–
As part of his Massachusetts Recovery Plan to secure the state's
economic future, Governor Deval Patrick today announced an additional
$764 million in federal recovery funds to secure jobs, maintain health
care reform and protect key safety net services.

"These
additional FMAP funds are critically important to Massachusetts during
these challenging economic times," said Governor Patrick. "Through
thoughtful and strategic investments, we will protect and assist
Massachusetts residents who will rely on the state for key services and
supports now more than ever."

The federal American Recovery
& Reinvestment Act provides a temporary boost in the Federal
Medical Assistance Percentage (FMAP), increasing federal matching
dollars for Massachusetts' Medicaid program from 50 percent to between
56.2 percent and 61.6 percent, depending on unemployment levels in the
state during the stimulus period.

Approximately $764 million
in additional FMAP funding will be available to Massachusetts in FY09
and FY10, which supplements the $1.2 billion announced in January as
part of the Governor's Emergency Recovery Plan for FY09 and FY10.

Securing Jobs and Supporting Health Care Services: $255million in FY10.

Ensuring
the stability of essential health providers and ongoing strategic
initiatives is critical to maintaining jobs in the health sector and
preserving key services.

The Governor's FY10 budget priorities provide $255 million for:

Hospitals: $160 million

Nursing homes: $45 million

Community mental health: $15 million

Community health centers: $10 million

"Community First" initiative: $20 million

Other health care providers: $5 million

Maintaining Health Care Reform: $222 million in FY10

The
Governor's plan for FY10 provides $222 million to maintain coverage and
eligibility for all existing MassHealth and Commonwealth Care members,
allowing for anticipated increases in caseloads with the creation of a
caseload mitigation reserve fund.

Protecting the Safety Net: $97 million in FY10.

The Governor's funding priorities for protecting safety net services in FY10 include:

Department of Mental Health: 14 million

Support additional rental subsidies for people with mental illness living in the community.

Provide adequate funding to maintain inpatient capacities.

Department
of Mental Retardation / Department of Developmental Disabilities: $31.6
million Renovate community group homes as part of the "Community First"
initiative.

Restore funding for family supports.

Disability Commissions and Veterans:$5.73 million.

Restore after-hour interpreter services for the deaf and hard of hearing.

Fund
supports for people with disabilities in the workforce (Massachusetts
Rehabilitation Commission, Commission for the Deaf and Hard of Hearing,
Commission for the Blind).

Invest in veterans.

Department of Children and Families: $10.2 million.

Preserve 82 social work positions.

Increase rates for foster care families.

Department of Youth Services: $3.4 million.

Address substance abuse for detained and committed youth.

Institute transitional placements.

Department of Public Health: $7.4 million.

Support Department's Bureau of Health Care Safety and Quality.

Maintain access to family planning services.

MassHealth – Children's Behavior Health Initiative: $25 million.

"Safety
net services are critically important during times of economic
uncertainty, and the Governor's commitment to securing jobs,
maintaining health care reform and protecting needed supports will make
Massachusetts communities stronger," added Secretary of Health and
Human Services Dr. JudyAnn Bigby. "By making these key investments now,
we are continuing to preserve insurance coverage and eligibility for
vulnerable populations to avoid capping program enrollment and
eliminating services just when they are needed most."

"Unlike
in previous fiscal emergencies, where administrations balanced their
budgets by reducing safety net services and Capping enrollment in
health programs, Governor Patrick is making the prudent and
compassionate choice to use these federal funds to prevent more
devastating cuts in our safety net," said Leslie Kirwan, Secretary of
Administration and Finance."This is a fiscally responsible use of the
recovery funds and will ensure that those in need get the help they
deserve."

"These actions by Governor Patrick are just what the
doctor ordered. This vital funding for health care in Massachusetts is
an important element in President Obama's economic recovery plan that
we fought for so hard in the Congress," said Senator Edward Kennedy. "I
commend Governor Patrick's plan to use the federal recovery funds to
shore up safety net services. His plan provides desperately needed
money for essential health services, and will stem the tide of job
layoffs in the health sector."

"We are facing challenging
economic times and this additional federal funding will help ease some
of the pressure on health care safety net programs. It is an effective
use of stimulus funds and will have a direct impact on many
Massachusetts residents," said Congressman Mike Capuano.

"The
economic recovery bill was designed to save jobs and prevent the most
vulnerable kids and senior citizens from falling through the cracks in
the toughest economic times since the Great Depression," said Senator
John Kerry. "This investment will guarantee that the kids and
low-income folks hurting the most continue to get desperately needed
health care services. I applaud Governor Patrick for distributing these
funds in a way that protects thousands of people across Massachusetts."

"Maintaining high quality health care services is absolutely
critical – especially in these tough economic times," Congressman Jim
McGovern said. "I'm pleased that the Governor is ensuring that a wide
range of services will receive this federal funding."

Congressman
John Olver said, "Shoring up our health care system is a responsible
and proper use of stimulus funds. This extra infusion of capital will
help to ensure that modest income people have access to health care in
these difficult economic times. In addition, these funds will directly
contribute toward maintaining high-paying jobs in the health sector."

"I
am pleased to see that the $764 million in FMAP dollars provided to the
state via the Economic Stimulus bill will be used to address some of
Massachusetts most urgent health care needs," Congressman Stephen F.
Lynch said.

"These funds will secure jobs, lead to the
stabilization of our safety-net hospitals and community health centers,
provide for the continuation of health care reform and ensure essential
services to those in need. With the economic downturn taking its toll
on health care, the funds could not have come at a better time."

"I'm
pleased that these federal funds will help Massachusetts maintain its
role as a leader in health reform, while making certain that our
hospitals and health centers have the resources to provide access to
the quality, preventive care that so many of our most vulnerable
citizens urgently need," said Congressman John Tierney.

"These
needed funds will ensure that medical providers in our state are able
to maintain essential health services, will sustain the Commonwealth's
historic commitment to universal health care, and protect our most
vulnerable residents all while creating local jobs," said Congresswoman
Niki Tsongas. "I want to thank Governor Patrick and Lt. Governor Murray
for their ongoing commitment to health care, as well as for their
efforts to ensure that the funds from the American Recovery and
Reinvestment Act are used to create jobs and make much needed
investments in our communities."

"These federal funds will
provide critical support for those across the state who need it the
most," said Congressman Edward J. Markey. "The money will support the
young, the old, the disabled, and the veterans who have served our
country so honorably. Our health is our first wealth, and this will
provide a vital safety-net for our families and communities."

Investments
in safety net services are a critical component of Governor Patrick's
Massachusetts Recovery Plan, which combines state, federal and, where
possible,private efforts to provide immediate and long-term relief and
position the Commonwealth for recovery in the following ways:

Deliver
immediate relief by investing in the road, bridge and rail projects
that put people to work today and providing safety net services that
sustain people who are especially vulnerable during an economic crisis:
build a better tomorrow through education and infrastructure
investments that strengthen our economic competitiveness, prepare
workers for the jobs of the future and support clean energy, broadband
and technology projects that cut costs while growing the economy; and
reform state government by eliminating the pension and ethics loopholes
that discredit the work of government and revitalize the transportation
networks that have suffered from decades of neglect and inaction.

For more information about what the federal recovery law means for Massachusetts, please visit www.mass.gov/recovery.