May 17, 2006

FOR IMMEDIATE RELEASE:

Contacts: Lauren Shaham, 202-508-1219

Minnix Challenges Medicaid Commission to Transform Long-Term Care Financing

AAHSA President & CEO Larry Minnix today presented to the federal Medicaid Advisory Commission AAHSA's proposals for reforming long-term care financing and transforming aging services. Minnix emphasized AAHSA's Five Big Ideas for Transforming Aging Services, a long-term care financing framework and a vision for technology in aging services.

Minnix said AAHSA's Five Big Ideas for immediate improvements in service delivery — expand managed care, reinforce housing with services, enable technology applications, transform culture across the continuum of care and manage the transition of elders — are based on existing models that work and can reduce costs within three to five years.

About long-term care financing, Minnix told the commission that AAHSA proposes a broad-based public insurance program funded by premiums with benefits based on individuals' needs for assistance with activities of daily living. Both older people and the disabled would be served by the program.

"Our current Medicaid system is not sustainable in the long-term and we are advancing a concept that will bring peace of mind to consumers and policy makers," Minnix said. "Our objective is to blend public and personal responsibility and consumer choice in a sustainable system that offers quality services people need, when they need them in the place they call home."

Under the AAHSA framework, the system would be administered by a federally-chartered organization responsible for managing the premiums, investments, and payments. People with low incomes would receive subsidies to assist with premium payments.

Lastly, Minnix advocated for the advancement of technologies that allow people to remain independent and reduce costs. He showed highlights from the Center for Aging Services Technologies vision video, "Imagine the Future of Aging" and shared some examples of how technology solutions can improve quality and efficiency for long-term care.

"We use technology to immediately hear the song we want to hear or buy the item we want to buy. It's time for us to harness technology so we can provide immediately the care and services our elders want," Minnix said. "Without a doubt, if we create a financing system that empowers consumers, the marketplace will follow with the creation of technology and other solutions to meet that demand."

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About AAHSA
The members of the American Association of Homes and Services for the Aging (www.aahsa.org) help millions of individuals and their families every day through mission-driven, not-for-profit organizations dedicated to providing the services that people need, when they need them, in the place they call home. Our 5,800 member organizations, many of which have served their communities for generations, offer the continuum of aging services: adult day services, home health, community services, senior housing, assisted living residences, continuing care retirement communities and nursing homes. AAHSA’s commitment is to create the future of aging services through quality people can trust.