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Title
Senior and Supportive HousingMetropolitan Area Planning Council
Annual MeetingJune 1, 2011Newton, MA
Mark Hinderlie, President & CEOHearth, Inc.
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About Hearth
Hearth Housing & Services
8 sites, 196 units
Hearth Outreach1,000 elders placed
3,000 served (capacity to help 250
elders annually)
• Assorted Social Service Agency Partners
COMMUNITY COLLABORATORS
• Homeless Shelters
Founded in 1991, Hearth continues to be the only organization in the country with a sole focus and comprehensive approach to ending elder homelessness.
Hearth partners with many organizations serving the homeless on a targeted approach for older adults age 50 and over.
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About Supportive Housing…
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Supportive housing is a successful, cost-effective combination of affordable housing with services that helps people live more stable, productive lives.
Supportive housing works well for people who face the most complex challenges—individuals and families who are not only homeless, but who also have very low incomes and serious, persistent issues that may include, chronic health conditions, disabilities, substance use, mental illness, and HIV/AIDS.
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● Subsidized Units
● Multidisciplinary Support Team
● Health Assessments and Treatment Planning
● Care Coordination
● Medication Management
● Crisis Management
● Representative Payee
Hearth’s Supportive Housing…
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Massachusetts's Aging Population
Source: U.S Census Bureau, Population Division, Interim State Population Project, 2005;UMass Gerontology Jan Mutschler
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Over the next 20 years, Massachusetts population growth
will occur almost entirely in the 60+ age groups
Change in population 2010 - 2030
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Poverty and the Lack of Affordable HousingTwo critical issues
FROM US CENSUS
ANNUAL MEDIAN HOUSING COSTS
ANNUAL MEDIAN INCOME FOR ELDERS 65+
DIFFERENCE
US $11,000 $19,000 +$8,000
Boston $16,000 $13,000 -$3,000
Source: US Census, American Community Survey, andthe Employment Benefit Research Institute & Lifelines for Elders Living on the Edge
● Today, 3.6 million American seniors live below the federal poverty line and millions more are just making ends meet. In Boston, 1 in every 5 elders lives below the poverty line.
● Annual cost of living for an elder individual renting a one bedroom apartment in Massachusetts was $24,496 in 2008.
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Americans 65 and older rely heavily on Social Security for their retirement income — even at the top income bracket
Source: Calculations by the Center for Retirement Research at Boston College,based on the U.S. Census Bureau 2009 Current Population Survey; Credit: Alyson Hurt / NPR
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Sources of Retirement Income
UMass Boston Gerontology Institute, Massachusetts Elder Economic Security Standard, 2009
2009 Elder Standard for Single Elder in Suffolk Countyvs. MA SSI Payments & Federal Poverty Levels
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Boston Area Elder Living Costs & Long-Term Care Costs 2009
9Source: MetLife Survey of Long-Term Care Costs 2009,UMass Boston Gerontology Institute, Massachusetts Elder Economic Security Standard Index 2009
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Developing Hearth HousingAn Example
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Funding Sources● Tax Credit Equity: this is private equity thru an investor’s use of
credits that come from Feds to the state
● Public Equity: Federal Home Loan Bank of Boston – Affordable Housing Program
● Philanthropic Support
● Other:● Eastern permanent mortgage ● DHCD HOME grant● Facilities Consolidation Fund
(DMH)
● MassHousing Affordable Housing Trust Fund
● DND HOME● DND Neighborhood Housing Trust
Olmstead Green Development59 units of affordable housing for formerly homeless older adults
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Public policy challenges…
• We don’t have nearly enough affordable housing, but
• Affordable housing development is incredibly complex and difficult, and
• Supportive housing requires services, but service funding streams are narrow, access is uncoordinated, and don’t consider the critical role of housing
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Hearth’s Sources of Revenue
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Nearly half of Hearth’s revenue comes from rental fees and program revenues.
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Outcomes for Hearth Residents
● Housing with integrated supportive services leads to good outcomes for elders who have struggled with the consequences of poverty and homelessness.
● 95% of Hearth’s survey respondents report a visit with a primary medical care provider within the previous six months, demonstrating Hearth’s success in forging connections between its elder residents and critically important community-based care.
● Access to safe, affordable housing and a supportive living environment promotes stability, wellness, and life satisfaction among formerly homeless older adults.
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Outcomes for Hearth Residentscontinued
Many of those participating in a recent Hearth survey reported positive assessments of their health and well-being as residents of Hearth’s housing, despite the numerous and serious health challenges they experience:
● 68% of respondents rate their health (including physical, emotional, and mental health) as either good, very good, or excellent.
● 70% of respondents report being either satisfied or very satisfied with their lives, in general
● 78% of respondents express satisfaction with their living environments, with an additional 10% expressing neither satisfaction nor dissatisfaction.
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● The cost of Hearth housing is at most one-half the cost of institutional alternatives such as long term care or shelter beds.
● There are high costs associated with leaving elders in shelter or on the street which include costs such as increased use of emergency medical care for routine care.
● At over $51,000 a year on average in Massachusetts for assisted living and $107,000 for nursing home care, assisted living is generally unavailable to most poor and minority elders. At Ruggles, Hearth is able to provide access to this high level of care for Boston’s very low income, frail elders who otherwise would be living in nursing homes on Medicaid’s tab.
Hearth’s Strategy Makes Sense
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Recognition of Hearth’s Model
● Hearth has received 15 different local and national awards recognizing its community leadership, high-quality innovative programs, fiscal responsibility, and achievements in increasing the supply of affordable housing for vulnerable populations.
● Hearth’ Outreach Program was recognized as a 2009 Social Innovator by the Social Innovation Forum of Cambridge, Massachusetts.
● Hearth’s Anna Bissonnette House was recognized as a Best Practice by the Los Angeles Shelter Partnership.
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