Agenda - 05-20-2003-6a - Laserfiche WebLink

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9 Need for Continued Public-Private Support Last year over 6 centers in North Carolina closed. Centers close often, due mostly to financial woes. Adult day services receive low reimbursement, if any, from state and federal programs. Medicare provides no reimbursement. Medicaid allocates $37.50 per day in its Community Alternatives Program (CAP/DA). The State .Adult Day Care Fund provides $23.07 for a participant attending for social care, and $30.00 for those requiring medical care. The cost to provide the service per person per day is approximately $65.00. The average monthly income of our participants is $890 (See attachment #2). It seems evident that the Central Orange Adult Day Health Center is currently and will most likely receive referrals from low and middle income residents of Orange County. Consequently, charging participants the actual cost to provide the services would make participation by low income individuals impossible. To restrict participation to those who could afford $65 out-of-pocket on a daily basis excludes those caregivers who must work during the day. The heavy financial burden of $1,365 per month for full price adult day care would negate the financial gain of the caregiver's employment in many cases. Relying on private pay participants only would create another option for well-to-do families who already have the option of continuing care retirement communities like Carol Woods. As we seek to develop a quality, affordable adult day care in Northern Orange County, we can learn much from Charles House, a social adult day care program in Carrboro. Since it opened, Charles House has never turned someone away due to inability to pay. Charles House's reputation as a warm and loving community for seniors-especially those with dementia has made it a county treasure. It has not gotten there overnight. Thirteen years ago when it opened, there were 4 participants and 3 staff members. It took time, dedicated staff marketing, creative programming, word of mouth, and most importantly, town, county, and individual financial support, especially during its early development. Relying on private pay participants with incomes in the area generally being lower in the central and northern regions of the county, could jeopardize the financial future of the center. With operating costs high and revenue and reimbursement low, the day center will continue to need the community and County support, which would allow the center to continue to serve those in need of some type of supervision to maintain their independence and reside in their own homes, while providing relief and support for their caregivers. The Advisory Board on Aging Recommendations for FY2004 The Adult Day Health Center began operation March 28, 2003 once a food service arrangement was reached with Classic Foods and delivery by OCIM volunteers. The Advisory Board on Aging, with the Department on Aging staff, is now proceeding with incorporation of anon-profit organization to assume program operation from the County by January, 2004. The new non-profit structure would be based on the draft by-laws