HUMAN DEVELOPMENT NUTRITION PROGRAMS FOR THE AGING AND YOUTH DEVELOPMENT STATEMENT OF STANLEY B. THOMAS, ASSISTANT SECRETARY FOR HUMAN DEVELOPMENT ACCOMPANIED BY: JERRY SUTTON, DIRECTOR, OFFICE OF ADMINISTRATION AND GEORGE THOMAS FRIEDKIN, DIRECTOR, BUDGET AND FINAN- WILLIAM FORBUSH, DEPUTY ASSISTANT SECRETARY, BUDGET JAMES A. HART, COMMISSIONER, OFFICE OF YOUTH DEVELOP- SUPPLEMENTAL REQUEST Senator MONTOYA. Let me state this by way of foundation: the next witness Stanley B. Thomas, who will testify in support of $99,600,000 for nutrition programs for the elderly. This is a decrease of $100 million below the 1974 obligational level, which consisted of a late fiscal year 1973 supplemental of $100 million and the regular 1974 appropriation of $99.6 million. You also have a $12 million request for youth development programs, which was not considered by the House. BIOGRAPHICAL SKETCH Your biographical sketch will be placed in the record at this point. [The biographical sketch follows:] BIOGRAPHICAL SKETCH OF STANLEY B. THOMAS, JR. Name: Stanley B. Thomas, Jr. Position: Assistant Secretary for Human Development. Experience: Present: Assistant Secretary for Human Development. 19691973: Deputy Assistant Secretary, Office of Community and Field Services. 1968-1969: Manager, Personnel Relations, Phillip Morris, Inc. 1966-1968: Manager, College Bureau, Time, Inc. 1966: Secretary, New York Anti-Poverty Operations Board. 1965-1966: Assistant to the Vice President and Secretary, Time, Inc. 1964-1965: Publishing Trainee, Time, Inc. Honors and awards: 1973: Recipient of the Secretary's Special Citation. 1972: Recipient of Department Superior Service Award. Elected Trustee Horace Mann School, Bronx, New York. 1971: Nominee to Yale University Corporation. INTRODUCTION OF ASSOCIATES You may proceed, Mr. Thomas, to identify who are with you and then with your testimony. Mr. THOMAS. Thank you very much, Mr. Chairman. On my far left is Mr. Gene Handelsman, Director of State and community programs, for the Administration on Aging. You know Mr. Forbush. Also on my left is Mr. James Hart of the Office of Youth Development. On my immediate right, is Mr. Jerry Sutton, Director of Office of Administration and Management, and Mr. Thomas Friedkin, Director of the Budget Division. Mr. Chairman, it is a pleasure to appear before this committee regarding fiscal year 1975 appropriations for the nutrition program for the elderly authorized under title VII of the Older Americans Act, and the youth development programs as authorized by the Juvenile Justice and Delinquency Prevention Act of 1974. NUTRITION PROGRAM FOR THE ELDERLY The title VII nutrition program for the elderly operates within the same conceptual framework as the State and community grant program for comprehensive and coordinated services for older Americans authorized under title III of the Older Americans Act, in that the delivery of low-cost meals and related services in congregate settings should be one component of a comprehensive coordinated service system. The nutrition program is designed to improve the capacity of the States to meet the nutrition, health, and other social service needs of the elderly by developing community-based nutrition projects on a nationwide basis. State and Area Agencies on Aging have been strongly encouraged to work out mutually satisfactory agreements with contractors and grantees under title VII which are designed to bring about meaningful linkages between them and the providers of services under the title III comprehensive and coordinated service programs. Funds under the title VII nutrition program are allocated by formula grant to States to pay up to 90 percent of the cost of the establishment, maintenance, operation, and expansion of nutrition projects which serve meals in a congregate setting and which include nutrition education and training, and supporting social services. Funds allotted to States are then awarded by grant or contract to public or private nonprofit institutions, organizations, agencies, or political subdivisions of States which meet the conditions of the act. STATISTICAL DATA Funds were first made available for the program on July 1, 1973. On July 27, 1973, the Administration on Aging allotted $99,600,000 to the States. As of December 31, 1973, the States had completed the allocation of these funds toward the establishment of 665 nutrition projects 451 of the nutrition projects are located in urban settings and 214 are located in rural settings. Recent reports from the State indicate that 211,029 meals are being served to older persons daily through this program. The nutrition program for the elderly places major emphasis on the States giving preference in awarding grants to projects that serve lowincome individuals and members of minority groups. An August 30, 1974, report from the States indicates that the average number of daily meals being served to persons below the Census Bureau's poverty threshold was 140,193 or approximately 66 percent of the total. This same report shows that the average number of daily meals being served to members of minority groups was 68,138 or approximately 32 percent of the total. THE NUTRITION PROGRAM OBJECTIVES FOR FY 1975 We have not projected an increase in the total funds to be requested by the Administration for the nutrition program in fiscal year 1975, since State administrative costs which had been allowable charges to title VII were transferred to title III State agency activities at the beginning of the fiscal year, as called for in the Older Americans Act Amendments of 1973. Funds which were used for one-time startup costs in 1974 will be available to the States in fiscal year 1975 to offset the increasing costs of delivering meals. A major objective of this program in fiscal year 1975 will be to improve the capacity of the States to meet the nutritional and related social service needs of the elderly through the utilization of resources such as the Food and Nutrition Service of the Department of Agriculture and the social service titles of the Social Security Act. An interdepartmental task force on nutrition, which has been established within the framework of the Cabinet-level Committee on Aging, will assist the Administration on Aging in developing a plan of action to contribute to the achievement of this objective. In addition, the Administration on Aging is developing guidelines for the State agencies on aging in order to help them take the lead in coordinating the title VII nutrition projects with other Federal and State resources that can be utilized to meet the nutritional needs of older persons. We look forward to building on past accomplishments and future objectives to continue implementing a program which is capable of replacing despair with hope in the lives of many older Americans. YOUTH DEVELOPMENT On September 7, 1974, the Juvenile Justice and Delinquency Prevention Act, Public Law 93-415, was signed into law. Title IV of this act provides for a 1-year extension of the Juvenile Delinquency Prevention Act administered by the Office of Youth Development within the Department of Health, Education, and Welfare. YOUTH DEVELOPMENT OBJECTIVES FOR 1975 The Office of Youth Development will carry out the congressional mandate to phase out its youth service systems activity in fiscal year 1975 and turn its attention to the development of programs which will enhance the positive development of youth throughout the Nation. A major element of this effort will be the implementation of a nationwide program of shelter care and supportive services for runaway youth. This will be supported by a modest R. & D. effort to explore those factors contributing to the runaway problem. YOUTH SERVICE SYSTEMS Let me describe this program in more detail. We are requesting $5 million to phase out the programs which were conducted under the expiring Juvenile Delinquency Prevention Act and their support services. There are approximately 47 youth service systems requiring a final year of continuation support. This additional year of support will allow those grantees an orderly phaseout of Federal support. RUNAWAY YOUTH The Office of Youth Development will devote the major part of its effort to the highly critical problem area of runaway youth. It is estimated that $5 million will be required to launch a program to impact upon runaway youth problems. This activity will include funds for runaway shelters and related services. The comprehensive statistical survey mandated in section 321 will be undertaken as a part of this effort. Also included will be the training of personnel to furnish counseling services both to the youth and their families and technical assistance to States and local communities, public and private organizations concerned with the runaway problem. RESEARCH AND DEMONSTRATION Essential to the entire effort is the amount of $2 million for research and demonstration. Areas to be studied include research into the causes of the runaway problem and the most effective approaches for resolving individual and family crises associated with the identification and dissemination of effective models for youth participation in programs which affect their lives, research regarding the relation of "prolonged adolescence" to youth alienation, demonstrations related to alternative arrangements for dealing with status offenses, and demonstration and evaluation of models designed to affect changes in institutions serving youth at risk. The total amount requested for 1975 for these three major thrusts in the area of youth development is $12 million. That completes my opening statement. I welcome any questions you may have. NUTRITION BUDGET PROPOSED Senator MONTOYA. The budget proposal indicates that an amendment of $199 million was obligated in fiscal year 1974 for nutrition programs for the elderly, yet the budget proposes an appropriation of only $99.6 million for fiscal year 1975 or a decrease of $100 million. What impact will this $100 million cut have on the ability of the department to provide hot nutritious meals to the elderly? Mr. THOMAS. To answer the latter part of your question, there will be no impact on the department's ability to provide the number of meals it had been providing in fiscal 1974 because $100 million of the resources we utilized in fiscal 1974 was a result of the Congress permitting us to have extended authority for the allocation of that $100 million from the 1973 supplemental appropriation which was made available on the last day of the fiscal year. In effect we could only begin spending that $100 million in 1974. We obligated the 1974 appro priation in the last quarter of 1974, therefore we have maintained an annualized level of $100 million. Mr. MONTOYA. Let's start then with the beginning. That was 1973? OBLIGATION, 1974 Mr. THOMAS. On July 1, 1973, we were given authority by the Congress to utilize $100 million for the nutrition program through December 31, 1973. That was from the 1973 supplemental appropriation. We obligated those resources. Mr. MONTOYA. Are you talking about July 1, 1973. Mг. THOMAS. That is right. We spent no money in fiscal 1973. Mr. THOMAS. Not on that program. Mr. MONTOYA. You were given $100 million in fiscal 1973,? Mr. THOMAS. At the very end of fiscal 1973, I think it was in the final day of the fiscal year, we were given authorization to begin to spend those resources in fiscal 1974 with extended authority through December 31, so the first opportunity we had to obligate money in the nutriprogram was on July 1, 1973. tion Senator MONTOYA. That is beginning of the fiscal 1974 year? Senator MONTOYA. $100 million. Mr. THOMAS. That is right. 1975 BUDGET REQUEST Senator MONTOYA. And up to July 1, 1974, which was the beginning of the fiscal year 1975, how much had you spent? Mr. THOMAS. Up until July 1, 1974, Mr. Chairman, we had spent $100 million. We then were able to obligate the fiscal year 1974 resources for use in fiscal year 1975. Senator MONTOYA. To what extent? Mr. THOMAS. We obligated all of it. Mr. FORBUSH. It was allocated to the States for use in fiscal year 1975. Senator MONTOYA. $99.6 million. Mr. THOMAS. That is right. Senator MONTOYA. 99.6 is what you have obligated for fiscal 1975? Mr. THOMAS. That is right. Senator MONTOYA. You are now asking for another $99,600,000? Mr. THOMAS. That is right. Senator MONTOYA. Would you spend the $99,600,000 that you are asking for now during the current fiscal year, or will there be a carryover? Mr. THOMAS. No; we won't expend what we are asking for now. We will be spending it in fiscal 1976. Senator MONTOYA. I said spend. Mr. THOMAS. We will spend the $99,600,000 in fiscal 1976. We will obligate it in fiscal 1975. Senator MONTOYA. Lets distinguish between the two. Now will you obligate it and will you expend it? Mr. THOMAS. We will obligate it. We will expend it but the States will not spend it until fiscal year 1976. |