ElderBlog.net

The Department’s war on annuities continues.  In light of MEH 16.7.4.1.2, the counties (or at least some of them) are shopping all annuity contracts to JG Wentworth and when Wentworth expresses an “opinion” as to value (not a commitment to purchase mind you) they treat the annuity as have a “value” at the Wentworth “opinion.”  This will make it that much more difficult to use annuities in planning situations. (We are looking at whether Wentworth will really buy the annuity.

In my view, this is wrong headed.  First of all, most annuities are used in spousal situations to help make it possible for the community spouse to remain financially independent for a much longter time.  Second, in many cases, because of the income from the annuity, the cost of care contribution for the institutionalized spouse will increase, thus saving money for the State while both spouses are alive.  In addition, it may delay the time that the community spouse will need Medicaid.

Oh, by the way, the Department is also apparently taking the position that the March 1, 2009 “effective date” doesn’t really mean that (despite the clear wording of the MEH amendment).  Is this any way to run a railroad?

Thursday April 16, 2009 has been designated National Health Care Decisions Day.  All around the country, law schools, bar associations and others are sponsoring events to encourage persons to think about how they want their health care decisions made if they can’t make them for themselves.  At the University of Wisconsin law school, a group of students will be sponsoring an activity.  On May 7, 2009, Attorney Bill Colby, who represented the Nancy Cruzan family in the seminal Supreme Court case of the same name will be a featured speaker at the State Bar Convention in Milwaukee.  Bill offered the following thoughts in a recent piece in the Kansas City Star. http://www.kansascity.com/273/story/1138811.html 

If you haven’t already done so, I encourage you to execute your own health care power of attorney.  For more information, look at http://www.hill-law-firm.com/documents/2008/advance_health_care_planning.pdf

Bill Colby, the lawyer for the family of Nancy Cruzan in the famous Cruzan v. Missouri and author of two books, The Long Goodbye:  The Deaths of Nancy Cruzan and Unplugged: Recovering the Right to Die in America will be speaking in Wisconsin on May 6 and 7, 2009. 

On Wednesday, May 6, 2009 he will speak at the Bolz Auditorium at Meriter Hospital from 6:00-7:30 p.m.  On Thursday, May 7, 2009he will be a “Showcase” speaker at the State Bar of Wisconsin Annual Convention in Milwaukee at the Midwest Express Center.  (You must be a lawyer to attend this latter presentation).

Bill is a knowledgeable and outstanding speaker.  Please join us.

Jim jaeger

Effective January 1, 2009, the Deficit Reduction Act was implemented in Wisconsin.  This federal law, enacted in February of 2006, made significant changes to Federal Medicaid law, which became effective in Wisconsin on January 1, 2009. 

The most significant changes involve the divestment (asset transfer rules).  They include extending the lookback period to 5 years (instead of 3 for most transfers under the old law), aggregating all transfers in the lookback period instead of those that “touch,” and, most importantly, delaying the start date for the penalty period.  Under the old law, the penalty started to run in the month of the gift.  Under the new law, the penalty now starts to run when the individual is in a nursing home, has less than $2,000 (or the amount of the spousal allowance in the case of a married couple) and an application has been filed.  This change makes asset transfers much more dangerous for persons who might need medical assistance in the future.

Other significant changes involve the use of annuities in medical assistance planning and limitations on the exclusion for home equity.

For more information on these and other changes take a look at:  http://dhs.wisconsin.gov/em/ops-memos/2009/pdf/09-01.pdf

Jim Jaeger

One of the key issues that will be before the Congress this year is Health Care Reform.  Public Policy advocates who have worked on this issue for years seem cautiously optimistic that there will be action in this Congress.  While the outlines of the plans are in the early stages, it appears that some mix of a public-private system is most likely.  A straight Single Payor system seems unlikely.

A major issue will be cost controls.  Given the rising costs of health care, if these cannot be brought under control, then the likelihood of improving access and coverage is less.  However, this is the toughest nut to crack, since this is where the major interest groups will weigh in, since they are likely to pay the biggest price.  Also, the coalitions on this may be interesting and unusual.  For example, the insurance industry has suggested that it will be more forthcoming on issues related to pre-existing conditions and community rating if coverage is universal.  Manufacturing industries may also take a more positive view because of the cost of health care as a part of their overall costs.

We’ll lhave to wait and see.

Jim Jaeger

While NAELA was in Washington, the Elder Justice Act was introduced as S-795.  Senator Orrin Hatch of Utah was the sponsor and Senators Herb Kohl, Blanche Lincoln and Olympia Snow are the initial co-sponsors.  The purpose of this bill is to provide federal support to efforts nationwide to combat the epidemic of elder abuse.  Among other things the Elder Justice Act will:

• Create a National Coordinating Council to support the work of federal, state, local and private non for profit entities working on elder abuse issues;
• Provide a consistent funding stream and national coordination for adult protective services;
• Provide technical, investigative and victim support for criminal prosecution of elder abuse;
• Support community policing to protect at risk elders;
• Evaluate these projects to identify those which are most successful.

While more needs to be done, this is a very important first step.  One way that we can help push this forward is to encourage our Senators and Representatives to become co-sponsors of the bill.  We were told that co-sponsorships are extremely helpful in moving the legislation through what will be a very tough legislative calendar.  If you are a Wisconsin resident, I encourage you to contact Sen. Feingold’s office and encourage him to become a co-sponsor.  While he supports the bill, becoming a co-sponsor would have much more impact.  http://feingold.senate.gov  For more information, go to http://www.elderjusticecoalition.com

Jim Jaeger

I have just returned from the National Academy of Elder Law Attorneys Annual Meeting in Washington DC.  This session had a strong public policy focus and we learned a lot about what’s on the public policy agenda affecting seniors and persons with disabilities.  While the response to the problems in the economy has generated the most headlines, and these problems certainly affect seniors, there are a lot of other issues that are hot as well.  Both of our Wisconsin senators and our members of the House of Representatives are involved in these discussions.

Welcome to Elderblog.net–an elderlaw blog moderated by James A. Jaeger of Hill, Glowacki, Jaeger & Hughes, LLP.  Information published on this blog is for general public education and is not intended as legal advice to any individual.  Reading or responding to this blog is not intended to and does not create an attorney client relationship with James A. Jaeger.  Unless otherwise indicated, the opinions expressed in this blog are those of James A. Jaeger and may not represent the views of other partners, associates or employees of the firm of Hill, Glowacki, Jaeger & Hughes, LLP