Page images
PDF
EPUB

guidance to the Federal Council on the Aging in their monitoring responsibilities relative to Federal research programs.

The second hearing was conducted by the Committee on Senior Services as part of the development of the recommendations regarding revisions to State formulae for funding programs of the Older Americans Act. Only a few State agencies on aging were able to send representatives to Washington but many more provided valuable written comments which were included in the final report of the Council.

Amendments to the Older Americans Act

As you begin deliberations for possible changes in the Older Americans Act, we hope that you will find our report and recommendations on the formulae for allotment among the States of program funds under the Older Americans Act to be of assistance. As we mentioned previously, the full report has been submitted to the Chairman of the House Committee on Education and Labor but we would like to highlight our work for you.

As set forth by law, we were to examine the effects of the formulae specified in Section 303 (Area Planning and Social Service Programs). The Commissioner on Aging asked us to expand the scope of our study to include the funding of planning, coordination, evaluation, and administration of State plans in Section 306 and the funding of nutrition programs in Section 703.

Our major recommendations are:

1. Add Poverty Factor.-The factor of "the population aged 60 or over who are living in poor households" should be added to the factor of the number of State residents aged 60 or over in all the present State allotment formulae in the Older Ameriycans Act. The Council concluded that the most simple and accurate single indicator of vulnerability among the elderly is poverty.

2. Increase and Modify State Administrative Funding.-The authorization and appropriation for funding State Administrative costs in Section 306 of Title III should provide for the following:

a. In FY 1976, increase the dollar" minima to $200,000 (States) and $62,500 (territories).

b. In FY 1976, no State should receive less than a 10% increase over its FY 1975 funding level.

c. In each succeeding fiscal year of the period for which the authorization of the Act is extended, the "dollar" minima and total funding in Section 308 should increase at least 10%.

d. The eventual phaseout of the "dollar" minima to the complete use of the "percentage" minima for State administration in Section 306 should occur when the funding level would sufficiently cover the basic State administrative costs, The costs of administering programs was a major area of concern expressed by State agencies to the Federal Council. For the future, we suggest to Congress that whenever a new program is added to the Older Americans Act which a State is expected to administer, and whenever there is a sizable increase in the appropriation for Title VII, Congress should consider increasing the overall amount available for administrative purposes.

Aside from the points included in our Formulae Report, the Federal Council on the Aging is not making any further recommendations for substantive legislative changes during this time of renewal of the authorization of the Older Americans Act. In general, we feel that the major new programs in the Older Americans Act need a longer period of experience and evaluation before revisions are made by the Congress.

Let me say again how much of a pleasure it is to appear before the Subcommittee this morning. We look forward to a continuing relationship as we bring back to you the results of our deliberations. We shall do our best-as you have charged us to be a voice for older Americans at the Federal level.

EXECUTIVE OFFICE OF THE PRESIDENT,
OFFICE OF MANAGEMENT AND BUDGET,
Washington, D.C.

MS. BERTHA S. ADKINS,

Chairman, Federal Council on Aging,
Washington, D.C.

DEAR MS. ADKINS: I am writing in response to your letter of December 9, 1974, to the President in which concern was expressed regarding the impact on the elderly of proposed 1975 budget reductions.

Insofar as it is possible, both the White House and the Office of Management and Budget give special consideration to the advice and counsel provided by

your organization, along with the expressed views of other concerned agencies and citizens.

Indeed, the inclusion of the Secretary of the Department of Health, Education, and Welfare and the Commissioner on Aging as ex-officio members of the Federal Council on Aging provides an additional policy input mechanism for calling our attention to issues of concern to the elderly.

We are not unmindful of the particular needs of the elderly. In fact, under the programs which you mention, benefits for those in need including the elderly will rise substantially in fiscal year 1975 over 19714 as follows: Medicare-+$1,962 million; Medicaid +$606 million; Food Stamps-+$850 million. In addition, income assistance benefits will increase by the following amounts: Social Security +$7,200 million, and Supplemental Security Income-+$200 million. On November 26, 1974, the President sent a message urging the Congress to take action on the Administration's proposed economic program. The President said, "Responsible restraint of government is an integral part of my economic program." As we help to develop the President's budget proposals, therefore, we are seeking ways to eliminate expensive mismanagement in federally supported programs and to alter them to achieve more equitable treatment and to achieve a better balance in the sharing of financial responsibility between Federal, State, local, and private agencies and invdividuals. The Administration is convinced that this can be achieved while continuing to pursue its commitment to the goal of assisting our elderly citizens to live in dignity and self-respect. Sincerely,

ROY L. ASH, Director.

Mr. BRADEMAS. Thank you very much, Miss Adkins. We are very grateful to you for coming.

I have just two or three questions. I notice in your prepared statement the concern which the Council expressed with respect to the possibility of service cuts in Federal programs for the aged.

Miss ADKINS. We protested as vigorously as we know how because it does seem to us that the programs affecting this particular segment of the population are the ones which must be maintained at present level and must be ready to expand to meet needs in the future. We do not approve at all of the proposed approach of the administration. Mr. BRADEMAS. That to me is very gratifying because you haveMiss ADKINS. I think we did not attach to our statement a letter which we sent to the President. We did attach the report from Mr. Ash.

Mr. BRADEMAS. That is very gratifying because I think you will have at least a couple of opportunities to be heard from again.

One, when the deferrals and rescissions to which we have made reference earlier today are published, probably today, and second when the budget message comes out next week.

May I ask in that respect, Miss Adkins, does the administration request advice of the Council on the Aging before making decisions which affect policy for the elderly?

Miss ADKINS. I will say in all candor that our advice was not sought before the decisions were made. We recognize that we are few. We know that in order to gain recognition, shall we say, as a group which has a worthwhile point of view, we perhaps should be longer lived and have demonstrated that our judgment is sound and based upon quite thoughtful deliberations.

As I have stated in my written comments, we don't want to become a group which just, you know, reacts off the top of our heads and with emotion and yet we do want people to recognize that we are established for a very specific reason and therefore should be brought into deliberations.

We have, as our ex-officio members the Secretary of Health, Education, and Welfare and the Commissioner on Aging. I will say that the Commissioner on Aging is extremely cooperative and we have a very close association with him. We do not have that same association with the Office of Management and Budget.

Mr. BRADEMAS. Few of us do, Miss Adkins.

My only other question touches upon your observation about the reports that you are undertaking. As I recall, two of them, one of them having to do with the impact of taxes on the elderly to which you referred and the other having to do with the interrelationships of several benefit programs were to have been completed by the end of the year.

Can you tell us when you think those might be finished?

Miss ADKINS. We have asked, as you know, for an extension. Since we did not get started until July or June 1974, we have asked for a delay.

Now, the taxation study, when you get into local pictures as you know, they vary so, Mr. Chairman, I would hesitate to predict when we can give a preliminary report, but I would think by the end of June on this.

MS. TAVANI. Probably the end of this year, 1975.

Miss ADKINS. The benefit program we are getting underway now. As you can imagine, we have to have some of this work and research done under contract with people who are well qualified for this type of exploration.

One of the people who is working has started, as I understand it, the work on this. This has delayed us somewhat.

Again, we certainly want to be well underway by the end of June. Mr. BRADEMAS. That is encouraging. I would hope that you can do that because this Congress will be working on a tax reform bill this year hopefully and what you have to say I think can have some impact. Miss ADKINS. We hope it will have impact; yes.

Mr. BRADEMAS. Thank you very much.

Mr. Cornell.

Mr. CORNELL. I would like to say, too, it is most gratifying to see your observations here or your protests, I guess you would call it, on the administration's proposal for funding of the older Americans programs. I was somewhat taken back, to put it mildly, yesterday when it was reported to us that the administration proposes a $17 million cutback in funds for the elderly.

That on top of the fact that the President, of course, has previously announced that he wanted the social security increase frozen at 5 percent.

Already since last July since the last increase in social security the cost of living index has gone up 6 percent to this date. It is anticipated it might go to 8.5 percent or higher.

I think we have much to be concerned about this problem. I am happy to see that your group has indicated that.

Miss ADKINS. Thank you.

Mr. BRADEMAS. Mr. Beard.

Mr. BEARD. Don't give up. Don't give up. It is obvious that the President didn't even give you a chance by listening to your advice or taking your advice.

Miss ADKINS. I think in Mr. Ash's letter is the statement he made that of course through our ex-officio members there had been some consultation and I do not speak for either the Secretary or for the Commissioner. I think when you realize, Mr. Beard, that there are in the entire setup of Government hundreds of advisory committees, it becomes an easy matter for those who wish to, to take the attitude that this is just another advisory group.

We feel that the Federal Council on the Aging, having been established by the Congress for a specific purpose, is much broader in its responsibility and viewpoint than just an advisory committee.

If you see what I mean.

So that we hope that in the future as we make our voice become increasingly heard that there will be always that awareness that we are there for a specific purpose and we do expect to be brought into deliberations. We were not this time.

Mr. BEARD. Certainly as a Member of Congress I welcome whatever advice your committee can submit to us that will be helpful in our deliberations.

I tell you one thing: there are 21 million elderly Americans out there who will keep the President well informed.

Miss ADKINS. And there will be more of us, too. I am one of them. Mr. BRADEMAS. Mr. Miller.

Mr. MILLER. I would like to make the comment that Mr. Ash's letter is really, I think, unacceptable. I dare say that I don't think I would write one of my constituents that letter. I don't think he ought to write that letter to 20 million-plus senior citizens.

I guess I am a little apologetic. If he does view this as simply another advisory commission I apologize that the administration would take that kind of view.

Miss ADKINS. Having been in government, Mr. Miller, I am fully ready to ride with the punches but I don't like it either.

Mr. MILLER. I have been in government for a while, too. Sometimes I think we ought to stop riding the punches.

Thank you very much.

Mr. BRADEMAS. Thank you very much.

Miss ADKINS. We hope to have a fuller report next time, Mr. Chairman.

Mr. BRADEMAS. Thank you.

Our final witness today is Mr. Gordon F. Streib, chairman of the Public Information Committee, American Gerontological Society.

STATEMENT OF GORDON F. STREIB, CHAIRMAN, PUBLIC INFORMATION COMMITTEE, AMERICAN GERONTOLOGICAL SOCIETY, ACCOMPANIED BY LINDA LILIENFELL

Mr. STREIB. Mr. Chairman, I brought with me a colleague of the staff of the Gerontological Society, Miss Linda Lilienfell. She participated in the Conference on the Mass Media which was held in California under a grant from AOA.

I don't know whether time will permit to ask questions about that activity, but she was there and may have some detailed information that I can supply.

Rather than reading this, which some of you may have glanced over, I think I will just quickly try to make a few of the points that I made in this written testimony.

I represent here the Gerontological Society. I am chairman of the Public Information Committee.

Unlike the other witnesses today, we are here to give our opinion and our facts about the situation regarding the aged.

I am here specifically to speak about the situation regarding research and training in the field of gerontology. It is a complicated subject, but I take the general position that research and training of professional people has a direct outcome that affects the aged and may improve their situation.

First, I would like to say here orally as I have in writing that I am aware, as I am sure you people are, of the need for fiscal prudence in government at all levels.

Those of us who work for nonprofit agencies are constantly reminded these days of the need to curtail expenditures. Although many of us this morning have been asking, like myself, for additional public moneys, I think it is your job to consider the priorities, weigh them and hopefully I suspect there is sentiment here for increased appropriations for the aged Americans.

I would like to highlight three things, though, in this testimony. One. I would like to first bring out a complete feature of the Older Americans Act concerning multidisciplinary centers.

Second. I would like to point out the shortcomings in the implementation of the act and then, three, a recommendation for a new section in title IV on the mass media on aging.

First, one of the complete features in the law, it is like one of the aspects that I think Mr. Ahrens pointed to. These materials are put into law but nothing ever happens. They are what you might call kind of pious objectives which we like but they really have little influence if no moneys are appropriated to support the programs that were planned.

I think that the idea in title IV of setting up organizations and institutions to engage in multidisciplinary activities regarding the aging should be carried forward.

This is farsighted legislation because it recognizes that studies and programs related to the aging must incorporate the whole human being biologically, sociologically, and psychologically.

The farsighted nature of the law is illustrated by the language. I hope and trust in your deliberations you will see something concrete comes out regarding the establishment of multidisciplinary

centers.

The second topic is related to the first in a way and these remarks may be considered somewhat critical but they are not offered in any hostile sense against the persons who administer the present law.

As other witnesses have said, we have great admiration in the gerontological profession for Dr. Fleming and his commitment to the 20 million older persons. He has been very hard working and sincerely in their behalf.

The point of these comments is to urge that perhaps the law needs to be changed in some respect so that what I believe is the intent of the act is achieved in implementation.

« PreviousContinue »