Our Quarterly CHS and CHF meeting is less than a week away, and we encourage all of you to join us for our annual legislative reception on Tuesday, January 27, at Drifter’s Bar and Grill in Fort Pierre. This event offers an opportunity to connect with state Legislators and advocate for the children and families we serve at CHS.
Please plan to arrive by 3:30 p.m. CT/ 2:30 p.m. MT for a brief update from President and CEO Michelle Lavallee and CHS Lobbyist Jennifer Stalley. Legislators will begin arriving at 4:30 p.m. CT and will continue until 7 p.m. CT. Your presence during the event will strengthen our relationship with the legislature, while also keeping CHS’s mission top of mind this session.
This reception allows board members to introduce new legislators to CHS and reinforce the value of our work with current leaders—especially our role in serving some of the state’s most vulnerable children and families. To help you make the most of your time with legislators, Michelle and Jennifer have prepared a list of key talking points for your review.
What Do We Want Our Legislators To Know? (Michelle Lavallee, President & CEO)
Thank you for coming to our reception. We host this board-led reception every year to thank our legislators for their support and to continue to maintain a strong partnership.
CHS was founded 135 years ago and is the oldest social services organization in South Dakota. Our mission is to prevent, to treat and to heal trauma. We offer a full continuum of care including residential treatment, K-8 schools, domestic violence center, emergency shelter, Bright Start Nurse Family partnership, adoption and foster care services, outpatient therapy and psychiatry. Last year we touched the lives of over 25,000 South Dakotans.
We are the only licensed provider for inpatient residential psychiatric treatment for the “little’s – ages 4-9, and are licensed for kiddos up to age 14.
CHS is the largest provider of children’s psychiatric residential treatment in South Dakota with nearly 40% of the beds. We have served children from all 66 counties.
CHS is a partner with the State. As a subcontractor, we help the State meet its legal obligations to provide services to our most vulnerable children. Our work is your work – the children at CHS are placed with us by the State.
All children at Children’s Home Society are on Medicaid. We have no private pay.
According to the State’s Provider Reimbursement Annual Report and CHS cost reporting data, current Medicaid reimbursement rates cover approximately 93.9% of actual costs for our inpatient psychiatric residential treatment. That amounts to losing $792,000. We are forced to fundraise to fill this gap.
Our annual budget is $40M. Each year, we must fundraise from 22% - 30% to cover the costs of all of our programs. Philanthropy cannot continue to sustain the State’s obligation for these children.
In Governor Rhoden’s budget, Medicaid providers will not be receiving an increase this year. This amounts to a cut because of the rising cost of living we are experiencing. This means we have fewer resources to pay for these Medicaid kiddos care, therapy, psychiatric services, housing, education, healthcare and clothing and food.
Our 108-bed domestic violence program in Sioux Falls serves women and families who come from across the state. We are often at capacity. Last year we served 9,473 people in some capacity. Nearly 70% of this program’s nearly $6M budget comes from fundraising with limited support from the city of Sioux Falls and counties of Lincoln and Minnehaha. We have received federal funding from VOCA (Victims of Crime Act) but for the past few years these funds have been significantly reduced. Last year the legislature appropriated one-time funds of $5M to help offset the reductions in federal resources. As the largest domestic violence shelter with the most volume, we received $920,000 of these funds for which we are grateful.
We need to ask the legislators to support a bill to appropriate $8M in one-time funds to provide funding for domestic violence and sexual assault service.
As you prioritize your limited resources, we hope you will support your partners serving the most vulnerable people of our State.
Hot Issues of This Session (Jennifer Stalley, CHS Lobbyist)
Budget, Budget, Budget!
State revenue is flat to slightly increased for the upcoming fiscal year. Any increased revenue is necessary to meet mandatory spending obligations (i.e. Medicaid FMAP match). The Governor’s recommended budget provides no increases for Medicaid providers.
Any ongoing revenue that is available should be prioritized for increases to Medicaid providers who are providing services the State is otherwise legally required to provide. CHS provides care and services as a partner with the State and our rates should be prioritized.
Domestic Violence Funding
Federal funding for domestic violence and victim services continues to decline. This has created an $8 million delta between the needed services in the state and available funding. These services are not sustainable without state general funds.
Education, Behavioral Health Services, Prevention & Rehabilitation
Escalating behaviors in the classroom have some legislators looking at alternative classroom settings for some students. The safety of teachers and other students is driving the issue, but the discussions are overlooking the behavioral needs and educational opportunities for the student. Residential youth providers and alternative schools like CHS’ Loving School and Owen School need to be part of these discussions for a productive resolution.
The proposed 0% increased for providers extends to behavioral health providers. Without proper funding for these services, the services CHS receives from partner organizations may be reduced. This limits our ability to meet the needs of our children.
The children we serve are vulnerable to difficult life circumstances as adults. By investing in CHS services now, our children can access the necessary prevention and direct services to chart a different course for their future. The investment by the State now will save money in the future.
Politics, Politics, Politics!
There are several candidates for the republican nomination for governor either as candidates or as proxies for candidates. The factions are clearly posturing for their primary-challenge strategy based on issues they are bringing and their longer-term visions for the party. This undercurrent will undoubtedly impact issues in unexpected ways as the Session progresses.
Services for the most vulnerable children of the State should be a unifying issue for all legislators. CHS looks forward to working with every legislator to help every child we serve.
You may want to know who the legislators are from your home district to make your conversations more meaningful. Here’s a link: https://sdlegislature.gov/legislators/find