03.13.02
Cowan focuses on council of aging finances
Newport News Times
Lincoln County Commissioner Jean Cowan attended this week’s board meeting of the Lincoln Council on Aging (LCOA) and directed her questions to issues of the council’s financial structure.
“I’m trying to understand the fiscal picture here, in more detail. What does it mean if Samaritan Health Systems would sponsor the Senior Companions program? What effect on the finances would it have?”
LCOA board chairman Frank Armstrong replied that “if Samaritan applies to sponsor the Senior Companions, and if it is accepted by the Corporation for National Service, then Samaritan would become responsible for the Senior Companions program…the space, phones, accounting and other things a sponsor is supposed to do.” That corporation helps finance and oversees the LCOA sponsored programs - Senior Companions, and Retired Senior and Volunteer Program.
“So, from your financial statement,” Cowan continued, ” Samaritan would become responsible for space, phones, accounting, but the $84,000 from the Corporation for National Service, and the money from the county and the cities, and the rest of the $177,000 total - would that still come into Senior Companions?”
Armstrong said it would.
“The National Service funds to Senior Companions and RSVP,” Cowan asked, “what would happen to that if one program is sponsored by Samaritan, (and) one still with LCOA?”
The funds, board member Helen Cleveland said, “would still come directly to the programs.”
“That’s typical around the state,” added Armstrong.
“Most sponsors sponsor one program,” said Marcie Parrish, director of the Senior Companions. Usually, she said, health-related programs like Senior Companions are sponsored by a health care organization. “It’s hard to get some grants,” she added, “because of being sponsored by the Council on Aging, which does not have large resources like a hospital or college.” She said she receives $84,000 in federal monies.
LCOA Board member Peggy Rariden asked why Senior Companions needed “nearly $200,000 for volunteers.” The current year budget is about $170,000; the previous year, it was about $190,000.
“I pay stipends,” replied Parrish, “and the feds just raised it by 10 cents. It may not seem like a lot, but it is when you add in stipends, meals (and several other expenses).”
“Senior Companions serves the elderly fragile,” added Cleveland, adding that most volunteers with RSVP don’t face the difficulties that involves, leading to a larger stipend to its volunteers than RSVP has for its.
LCOA board member Cynda Bruce asked how many volunteer companions Senior Companions now has. Susie McGregor, also a board member, replied there are 43 in Lincoln, Linn and Benton counties, of which 33 are in this county.
As of February, Parrish reported, there are 43 Companions, and 42 were actively providing services to 377 clients, involving 16,005 miles traveled by the companions.
They have separate budgets, said Parrish, “But basically it’s the same program. The money raised in Lincoln County stays in Lincoln County.”
Newport Police Chief Terry La Liberte, also an LCOA board member, asked, “Is LCOA trying to get rid of Senior Companions, or is Senior Companions trying to get rid of LCOA?”
“Senior Companions is looking for a sponsor with the resources to support it,” said Armstrong.
Cynda Bruce asked why the current split of funds received is 40 percent to Senior Companions, and 30 percent each to LCOA and to RSVP. “That isn’t equitable,” she said.
LCOA bookkeeper Elaine Lowe said that the split had been decided on in 1988 by the LCOA board. It was based, said Cleveland, mainly on the different costs the different groups experience. Senior Companions, agreed Parish, faces the largest costs.
Armstrong asked the board for permission to form a committee to look at the formula, and the board agreed. He appointed Bruce to chair it, and asked RSVP and Senior Companions to each select one representative to the new committee.
Commissioner Cowan turned to the end-of-year projections for the council. “At the end of this fiscal year,” she said, “from the financial statements, it appears LCOA has enough revenue in to cover your budgeted personnel expenses and operating expenses to date. And it appears that at the end of this fiscal year, LCOA is solvent. Is that correct?”
“It’s close,” said Lowe, “not by much.”
“But not with a loss,” asked Cowan. Lowe agreed.
Cowan then focused on the flu shots numbers. She said the budget had projected taking in $55,000 in revenues, and the expenses for it, including buying the vaccines, were $33,000. “You expected a profit of $21,500,” she said, “but in the actual numbers, you made about $9,000.”
The figures, agreed Lowe, showed a shortfall against the projected revenues, though not an actual loss from the flu shots program.
