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Hecxlth;~ u~cn Ser.~ice <br />A ~.~.~.. <br />• Trimming existing payments is also necessary in order to maintain the safety net and maintain <br />access to health care services. Co-payments are proposed for certain services, such as non- <br />emergency emergency room visits, eyeglasses, and non-generic drugs. While hospital and other <br />service providers will receive reduced reimbursements for services, this budget strives to limit the <br />shift to charity care and preserve state assistance for critical services. <br />• The Governor reduces the impact of some funding reductions on local government by simplifying <br />and consolidating state funding streams. Categorical grants from Human Services and Health <br />have been substantially streamlined, providing local flexibility in service delivery with a focus on <br />outcomes. Funding for children's services and public health are among those targeted for <br />consolidation. <br />• To support holistic management of state health care programs, the Health Care Access Fund is <br />merged into the General Fund at the end of FY 2005. This will also allow policymakers to make <br />health care spending decisions in the same framework as other state policy and funding <br />decisions. <br />• The Govemor recommends dedicating 2.5 cents of the existing cigarette tax for funding medical <br />education and research. This ongoing funding is intended to replace monies provided by state <br />tobacco endowments. The three endowments for medical-education, academic health center <br />(see Higher Education), and tobacco use prevention total more than $1 billion and will be <br />eliminated. Remaining funds will be deposited into the general fund in FY 2004. <br />• <br />• <br />Governor's 2004-05 Budget 13 <br />