Budget Amendment ID: FY2024-S3-504-R1

Redraft EHS 504

Long Term Services and Supports Actuarial Study

Ms. Jehlen, Ms. Rausch, Ms. Miranda, Ms. Gobi, Messrs. Brady, Keenan, Timilty and O'Connor and Ms. Lovely moved that the proposed new text be amended in section 2, in item 4000-0300, by adding the following words:- "; provided further, that not less than $500,000 shall be expended for a contracted independent study for actuarial modeling of public, private and public-private hybrid long-term care services and supports financing options to help individuals prepare for, access and afford such services; provided further, that the study shall include, but not be limited to: (aa) an analysis of public and private long-term care financing programs that exist in the commonwealth, the participation rates for those programs and any clear gaps that exist, including, but not limited to, gaps in coverage, affordability, participation and any factors relevant to the design of a public program; (bb) modeling of 3 public long-term care insurance programs funded through a payroll deduction, including a front-end limited duration program, a limited duration, back-end catastrophic program and an unlimited duration program; provided further, that key modeling outputs shall include estimated program participation rates, program costs, the distribution of program benefits, the impact on Medicaid expenditures and any financial and legal risks to the commonwealth; provided further, that sensitivity analysis on key program parameters shall be completed and include daily benefit amounts, coverage duration, benefit increase options, form of benefit and premium levels; and (cc) modeling the impact of tax alternatives and other incentives for the purchase of private long-term care insurance on take-up rates in the commonwealth; provided further, that key outputs shall include the impact on insurance take-up rates, the socio-demographic profile of individuals projected to purchase long-term care insurance, program costs and the impact on Medicaid expenditures; provided further, that the actuarial analysis shall be submitted to the executive office of health and human services, the house and senate committees on ways and means, the clerks of the senate and house of representatives and the joint committee on elder affairs not later than 270 days after the passage of this act”; and by striking out the figure "$133,800,335" and inserting in place thereof the following figure:- "$134,300,335".