Madam Chair, I rise in opposition to H.R. 1173, ``The Fiscal Responsibility and Retirement Security Act of 2011.'' This bill would repeal title VIII of the Patient Protection and Affordable Care Act…
Madam Chair, I rise in opposition to H.R. 1173, ``The Fiscal Responsibility and Retirement Security Act of 2011.'' This bill would repeal title VIII of the Patient Protection and Affordable Care Act and Supports, CLASS, Program--a national, voluntary long-term care insurance program for purchasing community living assistance services and supports. Title VIII also authorized and appropriated funding through 2015 for the National Clearinghouse for Long-Term Care Information, clearing house. H.R. 1173 would rescind any unobligated balances appropriated to the National Clearinghouse for Long-Term Care Information.
The CLASS Act was designed to provide an affordable long-term care option for the 10 million Americans in need of long-term care now and the projected 15 million Americans that will need long-term care by 2020.
The CLASS program would allow the disabled to be treated with respect and class. Yet, once again, instead of focusing on creating jobs, instead of finding means to reduce our deficit, instead of addressing the most pressing needs of our nation today, my Republican colleagues have put forth a measure that targets the aging and the disabled. They are supporting a measure that literally lacks class. This measure is a blatant attempt to repeal the Affordable Health Care Act one title at a time.
Like many Members of this body, I am disappointed that the Department of Health and Human Services, DHHS, has not been able to implement the CLASS provision of the Affordable Health Care Act. Although the CLASS program is not perfect, I cannot in good conscience support repealing it at a time when we have no viable alternative for affordable long- term care.
We have a growing aging population some of whom will require long- term care. CLASS provides the aging and the disabled with a solution that is self-sustaining, at no cost to tax payers.
As the estimated 76 million baby boomers born between 1946 and 1964 become elderly, Medicare, Medicaid, and Social Security will nearly double as a share of the economy by 2035.
With each generation, Americans have been fortunate to live longer lives; we continue to plan on how to meet the needs of the aging and the disabled. It is reasonable to assume that over time the aging of baby boomers will increase the demand for long-term care. Estimates suggest that in the upcoming years the number of disabled elderly who cannot perform basic activities of daily living without assistance may be double today's level.
Repealing the CLASS program does nothing to address the fact that private long-term care insurance options are limited and the costs are too high for many American families, including many in my Houston district, to afford.
In 2000, spending from public and private sources associated on long- term care amounted to an estimated $137 billion, for persons of all ages. By 2005, this number has risen to $206.6 billion.
Unless we act now, the costs associated with long-term care will continue to rise. As it stands, families are bearing the brunt of these costs. Less than a decade ago those who needed long-term care spent nearly $37.4 billion in out-of-pocket expenses. This is not sustainable for the majority of families; less than a decade ago we were not recovering from a recession.
The issue before us today is how we intend to treat our aging and disabled at a time when they are in need of assistance that will have a direct impact on their quality of life.
CLASS comes into effect when a person is at his most vulnerable. For example, when individuals are unable to clothe or bathe themselves. CLASS would allow some individuals to remain in their home. It gives the aging, the disabled and their families a viable option. Long-term care encompasses a wide range of services for people who need regular assistance because of chronic illness or physical or mental disabilities.
Although long-term care might include some skilled nursing care it consists primarily of help with basic activities of daily living, such as bathing, eating, and dressing, and with tasks necessary for independent living such as shopping, cooking, and housework, in essence helping people who need help.
Traditionally, most long-term care is provided informally by family members and friends. Some people with disabilities receive assistance at home from paid helpers, including skilled nurses and home care aides. Nursing homes are increasingly viewed as a last resort for people who are too disabled to live in the community, due to a number of factors, cost being one.
Madam Chair, I believe that we must leave the framework that exists in place and work with seniors, families, industry, HHS and others to find a way to make the CLASS Act or an alternative long-term care program work. We cannot and we must not allow Medicaid to continue to be the only affordable long-term care service available to Americans. American families should not have to spend down their savings or assets to access long-term care. We must not forget that this is an issue we must address. As of January 1, 2011, baby
boomers will begin to celebrate their 65th birthdays for that day on 10,000 people will turn 65 every day and this will continue for the next 20 years
My career in Congress has been dedicated to expanding access to affordable, quality health care for the residents of the state of Texas, Houstonians, and all Americans, and the CLASS Act furthers that goal. It is clear that the CLASS Act is not perfect, and almost no piece of legislation can ever be, but that's why we rely on the professionals in federal agencies to work on implementation of the law.
I strongly believe that we can find a way to make this program work and I hope my colleagues on the other side of the aisle will work with me to ensure that affordable long-term care is available for anyone who needs it.
American families spend almost twice as much on health care through premiums, paycheck deductions, and out-of-pocket expenses as families in any other countries. In exchange, we receive quality specialty care in many areas that is the envy of many. Yet, they do not receive significantly better care than countries that spend far less.
Considering the amount that we spend on health care, it is surprising that Americans do not live as long as people in Canada, Japan, and most of Western Europe. Our health care system was in need of an overhaul. The landmark bill signed by President Obama in 2010 is designed to provide coverage to millions of people who currently lack it.
Under the Affordable Health Care law more than 32 million additional Americans are expected to get insurance, either through an extension of Medicaid or through exchanges where low and moderate income individuals and families will be able to purchase private insurance with federal subsidies.
A key part of the new health law also encourages the development of ``accountable care organizations'' that would allow doctors to team up with each other and with hospitals, in new ways, to provide medical services. There are dozens of good provisions in the Act that will ultimately benefit the public, if they are not repealed one title at a time. The CLASS Act is a good provision too--I stand by that notion-- but just improperly designed.
At this stage, any change is difficult and change especially during a recession is extremely difficult. It is not possible to change a system as large and as hugely flawed, as ours without some disruptions. We are using fresh thinking and innovation to make sure everyone benefits--our citizens, our health care providers, small businesses, large corporations. I think the public is starting to slowly accept it. Over the course of several years and as more beneficial provisions take effect, this law will be more accepted, popular and possibly expanded.
Unfortunately, some in this Congress seems intent on not just undoing the CLASS Act, but the entire Affordable Health Care law. Everyone should have equal access to affordable health care and affordable health care service. Repealing a program that is intended to assist the aging and the disabled is not where this Congress should be spending its energy. We should be focused on legislation, like the one I proposed that would reduce the deficit, boast our nation's energy production, and create jobs. It appears as though my Republican colleagues seem more focused on putting forth bills that would cut taxes, cut services to the aging and disabled, and cut discretionary spending. Our priority should be to focus on legislation that will create jobs.
I have an amendment at the desk.
Madam Chair, first of all, let me say that I was on the floor yesterday regarding the CLASS Act and my approach to the CLASS Act. And I recognize that we have had some difficulty with putting together the right balance, the right financial structure for a very large program. But it does not mean that it does not have purpose.
The CLASS program deals with long-term care. In my readings I've determined that private families and loved ones have given in essence $450 billion in private care, meaning that they have taken care of their loved ones on their own; $101 billion has been spent by the Medicaid program. And I said yesterday that I've had the experience of taking care of a dear mother who I lost in 2010, and right now an aunt who I am taking care of in 2012. And I've seen a number of friends and others who need long-term care. And so the idea of disposing of it to me seems incomplete, without projecting back to Health and Human Services how can we get this done.
My amendment would not repeal the CLASS Act until the completion of a macroeconomic study.
We must determine the cost of not having long-term care insurance on the Federal, State and local governments before we repeal any programs like CLASS that are self-sustaining. CLASS is not taxpayer funded. The lack of affordable care is a very serious problem which, if not addressed, will only add to our growing national debt. H.R. 1173 would repeal the CLASS Act in its totality, and I believe that that is the wrong direction to go. And so I would be offering my amendment to help 26 million Americans who need long-term care services in the near future.
The CLASS Act is a positive intent, and it deals with the fact that we all must have balance of burden and benefit. We have to recognize that there
are those whom we have to help. My amendment would ask for that study to be engaged and to ask for the Secretary to come back with an analysis of how devastating the impact would be and how high the deficit would grow. As the former executive director for the National Governors Association noted, failure to reform the underfunded, uncoordinated patchwork of long-term care supports and services is a failure to truly reforming health care.
Long-term care is not just for the elderly. It's for those who have had catastrophic illnesses, maybe the injured football player or the injured skier or a major accident when our loved ones need our attention. And, oh, how much can be done with long-term care. How do I know it? My mother went into a nursing home and could not walk--but she walked out.
Yes, there is value to helping people restore their lives. And baby boomers are already turning 65; 10,000 people will turn 65 every day as of January 1, 2011, over the next 25 years. And I'm grateful that because of health care and the Affordable Care Act, they will be living longer. Therefore, I'm asking that we not throw the baby out with the bath water. Allow the Secretary to do this study and to do this study that will be helpful to all of us. By 2050, the number of individuals using long-term care will increase.
I would like to reserve the balance of my time.
Let me just say, Madam Chair, to my disappointment, I wanted to reserve to engage with my friend. But let me just say this: that care involves home residential care, skilled- nursing facilities, and it will likely double from the 10 million services in 2000 to, as I said earlier, 26 million people.
So it makes sense to accept my amendment that would allow this macroeconomic study to look closely at the benefit and the burden of not having long-term care. I can assure you that we will be better informed to be able to have those instructions, and I would ask my colleagues to support this amendment.
Madam Chair, I rise today in support of my amendment #2, to H.R. 1173, ``The Fiscal Responsibility and Retirement Security Act of 2011.'' My amendment would delay the repeal of the CLASS PROGRAM until the completion of a macroeconomic study. We must determine the costs of not having long-term care insurance on the federal, state, and local governments before we repeal programs, like CLASS, that are self sustaining. CLASS is not tax payer funded! The lack of affordable care is a very serious problem which, if not addressed, will only add to our growing national debt.
H.R. 1173 would repeal Title VIII of the Patient Protection and Affordable Care Act and Supports (CLASS) Program--a national, voluntary long-term care insurance program for purchasing community living assistance services and supports. Title VIII also authorized and appropriated funding through 2015 for the National Clearinghouse for Long-Term Care Information (clearing house). H.R. 1173 would rescind any unobligated balances appropriated to the National Clearinghouse for Long-Term Care Information.
I ask my colleagues to ensure that the 26 million Americans, who will need long term care services in the near future, will be able to purchase this care at reasonable prices.
The CLASS Act is a noble and notable attempt to legislate this issue but when the Administration realized that the legislation did not do what we thought it would they came forth and did the right thing and deemed it to be unsustainable.
Policy won out over politics because it would be easy to obfuscate and forge ahead with implementation even in the face of an obviously problematic bill. This indeed was a bold act of integrity for the Department of Health and Human Services.
The inclusion of the long term care infrastructure (CLASS) in health care reform was a signature issue for one of the foremost advocates in this bicameral body, the late Senator Ted Kennedy who worked tirelessly to achieve its enactment.
As Raymond Scheppach, former Executive Director for National Governors' Association noted, ``failure to reform the under-funded, uncoordinated patchwork of long-term care supports and services is a failure to truly reforming health care.'' This failure defines the revolving door of our health care system.
An estimated 10 million Americans currently need long term care services, and that number is projected to reach 26 million by 2050. Nearly half of all funding for these services is now provided through Medicaid, which is an ever-growing and inexorable burden on states and requires individuals to ``spend down'' or, become and stay poor to receive the help they need.
This spend-down activity runs contrary to the American notion of putting something away for a rainy day, or to allow for passing on to your heirs so that they can see a better day than you.
Estimates suggest that in the upcoming years the number of disabled elderly who cannot perform basic activities of daily living without assistance may double today's level. CLASS provides the aging and the disabled with a solution that is self sustaining, at no cost to tax payers.
As the estimated 76 million baby boomers born between 1946 and 1964 become elderly, Medicare, Medicaid, and Social Security will nearly double as a share of the economy by 2035.
Baby boomers are already turning 65. As of January 1, 2011, 10,000 people will turn 65 every day and this will continue for the next 20 years. It is reasonable to assume that over time the aging of baby boomers will increase the demand for long-term care.
In addition, individuals 85 years and older are one of the fastest growing segments of the population. In 2005, there are an estimated 5 million people 85+ in the United States; this figure is expected to increase to 19.4 million by 2050. This means that there could be an increase from 1.6 million to 6.2 million people age 85 or over with severe or moderate memory impairment in 2050.
Repealing the CLASS program does nothing to address the fact that private long-term care insurance options are limited and the costs are too high for many American families, including many in my Houston district, to afford.
An estimated 10 million Americans needed long-term care in 2000. Most but not all persons in need of long-term care are elderly. Approximately 63% are persons aged 65 and older (6.3 million); the remaining 37% are 64 years of age and younger (3.7 million).
The lifetime probability of becoming disabled in at least two activities of daily living or of being cognitively impaired is 68% for people age 65 and older.
By 2050, the number of individuals using paid long-term care services in any setting (e.g., at home, residential care such as assisted living, or skilled nursing facilities) will likely double from the 10 million using services in 2000, to 26 million people. This estimate is influenced by growth in the population of older people in need of care.
Of the older population with long-term care needs in the community, about 30% (1.5 million persons) have substantial long-term care needs-- three or more activities of daily living limitations. Of these, about 25% are 85 and older and 70% report they are in fair to poor health. 40% of the older population with long-term care needs are poor or near poor (with incomes below 150% of the federal poverty level).
Between 1984 and 1994, the number of older persons receiving long- term care remained about the same at 5.5 million people, while the prevalence of long-term care use declined from 19.7% to 16.7% of the 65+ population. In comparison, 2.1%, or over 3.3 million, of the population aged 18-64 received long-term care in the community in 1994.
I thank the gentleman. Madam Chair, first of all, I want to make sure that my amendment is amendment No. 2 to H.R. 1173, and I have another amendment which is amendment No. 1.
But I do want to respond to the gentleman and just indicate that best practices have not been assessed. The point of my amendment is to get us focusing on what the numbers need to be to increase the viability of life and care for those needing long-term care, juxtaposed against the enormous debt and deficit that will occur if no one has long-term care or we continue to have to utilize Medicaid, which is at $101 billion, private insurance is only at $14.5 billion, and then the burden on family members, aging family members, their care. They have put in their pound of support at $450 billion. We can at least pay attention to new numbers by asking for best practices to be assessed.
I believe if we do that, we will have the opportunity to do the right thing by the American people; and we will be, in essence, being productive. No one can deny the fact that having insurance that has people being eliminated from insurance for preexisting conditions is not good. No one can say that having children on your insurance to 26 is not good. No one can say that not being kicked out of a hospital bed because you have flat-lined on your insurance is not good. It is good.
We recognize that coming together in a bipartisan manner, we can, in fact, make this right, and we can find a way to help those families right now. Alzheimer's, where families are taking care of that loved one, they need support; and they need it in a structure that can help provide them with resources for long-term care.
I ask my colleagues to support a thoughtful amendment that deals with providing additional information. I thank the gentleman for his time. I ask my colleagues to support the Jackson Lee No. 2 amendment on a macroeconomic study on the benefits and burdens of repealing the CLASS Act.
I demand a recorded vote.
I have an amendment, No. 1 I believe.
Madam Chair, I rise with great concern about H.R. 1173. And, again, I want to make it very clear that in all the course of traveling throughout my district when the Affordable Care Act was passed in 2010, there was a great deal of emotion and celebration. I take, for example, those senior citizens who were continuously falling through the hole on Medicare part D. This particular legislation helped close the doughnut hole where seniors' prescription drugs did not skyrocket, so they would not have to make a decision among their drug prescriptions or their rent or what they ate.
This amendment is very clear. It simply states Congress resolves that health care is necessary for a healthy population, humane treatment of impoverished citizens, and to help reduce the budget deficit, and that long-term care insurance represents one-third of Federal and State spending on Medicaid. It's a simple statement of fact, Madam Chairwoman, and I would ask that this simple statement of fact be added to this legislation. I think it will be a positive statement. It will give us the connectedness to say that we have got to get back to the drawing boards and make sure that we have, in fact, the right kind of insurance for people in need.
I can't imagine why we would want to abandon those who need long-term care. As I've indicated, it may be a young person who faces a catastrophic illness or accident; it may be a child suffering from a chronic disease; it may be some of our friends who suffer from issues dealing with mental health. In my own community, just recently, one of our major hospitals with mental health beds was closed down, 148 beds. Who knows what will happen to those patients, some of whom actually stayed in that facility for a period of time. We know we don't have enough mental health beds and beds for those who need long-term care, suffering from conditions dealing with their mental health.
My amendment is recognition of the fact that the issue of long-term care services is not going away. The enormous cost of not providing the rainy-day umbrella, the cushion for families and those who are suffering from devastating disease just cannot happen. It cannot be swept under the rug. The cost curb is steep and growing, and we cannot continue to kick the can down the road. Long-term care, again, is fundamental. And so, this particular legislation acknowledges that.
Forty percent of long-term care users today are between the ages of 18 and 64, as I said. While most people who need long-term care are in their seventies and eighties, as I said, many younger people are facing the horror of disability or a disability without any way of paying for it, without giving relief to their family members. Long-term care is expensive and can quickly wipe out hardworking families' savings, which gives many families a Hobson's choice: spend down and wipe out years of hardworking services to qualify for Medicaid.
For those of you who don't know how Medicaid works, because we want to be responsible with Federal tax dollars, you have to be down to zero--your house has to be sold, your car has to be sold, any assets have to be sold, and everything you have goes back into the system.
Well, I know there are people who believe that they want to pay part of this burden, but there are others who understand that, in addition to paying, why should they be made completely indigent? Why can't that person remain in their home, even with care--which is another part of long-term care. It gives the opportunity for families to be together and for that individual who is injured to be able to be taken care of inside their home with a loving family but yet having the long-term care providers.
This is a simple statement. I hope my colleagues will not oppose the idea that long-term care is important and that we have to respond to it by way of ensuring that we don't grow the deficit.
The average lifetime long-term care spending for a 65-year-old is $47,000; 16 percent will spend $100,000 and 5 percent will spend $250,000.
There's no doubt that we need relief. Nationwide, the median annual cost of a nursing home in 2010 was $75,000, room and board, in an assisted living facility. This is a crisis that will impact the debt; and, therefore, I would argue that repealing the CLASS Act without a positive statement, Madam Chair, of how important it is is tragic.
I ask my colleagues to support the Jackson Lee amendment. Stand up and be counted for the value of long-term care support here in America.
Madam Chair, I rise today in support of my amendment #1 to H.R. 1173, ``The Fiscal Responsibility and Retirement Security Act of 2011.'' My amendment states, ``Congress resolves that health care is necessary for a healthy population, humane treatment of impoverished citizens, and to help reduce the budget deficit; and that long-term care insurance represents one-third of federal and state spending on Medicaid.''
H.R. 1173 would repeal Title VIII of the Patient Protection and Affordable Care Act and Supports (CLASS) Program--a national, voluntary long-term care insurance program for purchasing community living assistance services and supports. Title VIII also authorized and appropriated funding through 2015 for the National Clearinghouse for Long-Term Care Information (clearing house). H.R. 1173 would rescind any unobligated balances appropriated to the National Clearinghouse for Long-Term Care Information.
My amendment is recognition of the fact that the issue of long-term care services is not going away. It cannot be swept under the rug. The cost-curve is steep and growing. We cannot continue to kick the can down the road: long-term care is fundamental.
As our nation's population ages, there is an increasingly urgent need to find effective ways to help Americans prepare for their individual long-term care needs. Almost seven out of ten people turning age 65 today will need some help with their activities of daily living at some point in their remaining years.
Forty percent of long-term care users today are between the ages of 18 and 64. While most people who need long-term care are in their 70s and 80s, many younger people, particularly those living with a significant disability, also may need assistance.
Long-term care is expensive, and can quickly wipe out hardworking families' savings, which gives many families a Hobson's choice: spend- down and wipe out years of hard-earned savings to qualify for Medicaid.
While costs for nursing home care can vary widely, they average about $6,500 a month, or anywhere from $70,000 to $80,000 a year. And these costs are only becoming more expensive.
People who receive long-term care at home spend an average of $1,800 a month. The average lifetime long-term care spending for a 65 year old is $47,000; 16 percent will spend $100,000 and 5 percent will spend $250,000. And many of these people have other expenses as well.
Nationwide, the median annual cost of a nursing home in 2010 was $75,000; room and board in an assisted living facility, with no additional help, was $37,500; an attendant that provides home care and no medical tasks, like the dispensing of medication, is paid approximately $19 an hour.
These expenses are left to America's seniors and people with disabilities (and their adult children) to pay for out of pocket until their pockets are all but empty. As this body knows well, Medicare only covers short-term and limited long-term care services, and the Medicaid safety net is only available to those who have depleted virtually all of their resources as a result of being frail or suffering from dementia. Many people are left in dire situations and are truly at society's mercy.
Today, there are many Americans with disabilities who want to and are able to work and thereby maintain independence and contribute financially to their families. However, if they depend upon an attendant to drive them to their job or help them shop, use the toilet, or bathe, they must have enough additional financial resources to pay for such assistance, or have low enough incomes to qualify for Medicaid.
Long-term care insurance is the most popular of the private options available, but less than 3-percent of the American people have long- term care insurance, meaning there is a wide gap and acute lack of awareness. The CLASS Act sought to bridge this gap and has come up a little short. However we cannot, as a Congress, pretend the problem is going away.
My amendment recognizes that long-term care must be addressed as millions of baby boomers have already begun turning 65. The aging population and the disabled need viable options for their care. Taking away a program that is intended to meet the future needs of our aging is the wrong approach. We should be focused on ways to boost our economy, providing increased access to affordable care to seniors, low income, and the disabled, and job creation. We should not be eliminating programs that aim to sustain our aging population.
Mr. Chairman, I move to strike the last word.
My good friend from Georgia, some things bear repeating. I love February 2. It happens to be my daughter, Erica's, birthday. Some call it Groundhog Day. I call it a day of great celebration for a bit of joy that came into our lives.
So it's a day for many that is happy. It's a day that many humorously look forward to great weather. Some remember our good friend, Bill Murray, and it is a day that symbolizes repetition.
Sometimes the pain of Americans deserves to be repeated over and over again. And I'd like to answer my good friend, not speaking for Mr. Pallone, but, in actuality, we have the opportunity now to have bipartisan hearings. Nothing is precluded. Mr. Pallone's statement was accurate. He was not writing the structure of long-term care. He was indicating that, for Americans, it was vital.
What is disappointing is that my friends on the other side of the aisle are willing to give up so easily. I don't understand that. Where's the American genius?
Of course, they will cite HHS; but they know that Congress directs HHS. They know that the repeal of this legislation for long-term care will simply kill the opportunity for Americans to find relief.
As we look to the future, we are just a month away until taxes go up on middle class families, and Americans looking for work lose their unemployment insurance, and seniors face losing access to their doctors. We could be working on that, move the conference committee a little faster. But we're now adding an extra burden. Let's repeal the CLASS Act.
It doesn't disturb me that HHS has made several tries, and in a time frame has not found a cure yet. But knowing research and knowing science and being near and in the community of the Texas Medical Center, I know how long it takes to get a good answer in health care.
But what I do want to stress to my friends, can they deny that 82 percent of Americans say that taking care of relatives who are aging or ill is demanding? Eighty-two percent of them say that; 72 percent indicate that taking care of them is overwhelming; 56 percent said that as they are taking care of their sick relatives, they are getting ill.
Yet we want to abandon the discussion on long-term care when I've already said on the floor of the House that $450 billion of that long- term care is already in private hands. It's in families. It's through their labor. They are overwhelmed.
Only $14 billion is in the private industry sector. See how much they're standing up to the bar, and $101 billion in Medicaid.
We have to find a solution that balances benefit and burden. Listen to a constituent from Texas who took care of her son after he was seriously injured in a roadside bombing while patrolling in Iraq. She did not return home 7 years in order to be with her son.
Debbie initially took a leave of absence from her job, but ended up resigning to become a full-time caregiver
for her son. Because she no longer had a paid job, and her husband was the only one working, they had to start using their retirement savings to survive. Her son is now better, great news, and active in the community. And she continues her work. But the catastrophic impact to the family continues on.
Rhonda has gone from a part-time, visiting caregiver to her elderly parents to a live-in, full-time caregiver. Even after the death of her own 23-year-old daughter in a car accident, and her only brother becoming disabled after an illness, before 2001 she was a full-time working mother of two.
Where is the relief for these humans, these individuals, these people in need? Where is it? It's in the amendment I offered that indicated that it is important to note that long-term care is important, and a study should engender to be able to determine that.
But more importantly, let's, again, look at this in a way that we take our time and look at the macroeconomics and take into consideration how we can best configure this. But let me tell you very clearly that if we repeal this CLASS Act, the burden will fall on local and State governments and the millions of caregivers who already, through their own effort and their own toil, with love, I will tell you with love, expend $450 billion that we don't compensate them for, lose their jobs, raise the deficit, add to the debt because they are not able to take care of themselves.
And as we see, some 76 million baby boomers, Mr. Chairman, going forward. Let me just say, don't repeal this bill. It bears repeating. Help those who need your help.
Mr. Chair, I move to strike the last word. Today, I am joined by Members of the Congressional Progressive Caucus, to call attention to the grievous threats posed by to H.R. 1173, ``The Fiscal Responsibility and Retirement Security Act of 2011'', to key provisions in the Affordable Health Care Act.
H.R. 1173 bill would repeal title VIII of the Patient Protection and Affordable Care Act and Supports (CLASS) Program--a national, voluntary long-term care insurance program for purchasing community living assistance services and supports.
This piece of legislation is yet another example of the Republican Majority failing to act on the top priorities of the American people. At a time when we should be focused on building our economy; advancing underserved and underrepresented communities, addressing the needs of our Nation's seniors; and focusing on the deficit, as well as, unemployment insurance. Instead of generating bold new ideas to help small businesses hire more Americans, to aid in the revitalization efforts of our manufacturing industry, to advance the cause for energy independence, to address the needs of families hurt the most by this economic down turn.
Instead, The Republicans have brought forward a bill to repeal a self sustaining program for the aging and the disabled. The CLASS program is meant to help someone who is unable to bath, cloth, or conduct basic life actives. We should not be attacking programs that are designed to address issues of long term care.
Title VIII also authorized and appropriated funding through 2015 for the National Clearinghouse for Long-Term Care Information (clearing house). H.R. 1173 would rescind any unobligated balances appropriated to the National Clearinghouse for Long-Term Care Information.
The CLASS Act was designed to provide an affordable long-term care option for the 10 million Americans in need of long-term care now and the projected 15 million Americans that will need long-term care by 2020.
Individuals need long-term care when a chronic condition, trauma, or illness limits their ability to carry out basic self-care tasks, called activities of daily living (ADLs), (such as bathing, dressing or eating), or instrumental activities of daily living (IADLs) (such as household chores, meal preparation, or managing money).
Long-term care often involves the most intimate aspects of people's lives--what and when they eat, personal hygiene, getting dressed, using the bathroom. Other less severe long-term care needs may involve household tasks such as preparing meals or using the telephone.
Estimates suggest that in the upcoming years the number of disabled elderly who cannot perform basic activities of daily living without assistance may be double today's level.
CLASS provides the aging and the disabled with a solution that is self sustaining, at no cost to taxpayers.
As the estimated 76 million baby boomers born between 1946 and 1964 become elderly, Medicare, Medicaid, and Social Security will nearly double as a share of the economy by 2035.
Baby boomers are already turning 65. As of January 1, 2011, baby boomers have begun to celebrate their 65th birthdays for that day on 10,000 people will turn 65 every day and this will continue for the next 20 years.
It is reasonable to assume that over time the aging of baby boomers will increase the demand for long-term care.
Repealing the CLASS program does nothing to address the fact that private long-term care insurance options are limited and the costs are too high for many American families, including many in my Houston district, to afford.
In 2000, spending from public and private sources associated on long- term care amounted to an estimated $137 billion (for persons of all ages). By 2005, this number has risen to $206.6 billion.
Individuals 85 years and older, the oldest old, are one of the fastest growing segments of the population. In 2005, there are an estimated 5 million people 85+ in the United States. This figure is expected to increase to 19.4 million by 2050. This means that there could be an increase from 1.6 million to 6.2 million people age 85 or over with severe or moderate memory impairment in 2050.
An estimated 10 million Americans needed long-term care in 2000. Most but not all persons in need of long-term care are elderly. Approximately 63 percent are persons aged 65 and older (6.3 million); the remaining 37 percent are 64 years of age and younger (3.7 million).
The lifetime probability of becoming disabled in at least two activities of daily living or of being cognitively impaired is 68 percent for people age 65 and older.
By 2050, the number of individuals using paid long-term care services in any setting (e.g., at home, residential care such as assisted living, or skilled nursing facilities) will likely double from the 13 million using services in 2000, to 27 million people. This estimate is influenced by growth in the population of older people in need of care.
Of the older population with long-term care needs in the community, about 30 percent (1.5 million persons) have substantial long-term care needs--three or more activities of daily living limitations. Of these, about 25 percent are 85 and older and 70 percent report they are in fair to poor health.
Forty percent of the older population with long-term care needs are poor or near poor (with incomes below 150 percent of the Federal poverty level).
Between 1984 and 1994, the number of older persons receiving long- term care remained about the same at 5.5 million people, while the prevalence of long-term care use declined from 19.7 percent to 16.7 percent of the 65+ population. In comparison, 2.1 percent, or over 3.3 million, of the population aged 18-64 received long-term care in the community in 1994.
While there was a decline in the proportion (i.e., prevalence) of the older population receiving long-term care, the level of disability and cognitive impairment among those who received assistance with daily tasks rose sharply. The proportion receiving help with three to six ADLs increased from 35.4 percent to 42.9 percent between 1984 and 1994. The proportion of cognitive impairment among the 65+ population rose from 34 percent to 40 percent.