Guaranteed disposable income for seniors in continuing care to increase

Starting on July 1 and over each of the next two years, maximum accommodation charges for long-term care and designated supportive living residences will rise by three per cent, or the annual increase in the Alberta Consumer Price Index (CPI), whichever is higher.

Beginning on July 1, 2017, annual accommodation charge adjustments will be based solely on inflation as reflected by Alberta’s CPI.

Increases to the accommodation charges will apply only to continuing care centres. Seniors lodges will continue to determine their own charge structure.

In conjunction with charge increases, the Alberta government is also increasing accommodation-related financial supports for designated supportive living and long-term care residents who are clients of the Alberta Seniors Benefit program effective July 1. Guaranteed disposable income for residents of these facilities will include an additional $50 a month up to $315, which ranks Alberta’s monthly allowance among the highest in Canada.

Residents of seniors lodges will see identical increases to disposable income under the Alberta Housing Act.

“Introducing predictable accommodation charge adjustments means that residents, families will be able to plan ahead for future needs and care providers will be able to keep pace with inflation. As these changes come into effect, the Alberta government will continue to support residents by providing a higher level of guaranteed disposable income.”

“We are committed to providing our seniors with safe, affordable housing and ensuring they have the best quality of life possible. The increase in guaranteed disposable income for lodge residents ensures these seniors, regardless of whether they live in lodges, long-term care or designated supportive living, have more spending money for their daily needs.”

Accommodation charges cover a resident’s room and board, including housekeeping services, utilities and routine building maintenance. Government will continue to provide health care funding, while the costs of accommodation will remain the responsibility of residents.

Under the Building Alberta Plan, our government is investing in families and communities, living within our means, and opening new markets for Alberta's resources to ensure we're able to fund the services Albertans told us matter most to them. We will continue to deliver the responsible change Albertans voted for.

 

Backgrounder

Yearly accommodation charge adjustments and financial supports

Continuing care facts

• Alberta’s continuing care system includes long-term care, supportive living (group homes, seniors lodges, private assisted living and designated supportive living), home care, palliative and hospice care.
• There are about 22,500 Albertans in publicly funded designated supportive living and long-term care residences.
• There are 173 publicly funded long-term care facilities and 158 settings that include designated supportive living units.
• About 11,000 low-income seniors in long-term care and designated supportive living receive accommodation-related financial supports; about 2,000 of these seniors receive the maximum support available ($600 as of July 1, 2014).

Accommodation charges

Current maximum charges:

Room Type	Daily	Average Monthly
Private room	$58.70	$1,785
Semi-private	$50.80	$1,545
Standard	$48.15	$1,465

Charges as of July 1, 2014 (based on three per cent):

Room Type	Daily	Adjustment	Avg. Monthly	Adjustment
Private room	$60.45	$1.75/day	$1,839	$54/mo.
Semi-private	$52.30	$1.50/day	$1,591	$46/mo.
Standard	$49.60	$1.45/day	$1,509	$44/mo.

Charges as of July 1, 2015 (based on three per cent):

Room Type	Daily	Adjustment	Avg. Monthly	Adjustment
Private room	$62.25	$1.80/day	$1,893	$54/mo.
Semi-private	$53.85	$1.55/day	$1,638	$47/mo.
Standard	$51.10	$1.50/day	$1,554	$45/mo.

Charges as of July 1, 2016 (based on three per cent):

Room Type	Daily	Adjustment	Avg. Monthly	Adjustment
Private room	$64.10	$1.85/day	$1,950	$57/mo.
Semi-private	$55.45	$1.60/day	$1,687	$49/mo.
Standard	$52.65	$1.55/day	$1,601	$47/mo.

How Alberta measures up

	Long-term care rates as of April 1, 2014	Monthly comfort allowance
Alberta (as of July 1, 2014)	$1,509 - $1,839	$315
British Columbia	$971 - $3,093	$325
Saskatchewan	$1,035 - $1,970	$286
Manitoba	$1,031 - $2,409	$300
Ontario	$1,707 - $2,362	$134
Quebec	$1,093 - $1,758	$197
P.E.I.	$2,360	$103
N.L.	$2,800	$150
New Brunswick	$3,437	$108
Nova Scotia	$3,163	$254

Consumer Price Index: Canada and Alberta 2009-13

	Canada  All-items CPI	Alberta All-items CPI
2009	0.3	-0.1
2010	1.8	1
2011	2.9	2.4
2012	1.5	1.1
2013	0.9	1.4
Source: Statistics Canada. Table 326-0021 - Consumer Price Index (CPI), 2011 basket (Percentage Change (year-to-year)), annual (2002=100 unless otherwise noted)

Alberta Seniors Benefit (ASB)

• There are about 10,800 ASB clients who live in publicly funded designated supportive living or long-term care facilities.
• With projected increases in Alberta’s seniors’ population, and based on the three per cent annual increase, benefits under the ASB program are expected to increase as follows:

	July 1, 2014 to June 30, 2015	2015-16	2016-17
Estimated number of eligible low-income seniors in long-term care or designated supportive living	11,400	11,900	12,400
Estimated benefit increases to offset adjustments to accommodation charges for eligible low-income seniors (cumulative).	$9,000,000	$18,310,000	$28,070,000
Estimated costs of increasing total monthly disposable income for eligible low-income seniors (cumulative).	$7,000,000	$14,700,000	$22,700,000
Total increases to ASB benefits (including offset and additional disposable income) (cumulative).	$16,000,000	$33,010,000	$50,770,000