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 March Message from CEO/President Bob Packer Legislators are currently launching some bold initiatives to find the most successful and effective ways to offset the skyrocketing costs of caring for our seniors and disabled citizens. Elected officials, on both federal and state levels, duly recognize the importance of allocating more resources toward in-home and community-based providers because of the demonstrated cost-effectiveness and levels of generated success in caring for these populations. According to the Pennsylvania Homecare Association, home-based care demonstrates its efficiency and effectiveness by saving Medicare an average of 38 percent on the cost per patient. Moreover, officials from Visiting Nurse Associations like Home Nursing Agency know that in order for Medicare and other payers to realize savings in the magnitude that is necessary to achieve financial solvency, a greater investment in home and community-based care must be made. When President Bush submitted his fiscal year 2006 budget to Congress last month, it included a major shift in the Medicaid program away from institutional care and toward home and community-based care as a preferred alternative and as a means to achieve significant cost-savings. Of the $16.5 billion increase in Medicaid spending proposed for 2006, $2.9 billion would help states implement the President's initiative of helping people who are in nursing homes make a transition to independent living in the community. Subsequently, CMS Administrator Mark B. McClellan told a group of health care professionals that home and community-based care is a prime example of how the federal and state governments could save Medicaid dollars and substitute the current waiver process with performance measures. "[Home care] is not an integral part of Medicaid," McClellan said. "It should be." Also, with Pennsylvania's ranking as the second-oldest state, state health officials also realize that our state budget cannot afford to continue to pay for expensive institutional care. As a result, Governor Ed Rendell is working to 'rebalance the long-term care system' by providing supportive care in people's homes instead of forcing them into nursing homes, and has earmarked $488.9 million to expand community-based services. This is more than double the amount spent three years ago. Undoubtedly, in-home and community-based providers like Home Nursing Agency represent a viable and much preferred lifeline for the high percentage of individuals wishing to remain at home - even if they begin to need daily assistance or ongoing healthcare. According to a recent AARP (American Association of Retired Persons), 95 percent of seniors over the age of 75 prefer to remain at home after retirement for as long as possible, preferably for life. This is a phenomenon known as "Aging in Place." In fact, the next generation of elders - the 78 million baby boomers - have the same intention. Home Nursing Agency has become well known for our credible, 36-year mission of blending the venerable principle of compassionate care in (homecare, hospice, palliative care, pediatric/private duty care) with the latest technological and medical advances such as telemedicine. Furthermore, we have a marked tradition of providing diverse community health and wellness services to thousands of individuals throughout Central Pennsylvania including adult day services, behavioral health services, 'Fight the Flu campaign', and AIDS intervention. Home Nursing Agency has been a living, breathing example of a trusted provider of viable long-term care options for the young and old alike. Many of the Agency's programs already partner with counties in using waiver funds to keep people independent. We work frequently with local, state and federal legislators to demonstrate how a diverse non-profit organization is working in tandem with state and federal agencies while embracing the fiduciary and personal accountability of creating supportive, innovative health networks to care for our disabled and aging populations. We've had success highlighting initiatives like our telehealth and adult day services, but now stand in a position to significantly impact the evolution of health care. If there ever was a time to rally on behalf of seniors, and the disabled, it is now. Our legislators are listening and responding. Sincerely, Robert R. Packer President and Chief Executive Officer 
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