If Gov. Ted Kulongoski's proposed budget passes as released on Dec. 2, Oregon seniors and people with disabilities will face cuts in services.

The governor is proposing to raise the income standard by which the state qualifies individuals for Medicaid and to eliminate in-home care for many.

Seniors and people with disabilities who receive 20 hours or less of in-home care would bear the brunt of the cuts under the governor's plan.

About 5,400 Oregonians receive in-home help with dressing, eating and other services that let them continue living in their own homes, said Scott Bond, director of Senior and Disability Services for the Cascade West Council of Governments, which serves Linn, Benton and Lincoln counties.

In the three counties, between 300 and 500 people could lose at-home care and other services, Bond said. Lebanon has the highest percent of adults age 65 or older in Linn County: 18 percent according to 2000 U.S. Census data. The number is expected to grow to 21 percent by 2015.

"Schools and corrections are pretty well isolated from cuts. Investments in green technology are the governor's priority," Bond said. "Seniors and people with disabilities were chosen to be the sacrificial folks."

In-home caregivers contract with the state for about $10 an hour. Federal funds pay for about 60 percent of services the state provides to seniors and people with disabilities. Bond believes that without care, many of those now receiving care will get sicker and eventually need 40 to 50 hours of services a week. Or worse, have no choice but to move into an assisted living facility, which can cost around $7,000 a month with Oregon taxpayers' share being $2,800.

"People receiving less expensive care are more expendable in the eyes of policy makers," Bond said.

Like many states, Oregon uses 300 percent of the Supplemental Security Income (about $650 a month) as the basis for Medicaid eligibility. To reduce the number of people eligible for care, the governor wants to apply for a federal waiver to reduce the eligibility threshold to 200 percent of SSI. If Oregon does receive a waiver to lower the SSI threshold, anyone receiving a combined income of more than $1,500 a month would not be eligible for Medicaid coverage.

As part of the waiver process, the state plans to ask for approval to grandfather individuals currently receiving Medicaid but with an income of over $1,500, so they don't lose their Medicaid benefits.

What happens to those living in care facilities currently paid for by Medicaid but with a retirement income over 200 percent of SSI is uncertain if they are not grandfathered into the program, Bond said.

The loss of Medicaid would also mean losing eligibility for senior meal programs and dental and health benefits under the Oregon Healthcare Plan.

"We're asking older adults and people with disabilities to figure out how to make it on their own," Bond said.

If the May revenue forecast is as bad as some fear, Bond believes there may be even more pressure to cut social services.

"It's going to pose some very tough policy questions for legislators."

The Oregon Legislature session starts Jan. 12.