On Tuesday of this week, Governor Schweiker released his proposed 2002-2003 budget for the Commonwealth. There were early indications that this budget would be austere - as far back as last October when officials from the Department of Public Welfare addressed our membership.

Review of the proposed budget confirms the absence of any line item in County Child Welfare funding for increased dollars for purchased services - there is no COLA for purchased services included in this budget. While there are additional monies included in the funds designated for county C&Y agencies they are directed to increased services as identified within the Needs Based Budgets as submitted.

Strategies to address this proposed budget will be a significant part of the contracting discussion meeting scheduled for February 20, 2002. Needless to say - your participation in these discussions is encouraged. A priority area will be the PCCYFS platform of full cost reimbursement for mandated services. We will need to gather some hard data specific to the disparity between actual costs of services vs. reimbursed rates. Look for a very brief survey tomorrow, which will require your prompt attention and response. We need this information to effectively respond on your behalf!