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Assembly Report: Report to the Indiana Psychiatric Society
APA Assembly Meeting

November 14 - 16, 2003
J.W. Marriott Hotel, Washington, D.C.

Presented by: John J. Wernert, M.D., IPS representative to APA Assembly

Indiana Psychiatric Society was again well represented at this semi-annual meeting of the APA Assembly. In attendance:
John J. Wernert, M.D. -- IPS Rep
Chris Bojrab, M.D. -- IPS Dep Rep
Jon Delaney, M.D -- Area IV MIT Rep
David Henley, M.D. -- Area IV ECP Rep
R. Michael Pearce, M.D. -- Past Speaker

Assembly received several important reports concerning the APA's financial status. Cost cutting by the Board over the past year has netted positive results.

Treasurer's Report - was given by Dr. Jay Scully and Terri Swetnam, CFO.
These numbers represent role up of total APA financials (including all subsidiaries)

Fiscal Year Profit (loss)
1999 ($2M)
2000 ($3.2M)
2001 ($750K)
2002 +$2.1M
2003 projected + $4M
(revenue =$ 56M and expenses =$52M)

Current investment Portfolio increased from $21M -to $23M in 2003

2003 revenues:
Dues: $9.7 M
Annual Mtg. Revenue: $7.8M
Publishing revenue: $4.4M

San Francisco Annual Meeting broke all records with 17,000 registrants and 5,000 exhibitors and visitors. We worry if New York meeting can live up to expectations.

The BOT has elected to put most of 2003 excess back in to reserves that have been depleted in previous years by running losses.

James Scully, Jr., MD - APA Medical Director report.
Encouraged members to use new Website; Very snappy new design; New HIPPA educational materials; Check out "Members Only" corner

MHETA legislation remains a top legislative priority
Eliminate discriminatory 50 % mental health copay for Medicare patients

Emergency funds sent to 8 states with pending psychologist prescribing legislation

Institute Psych Services Annual Meeting - good increase attendance and revenue

APA Membership up for the1st time in 7 years! (increased ½%)

7000 members have new APA sponsored Malpractice insurance
Legion has been liquidated; PPG now the carrier; Alan Levison MD is director of PPG

National Election 2004
Assembly heard campaign speeches from candidates for APA Pres-elect 2004
Dr. Jag Srinivasaraghaven and Dr. Steve Sharfstein

Council on Advocacy and Public Policy - Jeremy Lazarus, MD (CAPP Chair)
We all must fight the scheduled 4.3% MC decrease
Working on fighting psychology prescribing legislation in other states
Status is a moving target in New Mexico

Speakers Award - Louis Moench, MD (Area VII)
Warren Williams Award - Patrick Staunton, MD (IL)

Assembly Profile of Courage Award presented to Daniel Shrager, MD and Harold Eist, MD for fighting unnecessary release of private patient information

Fifteen action papers were reviewed and debated

Highlights:
- proposal to develop specific adult criteria for attention deficit disorder
- develop guidelines for interface between psychiatrist and pharmaceutical companies
- No action taken on proposal by Texas and Washington state to develop affiliate membership and potential "delinking" with National office.

Area IV Council Meeting
Report to Indiana Psychiatric Society
Area IV Council
J.W. Marriott Hotel, Washington, D.C.
Thursday 11/13/03, 9 am - 5pm

Submitted by: John J. Wernert, M.D., MHA
Indiana Representative to Area IV Council

1) This meeting represents the usual Summer Meeting of the Area IV Council. Time and money are saved by having this meeting before the November Assembly Meeting.

2) Budget Report: Block Grant report
2003 Block grant $35,000
Remainder 2002 $1080
2001 $7291
Total $43371
(Expenses) ($20461)

Balance $22,910
Investments:
Money Market $71,424
Checking $14,909

Total Assets/Equity $110,449.00

3) Area IV Trustee - Sid Weissman, M.D. reported on Board of Trustee actions (full report on psych.org website).
Finances were the major focus. Thanks to cost cutting, the APA total operations will experience a projected $4.4 million surplus 2003 fiscal year. However, our reserves were depleted after 4 years of losses. BOT is electing to put surplus in reserves and not spend elsewhere.

4) Lengthy discussion concerning a proposal submitted by the Texas and Washington State DB's attempting to establish a new member category of "Affiliate Membership". Many large DB's are challenged financially as membership falls, so has dues revenue (unlike national office which has other sources of revenue, such a publications). The affiliates can be physicians other than psychiatrists. The idea is to reach out to disenfranchised or new potential members, entice them in to DB activities and eventual encourage them to become full dues paying members. Contrary opinion ran high, mainly on the theme of "United we stand, Divided we fall", and that such levels of membership would divide the organization and encourage some DB's to "de-link" from national membership. A more robust debate occurred before the full Assembly. Our APA bylaws currently do NOT allow such affiliate membership classes at this time, and would require a 2/3 vote to change it.
5) Legislative Representative John Wernert, M.D. gave a report on new priorities on Committee of Government Relations, and new reorganization of Council on Advocacy and Public Policy (CAPP).
6) Public Affairs Representative Judy Kashtan, M.D. reported on the problems recruiting PA Reps in each DB. New Advocacy materials and "Speaking Points" are being developed to assist members.
7) District Branch Reports:
Major Themes:
· Continued closing of State Hospitals
· Medicaid Shortfalls and service cutbacks
· Lack of treatment in state prisons and jails
· Parity legislation has passed most states
· "Open Access" laws to psychiatric Rx discussed
· Most states have set up Medicaid Drug Utilization Review Boards (DUR) to develop Medicaid drug formularies or Preferred Drug Lists (PDL). Most states have psychiatrists on these committees.
8) The Area IV Council reviewed numerous Assembly reports and Action Papers, and heard from candidates for Assembly and National office.
9) Final action was to plan a summer 2004 meeting. Your Indiana delegation offered Indianapolis as an option as we hosted the last council meeting in 1998. The group was unanimous in their decision to approve our capital city as the site for next years meeting.

Report to the IPS Council
APA Assembly Meeting
Moscone Center, San Fransisco, California
May 16 - 18, 2003

John J. Wernert, M.D.,MHA
Indiana Representative to the APA Assembly

President Paul Appelbaum reported:

1. Budget crisis has been temporarily abated but still anticipated $ 1 m loss next budget year. Action taken last year (primarily cost cutting) to trim the deficit turned $3 m deficit in to $1 m surplus.

2. First time in history the membership and BOT approved decreased in BOT members - overall decrease 2 positions. With next election round, Secretary and Treasurer positions will merge.

3. Assembly debated a proposal to decrease % membership needed to make bylaws changes - no final proposal approved.

President-elect Marcia Goins reported:
1. New additions to the APA Website Psych.org
HIPPA consultation; Mentors for ECP's; Advocacy tool kits

New Medical Director Dr. Jay Scully reported:
1.
Move to Arlington, Virginia was hectic but successful. Moved in to modern space, more room, more functional. Moral high among staff.
2. Membership was polled about their concerns about Central Office problems - staff turnover was the biggest concern. Dr. Scully reported the results of a personal study over time. Results showed staff turnover - no higher than usual.
3. Retirement of Jay Cutler, Director of Government Relations
Gene Cassel has stepped in - interim Director
90 quality applicants have submitted resumes for director's position
4. APA now 501C-6 with 3 separate 501C-3 subsidiaries:
APPI - one of the largest medical publication companies in world
APIRE - Research and Education Company - life long learning
American Psychiatric Foundation - charitable
5. APA operating budget $54 million. $9.1 m dues. Annual Budget hinges on good revenue from Annual Meeting. San Francisco meeting broke all previous records. 37% of our revenues now comes from publishing.
6. BOT has decided not to use $ from reserves for operations (to prevent previous budget problems). So need to raise an additional $2m revenue or $2m in cost savings to make up the difference.
7. Malpractice Insurance - still working with PPG (Physicians Purchasing Group) to secure new coverage for failing APA coverage. This effects 7000 members - when new insurance goes in to place, they will have AIG insurance

The Assembly heard a one - hour Presentation & Progress report on Presidents' New Freedom Commission
Check out the website for updates - Mental Health Commission.gov

Michael F/ Hogan, Ph.D. - chair, Presidents New Freedom Commission presented a concise update of work thus far.

Report goes to President & White House Domestic Policy team who will then charge various agencies to begin implementing parts of the plan. Next year committee will be lobbying various agencies to begin piecing the plan together. All realize this will be incremental change (or should we blow-up the whole system and start over?).

Speaker's Awards were presented to:
Lydia Lewis, President, Depression & Bipolar support Alliance (DBSA)
Jay B. Cutler - recently retired Director of Gov. & Relations, APA

ASSEMBLY ACTIONS:
Assembly acted on 24 action papers
Approved:
A study for universal Health Insurance
Free online CME for members
Increased member access to BOT votes
Position statements on Somatic Cell Nuclear Transfer research (SCNT) and moving personality disorders to Axis I

A number of issues including joining the HIPPA lawsuit were referred to appropriate committees for further study.

Become an APA Fellow!

Fellow status is an honor that reflects your dedication to the work of the
APA and signifies your allegiance to the psychiatric profession. Complete
information and application material is posted on the Web at:

http://www.psych.org/apa_members/applyfellow.cfm