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Comprehensive Provider Funding Crisis

Submitted by Shelley Joyce on Mon, 02/19/2007 - 1:42am.

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Oregon community organizations providing
24-hour support for adults with developmental disabilities are struggling to maintain quality
staff and facilities. Adults with developmental disabilities must adjust to continuing changes in the people who provide their supports.

Who receives these services?
 Adults with developmental disabilities,
many with multiple physical disabilities, often requiring 24-hour care and supervision.

What are the challenges?
 Increasing costs, including employee benefits and operational expenses: many organizations
are operating at a loss, drawing down reserves.
 State rates have not kept up with increased expenses.
 Recruitment and retention of qualified staff to
do challenging work at low wages is increasingly difficult.
 The estimated cost of replacing each direct care employee is $4,000, costing community programs over $12 million a year.
 There is a loss of capacity as providers stop serving people with developmental disabilities.
How are these services funded?
 Revenue comes primarily from State General Fund dollars matched by Federal Funds, supplemented by private donations and entrepreneurial efforts

FAST FACTS

   Ü      Over 100 Oregon organizations provide  housing and 24-hour support for nearly 3,000 adults.

Ü      More than 6,000
people are employed statewide in these provider organizations.

Ü      7 out of 10 direct care staff leave their jobs in less than a year!

Ü      Over 20% of Oregon providers have closed since 1991.

Ü      For every $1 Oregon spends on 24-hour care, federal funds contribute about $1.50 in additional match.

 

 

 

 


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