families, veterans, and seniors are having a difficult time paying for housing while also making ends meet,” says Hunter.

“That’s why Question 7 and the $50 million Housing Opportunity bond is such a smart investment in housing and Rhode Island’s economy,” says Hunter, stressing that if approved by the voters the $50 million bond initiative will leverage an additional $160 million in federal and private investments.

According to Hunter, if approved, $40 million of the bond dollars will be allocated to the construction of affordable homes and apartments across Rhode Island, while the remaining $10 million will be used to help cities and towns revitalize blighted and foreclosed properties. The bond will also fund the construction of 800 affordable homes and apartments across Rhode Island and create 1,700 good paying local construction jobs.

Over 60 percent of Rhode Island voters passed housing bond initiatives in put on the ballot in 2006 ($50 million) and 2012 ($25 million), says Hunter. “Funding from these last two affordable housing bonds created 1,943 affordable units in 30 communities around the state, and leveraged more than $300 million in federal and private investment in these projects,” he says.

RIH‘s housing report has sounded the alarm, giving a stark warning to local and state officials that a housing crisis exists and will only get worse with the shifting of the state’s demographics. With the election looming, RIH’s Fields continues to push for passage on Question 7. Hunter works to mobilize his housing advocates and supporters of Question 7 to get the word out to every voter in Rhode Island’s 39 cities and towns that this bond initiative must be passed. Hopefully, their message will get across to Rhode Island voters. We’ll see when the votes are counted.

For more details on Question 7, visit http://www.yeson7ri.com.

Herb Weiss, LRI’12 is a Pawtucket writer covering aging, health care and medical issues. To purchase Taking Charge: Collected Stories on Aging Boldly, a collection of 79 of his weekly commentaries, go to herbweiss.com.

Time to Change how Social Security Calculates ‘COLA’

Published in Woonsocket Call on October 23, 2016

On Tuesday, September 18, the U.S. Social Security Administration announced that the nation’s 65 million Social Security beneficiaries will be automatically be paid a minuscule 0.3 percent cost-of-living adjustment (COLA) to their monthly checks in 2017. The average monthly Social Security benefit next year will be $1,360, $5 more than now.

According to AARP, 153,349 Rhode Islanders received Social Security checks as of the end of 2014. Also, 22 percent of Rhode Island retirees depend on their Social Security check for 90 percent or more of their income. That’s chump change, not a lot of money for Rhode Island retirees to buy groceries, gas, or even catch up on their bills.

The federal agency detailed other changes that we can expect, too. Beginning in 2017, the amount of your earnings subject to the Social Security tax increases from $118,500 to $127,200. It’s estimated that this tax change impacts about 12 million of the 173 million people who pay into the retirement system.

Next year’s Social Security COLA increase is the smallest in a decade and comes after no increase in 2016 (zero increases also occurred in 2010 and 2011). Seventy percent of Medicare beneficiaries are protected by a hold-harmless rule, which keeps Social Security benefit payments from decreasing because of increased Medicare Part B premiums. However, 30 percent of Medicare beneficiaries (including high wage earners, those enrolled in Medicare and not yet receiving Social Security, and newly enrolled in Medicare) could see cost increases in their Medicare Part B premiums that cover their visits to doctors and hospitals. The increased premium costs will be deducted directly from their Social Security check.

Chump Change COLA Won’t Pay Bills

Responding to the federal government’s disappointing COLA announcement, AARP CEO Jo Ann Jenkins, whose Washington, DC aging group represents 37 million members, charges in a statement that one major domestic issue ignored by presidential debate moderators and one that demands attention from candidates is the future of Social Security.

“Over the last five years, Social Security COLA’s have remained small or nonexistent at 1,7 percent or lower, even though every cent can matter to beneficiaries and their families. After last year’s zero COLA, this year’s announcement doesn’t offer much help to the millions of families who depend on their Social Security benefits. As prescription prices skyrocket and Medicare premiums and other health costs increase, many older Americans have understandable concerns. Along with many groups, AARP has also asked Congress to ensure that Medicare premiums and deductibles don’t skyrocket next year,” says Jenkins.

Adds Max Richtman, President/CEO of the National Committee to Preserve Social Security and Medicare (NCPSSM), “No one can say with a straight face that providing the average senior with an additional four dollars a month will come even close to covering the true cost of living that retirees face. The average senior spends more than $5,000 a year on healthcare costs alone. A $4 Social Security COLA doesn’t even make a dent in covering rising costs for seniors.”

Richtman asserts that next year’s tiny COLA increase only continues the trend of historically low cost-of-living adjustments for retirees. “Over the past eight years, the current COLA formula has led to average increases of just over 1%, with three of those years seeing no increase at all. For the average senior, the 2017 COLA will mean an extra $4.00 per month which would barely cover the average cost of one Lipitor pill, a prescription drug frequently prescribed to seniors,” he says.

Richtman notes, “I’ve asked seniors at town hall meetings around the country how many of them think the COLA represents their true cost of living — laughter is always the response. We should move to a COLA formula that takes a more accurate measure of seniors’ expenses, which is a CPI for the elderly. The CPI-E has been in the experimental phase since 1982. It’s time to finish the job by fully funding the development of a more accurate COLA formula.”

Congress Must Legislatively Fix COLA Formula

In media releases, Rhode Island lawmakers call for tweaking how Social Security calculates Social Security COLAs.

Democratic U.S. Senator Sheldon Whitehouse, who sits on the U.S. Senate Special Committee on Aging, calls next year’s Social Security COLA increase an “insult.” He says, “For the fifth year in a row, Washington’s outdated formula has resulted in zero or next to zero cost of living adjustment for Social Security benefits. For the fifth year in a row, Rhode Island seniors will have to stretch their budgets to cover the rising cost of the basics, like food, housing, bills, and prescriptions. They didn’t bargain for this when they paid into Social Security over a lifetime of hard work. Congress needs to change the way we calculate Social Security COLAs.”

Adds, Rep. David Cicilline (D-RI), “This is completely unacceptable. The method for calculating cost of living adjustments is completely broken and fails to reflect the costs of gods and services seniors buy in Rhode Island and across the country.”
The Rhode Island Congressman calls for the Republican House Leadership to seriously consider pending legislation that will ensure that cost of living adjustments reflect the goods and services Rhode Island seniors actually buy. “Speaker Ryan should immediately bring the Protecting and Preserving Social Security Act to the floor so we can replace this outdated method for calculating cost of living adjustments with a model that actually meets the needs of Rhode Island seniors,” said Cicilline.

During the last Congress, the Senate and House controlled GOP have consistently kept legislative proposals from being considered that were crafted to bring needed reforms to the nation’s Social Security and Medicare programs. A newly elected Democratic President and a Congress controlled by Democrats might just be the political fix necessary to finally do the job that is ensuring the financial long-term solvency of these two domestic entitlement programs