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FY 2006 Budget in BriefAdministration on AgingOn this page: Administration on Aging Overview Table
Administration on AgingThe Administration on Aging promotes the dignity and independence of older Americans and helps society prepare for an aging population. SummaryThe FY 2006 budget request for the Administration on Aging (AoA) is $1.4 billion. This amount maintains funding for AoA core services at the FY 2005 level, including community-based supportive services, elderly nutrition, and caregiver support. It also continues investments in program innovations to test new models of home and community-based care. Funding for the White House Conference on Aging, scheduled for October 2005, was completed in the FY 2005 appropriation. Over 47 million Americans are age 60 and over, including more than 4.6 million who are age 85 and over, and these numbers are increasing rapidly with the aging of the baby boom generation. While advances in medicine and technology are enabling seniors to live longer and more active lives than ever before, those of advanced age are also at increased risk of chronic disease and disability. Older Americans with chronic conditions may be unable to perform basic activities of daily living, and many of them require assistance to remain at home and avoid the need for institutional care. Studies have repeatedly found that if given the choice, older Americans overwhelmingly express a preference for long-term care services that allow them to remain at home. AoA is addressing these challenges through its efforts to create a more balanced system of long-term care and to focus on care in the community. The infrastructure of AoA's aging services network-one of the largest providers of home and community-based long-term care services-provides an important foundation for these efforts. AoA programs provide services to elders at home and in the community through a nationwide network of State, Tribal, and area agencies on aging and through over 29,000 local service providers. These services complement existing medical and health care systems and support some of life's most basic functions: nutrition, transportation, respite and counseling for caregivers, and personal care to those who need assistance with activities of daily living such as bathing and eating. State Flexibility in Using Nutrition Funding As authorized by the Older Americans Act, States may transfer up to 30 percent of funding between Home-Delivered and/or Congregate Nutrition Services and Home and Community-Based Supportive Services. States may also transfer 40 percent of funding between Home-Delivered and Congregate Nutrition Services. This option allows greater flexibility for individual States to better meet the needs of their seniors. Nutrition ProgramsNutrition programs-including Congregate and Home-delivered Meals and the Nutrition Services Incentive Program-total $719 million, over half of AoA's funding. Nutrition services help over two million older adults have access to the nutritious food they need to stay healthy and decrease their risk of disability. Meals served in a congregate setting also provide opportunities for social engagement and meaningful volunteer roles, which contribute to overall health and well-being. Finally, while meals are the core service, these programs also provide related services such as nutrition screening, assessment, education, and counseling. Funding for nutrition programs is significantly leveraged: 61 and 67 percent of funding for Congregate and Home-Delivered meals, respectively, comes from sources other than the Older Americans Act. Priority for the receipt of meals is given to those who are in greatest economic or social need, with particular attention to older low-income and minority adults as well as individuals residing in rural communities. Home and Community-Based Supportive ServicesThe FY 2006 request for Home and Community-Based Services is $354 million. This grant program to States and Territories supports the implementation of comprehensive and coordinated service systems for older individuals and their families. The array of services provided by these grants helps to keep seniors as independent as possible and enables them to stay in their homes and communities as long as possible, delaying the need for costly institutional care. Services provided include transportation assistance; information and referral services; chore, homemaker and personal care services; and adult day care. These services are offered through multi-purpose senior centers which function as community focal points to coordinate and integrate services for the elderly, or through other community-based settings. In the last fiscal year for which data is available, AoA provided nearly 36 million rides to help seniors visit doctors, pharmacies, grocery stores, meal sites, and senior centers. Information and referral services helped empower individuals and families to make informed choices about their service and care needs. Personal care and homemaker services enabled elders to live with dignity at home through assistance with activities of daily living. National Family Caregiver Support ProgramThe National Family Caregiver Support Program is another critical element in rebalancing the system of long-term care towards community-based programs and away from institutional care. Family caregivers have always been the main source of long-term care services provided in the United States. AoA is committed to assisting these caregivers by providing grants to States and Territories for developing multifaceted systems of support for family caregivers of disabled elders, as well as for grandparents caring for disabled grandchildren. The FY 2006 budget includes $162 million for the National Family Caregiver Support Program; this includes $6 million to support Native American caregivers. Support services for caregivers include information, training, counseling, respite, and assistance services. Research indicates that informal caregiving supports can have a significant impact on the health and well-being of caregivers, delay the need for institutionalization of the care recipient, and significantly reduce costs to Medicare, Medicaid and private payers. Caregivers' Economic Value The number of unpaid informal caregivers (spouses, adult children, relatives, and friends) or elderly individuals is estimated to be 23 million or more. A study in the journal of Health Affairs estimated that this informal care, if provided by home care aides, would cost $257 billion annually. Program InnovationsAoA continues to identify more cost-effective and efficient ways of delivering services and to implement positive change in systems of care. The FY 2006 request of $24 million for Program Innovations supports projects for local service programs to improve access, better integrate services, and increase emphasis on prevention. Projects funded by the program include:
These and other projects are critical for ensuring the continued effectiveness of AoA's core service delivery programs, by finding ever more efficient and relevant methods for meeting the needs of America's elderly population. The budget does not continue one-time FY 2005 projects. Protection, Prevention, and Aging Network SupportThe FY 2006 request includes $54 million for health promotion and disease prevention programs, including health screenings, physical fitness, and medication management. These programs promote healthy lifestyles and help delay or prevent the onset of chronic disease; and also protect vulnerable elders from abuse and exploitation through training, outreach, and technical assistance to State and community elder advocacy programs. Native American Nutrition and Supportive ServicesThe budget requests $26 million for grants for Native Americans. These grants will enable 243 tribal organizations serving approximately 300 Tribes to continue to provide American Indians, Alaskan Natives, and Native Hawaiians who are over the age of 60 with nutritional and supportive services which help them remain healthy and independent. Alzheimer's Disease Demonstration GrantsThe FY 2006 budget also includes $12 million for the Alzheimer's Disease Demonstration Grant program. These grants improve the quality of services provided to those suffering from Alzheimer's Disease by assisting States to incorporate new research findings, innovative approaches to care, and cultural competencies into their state-wide systems of home and community-based services. Program AdministrationA total of $18 million is requested to maintain staffing levels, and for related program management and support activities necessary to effectively administer a wide array of AoA programs. This request also supports efforts to strengthen management through greater efficiencies and economies of scale in information technology, financial systems, and personnel operations. White House Conference on AgingThe White House Conference on Aging is scheduled for October 23-26, 2005, in Washington, D.C. The last White House Conference occurred in 1995. The purpose of the Conference is to develop recommendations for the President and Congress on policy and research issues in the field of aging. |
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Last revised: March 31, 2005
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