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Trickle Down Effect

California State Legislature recently approved a budget and signed by Governor Newson to cutback $57.3 Million dollars from the Medi-Cal Managed Care program. This means there will be more cutbacks to your services that the Affordable Care Act was supposed to provide. July 2019 through December 2020 many of those services will be seeing cutbacks for reimbursement for services "past, present, and future." According to IEHP (Inland Empire Health Plan), "These cutbacks are affecting every organization in the State that participates in the Medi-Cal program," yet IEHP has promised us that your mental health services provided by Encouragers Family Counseling Inc will not be impacted. This is great news!

At Encouragers we are committed to serve those in need. As the degree of hardship increases so does the need. Many individuals found themselves without insurances because of layoffs due to mandatory statewide shutdowns. This created a flood of new participants in the Media-Cal program and that program was never designed to help so many. The same goes for unemployment benefits and many other social services funded through employment taxes. When companies shut their doors (like due to Covid-19 and mandatory shut downs) those taxes are no longer collected and the trickle down effect means those services now must be cut as well. It's simple economics: No jobs = no taxes to pay for "free" services. It seems to me the answer is simple: Bring back jobs, bring back more money to pay for services.

There is a saying, "There is no such thing as a free lunch." Economically speaking we do better when we all contribute. I like to say, "A rising tide lifts all ships," meaning if we all give we all benefit. Jobs are returning, cars are back on the streets, it is beginning to feel like we are on the road to recovery. The Coronavirus is still deadly and those who are greatest at risk should still protect themselves and loved ones should continue safe practices. There is hope on the horizon and healing for our hearts. Give the trickle down of love and that will have an amazing effect.


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