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Pilot Program in Arizona Helps With Caregiver Costs

A handful of other states also test ways to aid with families' expenses

Miriam Davidson

En español

Published January 07, 2020

David and Fran Buss at home on Sept. 24, 2019 in Tucson, Ariz.

David and Fran Buss are making modifications to their Tucson home to make it easier to navigate safely so they can continue to live independently in the house they love as they get older.

Caitlin O'Hara

At the start of 2020, Arizona began a pilot program to reimburse caregivers up to $1,000 for housing improvements such as ramps and grab bars or assistive technology like hearing aids or medical alert devices to help their loved ones age in place.

Lawmakers have allocated $1 million over two years for the Arizona Family Caregiver Reimbursement Program, and are limiting it to participants with incomes up to $75,000 for individuals and $150,000 for couples.

Arizona's new program is among only a few nationwide to help with caregiver costs, according to Boston College's Center for Retirement Research.

"The costs associated with caregiving are high, and the resources can be hard to find,” says Dana Kennedy, AARP Arizona state director.

50 percent reimbursement rate

Steps to qualify

Arizonans can receive up to $1,000 in reimbursements for expenses that qualify.

1. Call the state's Caregiver Resource Line at 888-737-7494.

2. Answer questions from the screening specialist who answers the phone. The specialist makes an initial determination on whether a person qualifies for the program.

3. Fill out and submit a copy of the application that will be sent via mail or email as well as a medical need verification form and a Form W-9 for tax purposes.

4. Wait about 90 days for officials to review the documents. They will notify the applicant about the next steps.

The money allocated to the Family Caregiver Reimbursement Program is not a lot in a state with an estimated 870,000 family caregivers, almost 1 in every 8 residents. Its 50 percent reimbursement of expenses up to the $1,000 maximum for each family member who qualifies should help at least 1,000 families caring for a disabled adult who needs help with at least one activity of daily living such as bathing, being mobile, dressing, eating, moving from a bed to a chair or using the toilet.

The money can't be used for daily living costs, regular household repairs and upkeep, or expenses that insurance or other sources will reimburse. The renovations or equipment must be started or bought after Jan. 1, and the grants will be awarded to those who qualify on a first-come, first-served basis.

After two years, the trial project will be evaluated to determine if it should continue. The Arizona Department of Economic Security's Aging and Adult Services division is overseeing the program.

In the long run, the modest grants save the state money by keeping people safe at home longer, thereby delaying or preventing the need for more expensive care in taxpayer-funded institutions such as nursing homes, supporters say.

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"We will collect data on the initial use, and if it proves to be as successful as we expect, I would like to expand the program,” says state Sen. Heather Carter, a Phoenix Republican who cosponsored the bill.

Fran and David Buss have lived in their home in the desert foothills of Tucson for more than 32 years and hope never to leave. But they need to add two ramps to their single-story house so 77-year-old Fran Buss, who is partially disabled and has grown more frail, can navigate the step up to the front door and the step down to the study more easily, says David Buss, 72, a retired chaplain and his wife's caregiver.

"Fran uses a walker and manages pretty well, but it's probably not safe to have even one little step,” he says.

Hope was for Arizona tax credit

Advocates, including AARP, had backed a proposal for a state caregiver tax credit similar to New Jersey's Wounded Warrior Caregivers Credit, says Kennedy of AARP. A tax credit is an amount that can be taken directly off a tax bill; some tax credits allow residents to get a refund if their incomes are too low for them to owe taxes.

But those advocates supported the change to a caregiver grant program because they think it will reach more people in need of help, Kennedy says. If the pilot program reimburses a beneficiary $600 or more, the state considers the money taxable income.

Nationally, family caregivers spend an average of nearly $7,000 a year on related expenses, according to an AARP report. The cost rises to about $12,000 when the caregiver has to travel to help family members.

Arizona officials are working with nonprofits that have similar housing-improvement programs on options for those who can't afford the up-front costs of home modifications, Kennedy says.

Contributing: Linda Dono, AARP. Miriam Davidson is a writer living in Tucson, Arizona. This story, which originally appeared in some October 2019 editions of the AARP Bulletin, has been updated to reflect the start of Arizona's program and information about other states’ programs.