Impact of Sequestration on Missouri S Seniors

Impact of Sequestration on Missouri’s Seniors

Ø If the sequester goes into effect March 1, it is estimated the cuts will be 5.1%.

Ø Because of the compressed time-frame in which the cuts will be implemented (7 months) the cuts will have the effect of a 9% reduction; some estimate the effect could be as high as a 10.2% cut in Older Americans Act services.

Ø The resulting cuts in FY 2013 will have devastating effects on programs that maintain older adults’ independence, health and well-being.

Ø Using the 9% estimate, for Missouri this means a cut in Older Americans Act funds of $2,462,324:

§ A $1,509,230 cut in the Nutrition Program (Title III C- congregate meals, home-delivered meals);

§ A cut of $640,659 in Supportive Services (Title IIIB – transportation, case management, personal care);

§ A cut of $312,435 in preventive and caregiver support;

§ A cut of $38,344 in Title VII (Elder Justice) services, including the Ombudsman program and other elder abuse prevention efforts, key OAA programs which protect the safety of seniors living in nursing homes or similar institutional environments. Cuts would leave more nursing home residents at serious risk of abuse and exploitation.

Ø Any “savings” from the sequester would pale in comparison to the added costs, resulting in premature nursing home placement for seniors who can no longer stay in their homes and communities because of reduced federal funding.

Ø Seniors’ friends and families who support them in their homes will also feel the full weight of sequestration. A recent Washington Post article highlighted the role family caregiving plays in helping to contain health care costs. Nearly 80% of adults in need of long-term services depend on family and friends as their only source of help. The value of the services that family caregivers provide is estimated at $450 billion a year, almost twice as much as home care and nursing home services combined.

Ø These cuts will result in higher medical costs due to elders’ poorer nutrition and health, increased falls, and other avoidable crises.

Ø There will be indirect economic harms from the sequester as well: fewer meals served means smaller purchases from local farmers, grocers and food vendors, fewer in-home service hours restricts the senior’s life and the worker’s pay, and stranded-at-home seniors spend fewer dollars in their community.