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06/26/2008

Seniors Stranded: Escalating Costs Leave Aging Services Programs Struggling

New Survey Reveals that Economic Downturn is Leaving Seniors Stranded

n4a Survey Finds That Over Half of Aging Agencies Have Already Cut Back Services Due to Increased Operating Costs Such as Fuel; Over 90% of Aging Agencies Will Have to Make Further Cuts in 2009 if Economy Doesn’t Improve, Which Would Leave the Aging Community in Crisis

Washington, D.C. - A new survey released today by the National Association of Area Agencies on Aging (n4a) concludes that if aging programs continue to face escalating costs while funding remains static, that millions of older adults will suffer serious consequences in 2009. Seniors Stranded: Escalating Costs Leave Aging Services Programs Struggling is the first survey on the impact of rising fuel, food and other costs on the Area Agencies on Aging (AAAs) and Title VI Native American aging programs – community-based agencies that coordinate a wide array of services that assist over 8 million older adults nationwide. Over half of the aging programs have already been forced to cut back on services and 90% will be forced to make more cuts in 2009 due to rising operating costs. More than half of agencies report an increase in the number of seniors forced to wait for services including transportation to medical appointments, home-delivered meals, home cleaning services and homecare.

“The recent economic downturn impacts all Americans, but older adults are particularly vulnerable,” said Sandy Markwood, CEO of n4a. “The older adults served by these programs live on fixed incomes, have limited mobility and face challenging health conditions that complicate their ability to live independently even in the best of economic times. Today’s economic woes have already impacted the lives of the aging community and if things don’t turn around, the aging community will be faced with a major crisis in 2009. As a nation, we must understand what is at stake and protect our most vulnerable citizens from tragedy.”

Senator Blanche Lincoln (D-AR) responded to the survey, “The Area Agencies on Aging play a critical role across the country in educating seniors about available programs and benefits under Medicare. Our seniors—those who built our great country—deserve the support that AAAs provide, and I will continue to fight for increased funding that makes a real difference in the lives of older Americans.”

Senator Lincoln and Senator Gordon Smith (R-OR) have been champions of Older Americans Act programs and services, most recently spearheading a letter to appropriators signed by 36 other Senators, calling for at least a nine percent increase in Older Americans Act funds in FY 2009.

Between June 10 and June 17, n4a conducted a national survey of Area Agencies on Aging (AAAs) and Title VI Native American aging programs to ascertain if current economic conditions were influencing the agencies ability to provide home and community-based services to older adults and their caregivers. The key findings include:

  • MASSIVE CUTBACKS EXPECTED: 90% of AAAs and 100% of Title VI programs expect to make cutbacks in 2009 due to rising operating costs. If funding is not increased for Fiscal Year (FY) 2009, the agencies will be forced to make massive cutbacks in order to keep up with rising fuel costs that are impacting the organizations’ ability to serve elders in their community.
  • MAJORITY ALREADY CUTTING BACK: Over half of all AAAs (56%) and Title VI programs (59%) have already been forced to make cutbacks in 2008.
  • SENIORS FORCED TO WAIT: More than half of AAAs report an increase in the number of seniors on their waiting lists for services, as compared to last year. Services most hard-hit encompass the most in demand, which are transportation, respite care, home-delivered meals, homemaker services, and homecare.
  • ECONOMIC IMPACT ON OPERATING COSTS SPIKES: 86% of AAAs and 94% of Title VI programs report that operating costs have increased since the beginning of calendar year 2008.
  • FUEL COSTS DIRECTLY IMPACT VOLUNTEERS: Over 73% of agencies reported it is more difficult to retain volunteers and over 74% said it is more difficult to recruit volunteers.
  • FUEL COSTS DIRECTLY AFFECT SERVICES: 53% of AAAs and Title VI programs have had to either somewhat or significantly decrease the number of weekly scheduled trips for the agency.

The complete survey, including questions, findings, additional feedback from the field and methodology can be found at www.n4a.org/econsurvey.pdf. For more information, please contact Lisa Cohen at 310.395.2544.