Their calls for help touch my heart. For years, they have worked hard every day to pay for their homes - their share of the American dream. Now, their dreams are threatened by some harsh facts of life.

Over 5 million Americans are so disabled that they cannot dress or feed themselves. Two-thirds are older citizens, but similar health conditions afflict millions of younger adults and children.

60% of Americans with Alzheimer's disease, a stroke, or other disabling conditions live in their own homes. As a result, more and more of us struggle to care for loved ones while we live our own lives.

We are living longer in America, but we have not yet subdued the afflictions which, eventually, will disable us all. When that inevitable time comes, we will need long-term care.  It is the staggering cost of that care, as well as a serious gap in our health care financing system, which threaten our ability to fulfill our dreams.

Medicare will pay medical bills but excludes "personal care" costs such as help with eating, dressing and taking medication (the very assistance long-term care patients need to remain at home).  Medicaid will pay for a portion of personal care costs, but we can receive Medicaid's help only by paying a very difficult price. 

Medicaid devotes 80% of its long-term care expenditures to nursing home costs. To receive help, we or our loved ones must leave home.  Medicaid, moreover, is a means-tested program which pays only after all of our other assets have been spent. The traditional family home may have to be sold or heavily mortgaged to qualify.

Americans who have worked hard all of their lives to pay for their own homes should not have to leave or lose their homes to receive the long-term care they need.

There is no easy nor painless solution. As the Congress struggles to maintain the solvency of the Medicare system, any likelihood that Medicare coverage will be expanded in the near future to cover long-term care costs is virtually nonexistent.

President Clinton, however, has proposed, and I support, a $1000 yearly tax credit to help with the payment of long-term care costs. This financial help would be an important, if modest, down payment on supporting the home life of millions of Americans. 

To supplement this down payment, however, we all must work together. We must make private long-term care insurance affordable for all Americans at lower group insurance rates we can afford.

The federal government is the nation's largest employer and should serve as an example. With President Clinton's support, I have introduced the Federal Employees' Insurance Act (H.R. 110), legislation which would establish a private long term care insurance program at group rates for federal workers and retirees.

The Congress, as well as the public, will learn more about the pressing need for long-term care insurance and the current legislative proposals to address that need.

I also have directed committee staff members to prepare an analysis of present and future long-term care needs of Baltimore-area residents. I will release this eye-opening report to the press and members of the public at next Monday's hearing.

By working together, we can address our growing need for long-term care. American families should be able to enjoy their American dream together.