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The Honolulu Advertiser
Posted on: Wednesday, September 2, 2009

Court blocks Hawaii from cutting health benefits for Micronesians


By Mary Vorsino
Advertiser Urban Honolulu Writer

A federal judge has blocked the state's cuts to health benefits for about 7,500 adult Micronesians from taking effect yesterday as planned.

In U.S. District Court yesterday morning, Judge Michael Seabright issued a temporary restraining order against the state, requiring it to continue providing the same level of medical care to Micronesians until a decision on whether the state followed the law on the proposed cuts is made or a new order is issued.

Micronesians have rallied at the state Capitol against the cuts, saying that the changes would leave many patients without critical care.

"I think the group is pretty happy about the outcome of the federal court," said Elma Coleman, of Micronesians United.

She said the order will give those receiving state-funded medical care more time to consider their options.

The next hearing on the case is set for Oct. 19.

Meanwhile, a temporary restraining order sought in state court was denied yesterday.

Toni Schwartz, a spokeswoman for the state Department of Human Services, which oversees the medical program, said yesterday that DHS officials would discuss the federal restraining order today with state attorneys. She declined further comment.

DHS has said the cuts are needed to address a worsening budget crisis.

The state's planned cuts to medical services for Micronesians come in the form of a new health care plan, which is aimed at saving the state about $15 million a year.

The new plan, called Basic Health Hawai'i, was to replace comprehensive health care benefits the state started providing to low-income adult Micronesians in 1996.

CHRONICALLY ILL

Of most concern about the new plan was its coverage for the chronically ill, including those who need dialysis treatments or chemotherapy.

Initially, the state had said it would no longer cover dialysis for about 100 Micronesians. Then, on Monday, the state Department of Human Services announced it would seek federal money so it could continue to provide dialysis treatments for two years.

State officials have argued that medical care for Micronesians is the responsibility of the federal government, and that the state can no longer afford to pay for the health benefits.

They have stressed that health care for Micronesian children and pregnant women will not be cut back.

Micronesians travel to the United States freely under the Compact of Free Association, which offers benefits for those from Pacific nations where U.S. nuclear testing took place during the 1950s.

The state spends about $28 million a year on health care for adult Micronesians (excluding pregnant women). The state gets about $11 million a year in federal grants to compensate states for services, including health care costs, they provide to Micronesians covered under the Compact of Free Association.

Advocates for Micronesians say they understand the tough spot the state is in, but are disappointed by the push to cut medical benefits.

They also say Micronesians getting health care benefits were informed in writing just weeks ago about the changes to the medical plan, and were not given information on those changes in their own languages.

DHS announced changes to Basic Health Hawai'i in a news release on July 28.

Victor Geminiani, executive director of Lawyers for Equal Justice, which filed suit against the state on behalf of those getting medical care, said the new plan was "thrown together behind closed doors without any kind of comment period."

He added, "The process was so deficient. I was appalled."

State Rep. John Mizuno, House Human Services Committee chairman, has also come out against the cuts. He said there are federal funding sources available that would help cover costs — or at least pay for other programs to free up state money for the health care program.

"Basic Health Hawai'i was ill-conceived," said Mizuno, D-30th, (Kamehameha Heights, Kalihi Valley, Fort Shafter).