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REMARKS BY: TOMMY G. THOMPSON, SECRETARY OF HEALTH AND HUMAN SERVICES PLACE: National Governors Association DATE: February 25, 2001

Federal State Relations


Thank you, governor, for that introduction, and thank you all for this lovely gift.

And thank you to each of you . my colleagues . for welcoming me back to the National Governors Association. It feels like I never left, and in my heart I never will.

I look around the room here and see so many friends, so many memories from my 14 years as governor of Wisconsin and a member of the National Governors Association.

We have traveled the nation together, attending these conferences, which gave me an opportunity to get to know you . and many of your predecessors . personally. We have built lifelong friendships that I will always cherish.

I welcomed you to Milwaukee in 1998 for an annual NGA conference, and today I am pleased to welcome you to Washington, D.C. I'm here to tell you today that President Bush . and the rest of the administration . are here to change the way Washington works.

In 1995, when I became chairman of N-G-A, I said: "Governors right now are facing a once-in-a-lifetime opportunity to completely refocus the relationship between the states and the federal government. And my goal as chairman is to make sure it happens."

My friends, thanks to the leadership and innovative thinking of our nation's governors, we have made significant strides toward that goal. There has been a shift in the way Washington works with Sacramento, Lansing and, of course, Madison.

Throughout the `90s, states led the way in setting the national agenda, finding creative solutions to society's most vexing problems . from welfare to education reform.

Yes, welfare reform was a state invention, though some at the federal level have been eager to claim credit. But the groundbreaking reforms were born in Wisconsin and states across the country . pushing the federal government to join the cause.

And once it did, look what we accomplished . together. We have created a work culture, breaking the cycle of dependency. Welfare rolls have been cut by more than half across the nation.

That's quite a record. But the building of the partnership between the federal and state and local governments is not complete. We must continue to build bridges from Washington to our state capitals and to the biggest cities and smallest communities throughout the nation.

We in Washington must learn from you at the state level, work with you on a daily basis . and we must strive to give you the flexibility you need to solve problems in your states, cities, towns and villages.

The federal government must be more responsive to individual needs. As you know, what works in New York City is not necessarily the answer in California, Texas, Minnesota or Oregon.

As William Safire wrote when the nation was trying to select a national flower: "No one flower can symbolize this nation. America is a bouquet."

America truly is a bouquet of opportunity, creativity and . yes . complex problems that must not be addressed in a top-down, one-size-fits-all manner.

When I pledged six years ago to change the relationship between the states and Washington, President Bush and I were governors . actually, we were until just a few weeks ago. Today, we suddenly find ourselves on the other side of the state-federal fence . and in a position to help tear down that fence and make that pledge come true.

I know so many of you in this room so well, and you all know how much I loved being governor of Wisconsin. Let me tell you one thing: I would never have left the best job in the country if I didn't think President Bush couldn't come to Washington and truly make a difference.

President Bush has brought a new tone, a vibrant new feeling to our nation's capital, and so much of what he has vowed to accomplish will be funneled through the Department of Health and Human Services.

President Bush and I have brought the lessons we learned as governors to Washington, and we recognize that the federal government must hold up its end of the bargain on state-federal partnerships. And we will do so:

We will strengthen the health care safety net by increasing funding for Community Health Centers;

We will make available more money for block grants and other programs to increase the availability of substance abuse treatment services;

And we will increase funding to help states keep children with their biological families if it is safe and appropriate. We also will work to place children with adoptive families.

The Bush administration is working with Congress:

To ensure that we do not miss this opportunity for fundamental Medicare Reform. We will modernize Medicare so it is responsive, effective and financially sound for today's . and tomorrow's . seniors.

As a part of that effort, we will find a way to provide the neediest seniors and the disabled affordable access to prescription drugs.

And we are working to develop a patient's bill of rights that recognizes that many states already have these protections on the books . and not to punish you for being out in front of the federal government.

You see, we recognize that our partnership with you, the governors, is crucial.

And today, I am making some announcements today that begin the process of changing the way the Department of Health and Human Services interacts with the states . changes that I am sure you will find create a better working environment between your offices and the department.

First of all, many of you have some concerns about a number of regulations that were issued in the final days of the previous administration, most notably those on Medicaid Managed Care and the State Children's Health Insurance Program.

We have heard your concerns, and today I am announcing that we are delaying the effective dates for both regulations for 60 days. During that time, we will consult with you, advocacy groups and health plans, and if changes need to be made, we will make them.

Also today, I would like to announce that the Health Care Financing Administration is in the process of issuing grant opportunities to support our seniors and people with disabilities to live and participate in the community.

The largest grant opportunity is a $50 million program to support people of any age who have a disability or long-term illness to live in the community, a goal that is part of the president's New Freedom Initiative. This is another excellent example of the president using a state model . Wisconsin's Pathways to Independence . and developing it into a national program.

Public and private participation is important in this effort, and Congress has required that each state's grant application be developed in collaboration with a task force. To help launch the task force and to help in your initial planning efforts, we will immediately make available $50,000 per state. No state match is required.

All you have to do is fill out this one-page form and send it to us. Just one page. It's that simple.

And, finally, I promise you this: You will no longer have to wait months, a year or even longer to get action on a waiver request. No more frustrating delays, waiting to implement your innovative ideas. No need to badger the department. It simply won't happen.

While I can't promise that all of the requests will be approved because we still must meet budget requirements, I can guarantee that you will receive timely responses.

We will streamline the waiver process, and if I determine that the process is taking too long, I will take it upon myself to review the waiver. Don't be surprised if you hear from me personally when we approve your waiver or we're having a problem with it.

We will work with each of you to ensure that we meet these challenges and others that face us at the federal and state level. I learned many things in 14 years as governor, and one of them was: Always listen to those closest to the situation.

Please call me any time you have a question or concern. If you have an idea on how to make the department better and more efficient, please let me know about it. This is a new HHS and . I promise you . it will be a better one.

When I see you next . at the summer meeting, the changes that I announced today will have been made. These changes are just the first steps in making the Department of Health and Human Services more accountable to you and the millions of Americans we serve.

Thank you very much.

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