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As happens every November, the general election has brought changes to the state, both in the governor's office and in the legislature.
Over the past few weeks many people have asked me what these changes will mean for the Department of Human Services and Oregon Health Authority.
The answer is pretty simple: The work, the challenges and the opportunities before us will not change. And we will continue to work closely with the current and future Governors' offices and the Legislature as well as community partners, stakeholders and clients.
Heading into January and the 2011 legislative session, the challenges before us are clear. The state's high unemployment rate means we face a need for health and human services that continues to grow at the same time there is declining revenue to pay for these services.
That adds up to a serious budget hole. The combination of increased demand and reduced revenues has economic forecasters estimating a $3 billion revenue shortfall for the 2011-2013 budget. All state agencies have submitted budgets with 25 percent reductions for 2011-2013 to reflect this harsh reality.
We face this crisis of increased demand and dropping revenues as we move forward in creating our two agencies as separate but connected organizations. There are opportunities in that change to further the work of the Transformation initiative and the relentless drive for improved service and increased efficiencies. This effort continues to be at the heart of our improvements; as of September we have saved more than $84 million from this work while improving the quality of what we do. While these savings will not cover the massive shortfall we are facing, they do help. And just as important are the improvements in work quality that comes when our employees take ownership of solving the problems and identifying barriers that keep them from doing their best work. We will also be bringing forward the work of the Oregon Health Policy Board to address the way health care costs are exploding in our state for government, businesses, and individuals.
As the two agencies get closer to operating with separate budgets, they will be focusing on their core missions. In some areas those missions overlap and we'll be working closely together. In other areas, the work will be unique to each agency.
I am very proud of what we have accomplished at DHS and OHA and I know that we will keep getting better as we move forward into a new era. The challenges are daunting, and after two years of recession-driven budget reductions, we know there are more challenges ahead. I believe we are well-positioned to meet these challenges. As always, I will keep you informed and appreciate all the feedback you give me.
And again, thank you for everything you do. |
