4,000 nursing home care beds in Veterans' Administration facilities. Additionally, the act authorized the Administrator under certain conditions to transfer veterans to other public or private nursing facilities. D. SUBCOMMITTEE ON HEALTH OF THE ELDERLY 1. In October 1963, the Subcommittee on Health of the Elderly, Senate Special Committee on Aging, issued a report on medical assistance for the aged (Kerr-Mills program), 1960-63. 2. The Subcommittee held hearings in Washington, D.C., on Blue Cross and other private health insurance on April 27, 28, and 29, 1964. As a result, the Subcommittee during July 1964 issued a report entitled "Blue Cross and Private Health Insurance Coverage of Older Americans." E. SUBCOMMITTEE ON FRAUDS AND MISREPRESENTATIONS AFFECTING THE ELDERLY (See III-A.) F. TAX DEDUCTION FOR DRUGS (See X-A-2.) V. HOUSING AND LONG-TERM CARE INSTITUTIONS A. HOUSING ACT OF 1964 Provisions in Public Law 88-560, the Housing Act of 1964 (approved September 2, 1964), which assist in meeting housing needs of the elderly: 1. Low-rent public housing: Section 403 authorized approximately 37,500 additional units of low-rent public housing. During the past 2 years, about half of all new low-rent housing units placed under contract have been designated for senior citizens. It is anticipated that a large portion of the new authorization also will be used to benefit the elderly. 2. Urban renewal land for public housing: Section 306 permits greater use of urban renewal project land for low-rent public housing. 3. Direct loans: Section 201 increased the authorization of funds for direct loans at below-the-market interest rates for terms up to 50 years to nonprofit sponsors of rental housing for the elderly. Fund reservations under this program have risen from less than $3 million on December 31, 1960, to nearly $200 million on June 30, 1964. increased authorization in the new law will permit the growth of this program to continue. The 4. Single elderly persons: Section 202 permits occupancy by single persons 62 years of age and older of moderate income sales and rental housing authorized by section 221 of the National Housing Act. Since almost one-half of those in the elderly population are unmarried, widowed, divorced, or separated, this amendment greatly increases the usefulness of section 221 programs in meeting housing needs of the elderly. 5. Relocation assistance: Section 405 requires local public agencies to assume responsibility for relocating individuals as well as families from urban renewal areas. This is a significant added protection to senior citizens, since such a large proportion of them are single and since they tend to be concentrated in urban areas subject to renewal or redevelopment. 6. Relocation rent assistance: Section 310 established a new program of relocation rent assistance for families and individuals 62 years of age or older who are displaced from urban renewal areas. The program calls for payments to those unable to relocate in public housing, of the difference between 20 percent of the displacee's annual income and the rental for 12 months of a suitable, modest dwelling unit up to a maximum payment of $500 to any one individual or family for any one move. None of the payment can be made longer than 5 months after displacement. Section 406 establishes the same program for such individuals and families displaced from low rent public housing projects. 7. Rehabilitation loans: Section 312 establishes a new program of rehabilitation loans. It authorized a revolving fund of $50 million for loans to rehabilitate homes and business properties in urban renewal areas. Home rehabilitation loans are limited to $10,000 and to a term of 20 years or three-fourths of the remaining economic life of the property, whichever is less. The maximum interest rate is 3 percent. Many elderly homeowners living on small incomes have been faced with displacement because they could not afford to make necessary improvements in their homes or have been unable to obtain the necessary financing. This program of loan assistance should enable many to improve their housing and remain in their own homes and familiar surroundings. 8. Nursing home construction: Section 117 made nonprofit nursing home sponsors eligible for mortgage insurance for nursing home construction on the same terms as proprietary sponsors. 9. Physically handicapped: Section 203 amended each of the HHFA senior citizens housing programs and the low and moderate income section 221 programs to include financial assistance for specially designed housing for physically handicapped families and persons. It also expanded eligibility for the handicapped in low-rent public housing. Previously, there was no specific Federal program to meet this need, except for a limited program for veterans who are paraplegics. In addition, the new law provides that demonstration grants may be used in conjunction with other programs in the HHFA, including housing for the elderly, public housing, and FHA low and moderate income housing for people of all ages to assist physically handicapped families and persons to live in adequate housing. 10. Rural elderly: Section 501 extended through September 30, 1965, the mortgage insurance program of rental housing for the rural elderly administered by the Farmers Home Administration, and increased from $100,000 to $300,000 the maximum mortgage insurance available for any one project under this program. B. SUBCOMMITTEE ON HOUSING FOR THE ELDERLY Hearings on the direct loan and mortgage insurance programs for rental housing were held by the Subcommittee on Housing for the Elderly, Senate Special Committee on Aging, as follows: Washington, D.C., December 11, 1963. Los Angeles, Calif., January 9, 1964. On October 3, 1964, a report was being drafted, based upon these hearings and other information reaching the subcommittee's attention. C. JOINT SUBCOMMITTEE ON LONG-TERM CARE Five days of hearings were held by the Joint Subcommittee on Long-Term Care, Senate Special Committee on Aging, in Washington, D.C., on December 17 and 18, 1963, and May 5, 6, and 7, 1964. On October 3, 1964, a preliminary report was being drafted, and further hearings are planned during the coming year. (See IV-C-2.) (See IV-C-3.) D. HILL-BURTON AMENDMENTS E. VETERANS' NURSING HOME CARE VI. OLD-AGE ASSISTANCE In considering H.R. 11865 (Social Security Amendments of 1964), the Senate added amendments which would have made the following changes in the old-age assistance program: PRESENT LAW SENATE AMENDMENTS 1. Federal matching share is 1. Federal matching share would $29 of the first $35, with variable have been increased to $31 of the matching on the amount above first $37, with variable matching $35 up to a maximum of $70 per up to a maximum of $75 per rerecipient per month. cipient per month. 2. No provision in existing law 2. "Pass along provision" to into insure that public assistance sure receipt of higher payments. recipients receive higher payments because of liberalization of Federal matching formula. 3. No provision in existing law to exempt OASDI benefit increases from public assistance income considerations. 4. Medical payments (see IVB). 5. Earnings limitation (see IIC-2). 3. A State could have disregarded $7 or 7 percent (whichever is greater) of monthly OASDI benefits. After June 1966, such amounts would have been required to be disregarded. 4. Tuberculosis and mental exclusion would have been deleted (see IV-B). 5. Earnings limitation would have been liberalized (see IIC-2). 6. Payments in behalf of a re- 6. Would have authorized procipient who is unable because of tective payments to a person who disability to manage his own funds is interested in or concerned with can be made only to his legal the welfare of the recipient, with guardian or to another person certain safeguards. who is judicially appointed to receive and manage his assistance payments. (Vendor payments can be made directly to the suppliers of medical services.) 11 |