July 3, 2001

Bard Discusses Tobacco Settlement Investment Plan With Area Residents

 

GLENSIDE—Rep. Ellen M. Bard (R-153) visited the Glenside Senior Adult Activities Center today to discuss with area residents the Commonwealth’s investment plan for its share of the national tobacco settlement recently finalized by the General Assembly.

"Pennsylvania has seized a historic opportunity to dedicate every dollar from the multi-billion dollar tobacco settlement to meeting the health care needs of the Commonwealth for years to come. We've put together a highly balanced health care investment plan," Bard said. "From relieving the waiting lists for home health care for older Pennsylvanians to covering uncompensated care costs, from prescription drug coverage for more of our older citizens to smoking cessation and education programs, from researching a cure for cancer to providing biotechnology ‘greenhouses’ and a well-funded endowment for the future, this plan covers all the bases."

The Montgomery County lawmaker is particularly pleased that she and her colleagues are "taking care of Pennsylvania’s older residents as part of the healthcare plan."

"Pennsylvania’s greatest generation has paid its dues to our communities, and now it is time for us to help return some of the dividends that have been earned," Bard said. "Pennsylvania’s older residents can be assured that their health care needs are a priority for the Commonwealth. "

More than 20 percent of the $11.3 billion that Pennsylvania is scheduled to receive from the national Tobacco Settlement over the next 25 years is dedicated under the investment plan to increasing and improving health care initiatives for older Pennsylvanians.

Eight percent of Pennsylvania’s tobacco settlement investment plan will be used to increase the income eligibility limits for PACENET from $16,000 to $17,000 for a single person and from $19,200 to $20,200 for couples.

PACENET (Pharmaceutical Assistance Contract for the Elderly Needs Enhancement Tier) is the current lottery-funded prescription plan for older Pennsylvanians who are ineligible for pharmaceutical benefits under medical assistance and whose income exceeds the limits for benefits through PACE.

Bard said, "I am very proud that we in the House of Representatives and our leadership, John Perzel and Matt Ryan, stood firm on our commitment to include prescription coverage in the final allocation plan. Expanding prescription drug assistance to those who need it most has been one of the major priorities of the House and we will continue to try to do more in the future to help with prescription drug costs."

Thirteen percent of the plan will be dedicated to help older Pennsylvanians afford the high costs of home health care rather than opting to receive care in a nursing home. The allocation will reduce the long waiting lists that have backlogged home treatment and will enable older Pennslyvanians to remain in their own homes and communities.

Other highlights of the tobacco settlement investment include:

Helping Pennsylvania’s Uninsured

To improve access to medical care for all Pennsylvanians, 30 percent ($121 million annually) of the money will be allocated to help the uninsured.

Twenty million dollars will be used to create HealthLink, a revolving fund to help rural area hospitals, or those in the poorest areas, purchase needed medical and surgical equipment. Another $25 million will be used to bring needed health care to our rural areas to improve preventive care and reduce unnecessary use of hospital emergency rooms.

Boosting Medical Research

 Nineteen percent of the money will fund medical research at Pennsylvania’s world-class universities, hospitals and laboratories.

Improving Public Health

The state will provide for each school district two heart defibrillators at no cost.  This equipment can save a person suffering sudden cardiac arrest by shocking the heart back into rhythm.  

Funding will help create and expand smoking prevention strategies and comprehensive tobacco-cessation programs throughout the Commonwealth. These funds will total 12 percent of the overall settlement.

Ten percent of the funds will be used to pay hospitals and clinics for health care they provide as a humanitarian service but for which they receive no compensation.

Planning for the Future

An endowment fund annually will accumulate 8 percent of the settlement monies. The fund will help ensure that fluctuations in settlement income will not affect the investment programming.