State Agencies Detail COVID-19 Challenges

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PAULA TRACY photo

Health and Human Services Commissioner Lori Shibinette speaks at a news conference with Gov. Chris Sununu and other officials behind her in this file photo.

By GARRY RAYNO, InDepthNH.org

CONCORD — From hospitals to dental practices, the state’s entire health-care system is stressed and will need financial assistance due to the COVID-19 pandemic, lawmakers were told on Wednesday.

“The entire health-care system is stressed, hospitals, long-term care facilities, but other components are experiencing delay, suspensions or significant changes in the way they do business,” said Health and Human Services Commissioner Lori Shibinette at the second meeting of the Legislative Advisory Board to the Governor’s Office For Emergency Relief and Recovery. “Hospitals’ lost revenue in the last six weeks is well over $100 million by not performing elective procedures.”

The advisory board of legislative leaders heard state agency officials discuss the impact of the COVID-19 epidemic that has infected more than 1,000 state residents and killed about two dozen.

Along with health and human services, the committee also heard from the departments of safety, employment security, education, corrections, business and economic affairs, and transportation.

The GOFERR is charged with determining how $1.25 billion in CARES Act federal funds will be spent in the state to help offset the epidemic’s costs for state and local government, businesses and non-profits.

The agencies told of significant changes they have had to make because of the virus from going to remote learning for the Department of Education to closing offices to avoid face-to-face contact, and resignations of staff in many departments for fear of spreading the virus to family members.

Many agencies had to expand staff, add equipment and lease additional space to respond to the epidemic, and agency officials said they believe those expenses should be “backfilled” by the federal money.

Shibinette said her agency continues to work to increase testing for the virus but has had to slow the pace from time to time because of dwindling supplies. While HHS sought federal supplies to test 2,000 people a week with 15 new, quick-result machines, initially only 120 test kits arrived with the machines, she said, noting the department recently received 600, which is not enough to deploy all the machines. 

She said partnerships with private and non-profits to expand services have helped, but warned the entire system is challenged.

Department of Safety officials said some of the agency’s activities such as training firefighters have shut down which will eventually lead to fewer firefighters.

The also noted the sale of gasoline was down 50 percent in March. The department uses Highway Fund money to cover law enforcement costs associated with highways.

Assistant Commissioner Perry Plummer said the department worked with HHS and the National Guard to set up regional alternative treatment sites if a surge occurs and hospitals cannot handle the number of cases.

He said the hospitals that provided start-up funds for the centers will be reimbursed with federal funds, and said the state’s federal disaster declaration means FEMA funds will be used to pay for things like overtime, equipment and other expenses directly related to COVID-19.

But he warned, currently FEMA will pay 75 percent of the cost, but the state is expected to pay the remaining 25 percent.

Plummer said the governor and Congressional delegation as well as other states are pushing FEMA to pay 100 percent of the cost or allow other federal funds from the CARES Act to match the 75 percent which is currently not allowed.

Department of Employment Security officials said they have processed more claims in the past three weeks than the agency did in the last three years, paying $31.7 million in unemployment benefits.

They expect the federal $600 weekly benefit enhancement from the CARES Act to begin soon and would be retroactive from April 4 and will continue until July 31.

Advisory committee member House Speaker Stephen Shurtleff, D-Concord, said he was emailed by a restaurant owner who is doing a decent take out business, but his two employees want to be laid off so they can collect the $600 weekly supplement, and asked if other are having the same problems.

Deputy Department of Employment Security Commissioner Richard Lavers said under the CARES Act the extra weekly income guidelines someone may quit work because of COVID-19 to self-quarantine, or care for a family member with the virus. State unemployment insurance benefits are not competitive with a salary from working, but with the additional $600 it is, he said.

Lavers said the agency sought guidance from the federal Department of Labor to see if the additional money would be for only individuals who quit employment based on the direction of a health care provider, public health official or an employer to self-quarantine would be eligible, but is waiting to hear.

“It’s a critical question we need to get resolved,” Lavers said. Employers across all sectors of state businesses need sufficient staff to deliver services.

Before the advisory committee listened to agency officials, member state Sen. Lou D’Allesandro, D-Manchester, asked Gov. Chris Sununu areas he has already addressed because the committee would not want to duplicate requests.

Sununu listed several programs including $50 million to help hospitals in danger of closing, increased salaries for Medicaid service providers in residential or home settings, additional money for domestic and child abuse prevention and expanding unemployment eligibility.

Four of the members of the advisory committee, Senate President Donna Soucy, D-Manchester, Rep. Mary Jane Wallner, D-Concord, Shurtleff and D’Allesandro sued Sununu Monday to compel him to seek approval of the Joint Legislative Fiscal Committee before expending non-appropriated federal or state funds.

They seek an emergency injunction claiming his plan to expend the more than $1.2 billion in federal funds violates the separation of powers provision in the state constitution and is prohibited by law.

“The legislative branch’s exclusive power to make appropriations is a nondelegable duty,” legislative leaders claim in the suit.

Sununu says a 2002 state law passed after the September 11 terrorist attacks gives governors authority to spend and accept federal funds without Fiscal Committee approval, but legislative leaders say the same law requires a governor to seek the “advice and consent” of the Fiscal Committee.

A preliminary hearing on the suit will be held at 1:30 p.m. Friday in Hillsborough County Superior Court North in Manchester.

Sununu on Wednesday released his appointments to the GOFERR. They are Bill Ardinger, Attorney, Rath, Young & Pignatelli; Dean Christon, Executive Director, NH Housing Finance Authority; Jim Jalbert, C&J Trailways; Al Letizio, wholesale food industry; Donnalee Lozeau, CEO, Southern NH Community Action Program and former Mayor of Nashua; Scott Mason, Owner/Farmer, Northwind Farms; Michelle McEwen, President and CEO Speare Memorial Hospital of Plymouth; Nancy Merrill, Claremont Director of Planning & Development, and Ben Wilcox, President and General Manager, Cranmore Mountain Resort.

Garry Rayno may be reached at garry.rayno@yahoo.com

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