President Obama's Budget Proposal and Aging Services

President Obama’s proposed 2011 budget, submitted to Congress yesterday, calls for many initiatives that will help advance the aging-services field. Here are the highlights:

Extending Medicaid Match. The administration  called for extending by 6 months the increased federal Medicaid match that originated with last year’s American Recovery and Reinvestment Act. Many states are still hurting from the effects of the recession and this additional funding will be needed well into 2011 to prevent cuts in services for older adults.

Medicare Payment Update. Many Medicare and Medicaid issues that otherwise might appear in the budget are still tied up in health reform legislation.  AAHSA’s priority is  ensuring that our members  receive the regular Medicare payment update in 2011, whether in health care reform or budget legislation.

Affordable Housing: Good and Bad. The good news is that the Administration listened to our proposal for making the Section 202 senior housing program the platform for the delivery of supportive services. The bad news is that while the program is revamped, the administration requested  no new funding to expand the Section 202 program. We will urge Congress to restore funding for new capital advances in the fiscal year 2011 budget and spending legislation.

Older Americans Act Programs. President Obama also requested a 7.4% funding increase for Older Americans Act programs that will help providers develop and expand home and community-based services programs and support caregivers in the community. There is also a focus on eliminating fraud and abuse in Medicare will help improve health care for older adults.

Jobs. The administration is emphasizing jobs.  We must emphasize that senior housing construction equals jobs.  Services that help people stay at home equals jobs. Improved Medicaid and Medicare reimbursement equals jobs.

The next step is up to Congress.  That’s why we’re asking you to contact your legislators and urge them to support proposals to enhance aging services and to add resources that will enable their older constituents to receive  the services they need, when they need them, in the place they call home. We’ll post another update once Congress starts their work on the budget process.