POLL of the DAY (80): FAIR ALLOCATION OF CHILD DISABILITY BENEFITS?

It has been reported by the NZ press that 'More than 11,000 disabled children have lost access to a welfare benefit that is supposed to support them, as officials try to rein in previously-ballooning costs.

A Child Poverty Action Group report on disabled children, launched in Auckland today, said children supported by the child disability allowance almost trebled from 17,600 in 1998 to 45,800 in 2009, but were then cut back to just 34,500 last June.

The cut has been achieved both by tightening criteria and by simply not publicising the allowance.

The allowance is unusual because it is not income-tested and pays a child's principal caregiver a flat amount, currently $46.25 a week, to recognise the 'extra care and attention' that a disabled child needs.

CCS Disability Action policy manager Sam Murray said the numbers on the allowance increased in the decade to 2009 because of growing recognition of conditions such as autism and dyslexia. The cost leapt from $28 million in 1997-98 to $102 million in 2009-10, and has been cut to $84 million this year.

'So in 2007 they decided to review it,' he said. The new guide for doctors says, for example, that a 7-year-old with dyslexia can get the allowance if she is 'unable to toilet, dress herself, play safely without supervision and doesn't recognise obstacles or dangers'. But a 9-year-old dyslexic child who can take care of himself and avoid dangerous situations would not qualify.' http://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=11419782

The consequences of this review and the subsequent reining in of costs has the potential to place signifiant financial and emotional strains on families.

For example the above article reports that, 'Wellington advocate Graham Howell said one family with an intellectually disabled son lost the allowance when the boy grew old enough to tie his own shoelaces. A child with eczema lost the allowance when he became able to apply his own ointment. 'It's a very, very narrow definition of 'extra care and attention',' he said.'

Of equal concern is the fact that many families are unaware that this disabilty benefit exists.

For instance 'Thames parent Jacqueline McGrath, whose son Cullen-lee was born with cerebral palsy and epilepsy, said she and her husband were shocked when another parent mentioned the child disability allowance when Cullen-lee was in intensive care in hospital, aged 3.

'We were just like, 'Disability what?'' she said.

Auckland social worker Nicola Chapman said that despite her professional background she didn't hear about the allowance until two and a half years after her son Daniel was born with a severely disabling neuromuscular condition.

Onehunga mother Emma-Rose Cottrell only found out about it last year when her son Jack was 8. His autism has been apparent since he was 3 or 4, Mrs Cottrell looks after him full-time and her husband works only part-time.

'He's not allowed to do full-time, otherwise I'd die of stress,' she said. 'I have to do naps most days, I am just exhausted.'

When she finally heard about the allowance, it was 'an absolute godsend'.

'I get about $90 a fortnight,' she said. 'That $90 is enough to stop us from starvation and poverty.'

Read the article in full here: http://www.nzherald.co.nz/nz/news/article.cfm?c_id=1&objectid=11419782

It is a harsh reality that there will not be enough health resources to meet everyone's needs.

Given that there is a finite health budget from which all health needs must be considered, how should a government deal with budget pressures?

Is it effective to have a 'very, very narrow' criteria so that more people can receive a small benefit (which potentially may not meet needs)?

Should the benefit not be widely advertised so that the smaller number who do know of it and apply are more likely to have their needs adequately met?

Should the state give a little bit of help to a large number of people or more help to a small number?

What is fair?

How transparent should resource allocation be?

What do you think?

Thanks to AUT student Cody MacDonald for raising this issue.

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