Hartford Business Journal Special Editions

24 Hartford Business Journal • March 26, 2018 • www.HartfordBusiness.com GREATER HARTFORD HEALTH • Spring 2018 Senior Living Billed as a cheaper senior-care option, 'granny pods' see sluggish CT rollout \\ By Matt Pilon A n estimated 459,000 family members in Connecticut are providing millions of hours of care to adult loved ones every year, according to AARP's Public Policy Institute. Weighing that, Connecticut's aging population and the high costs of long-term care, the state legislature last year created a potentially cheaper option for families that want to keep an elderly or disabled loved one at home as long as possible. e new law allows for temporary healthcare structures, known colloquially as "granny pods," to be built in single- family neighborhoods. Granny pods are small, portable, standalone, prefabricated homes that connect to sewer and water services. e idea is to provide an alternative for property owners who don't have space for a parent, or who can't afford to build an addition or in-law apartment or pay for assisted-living or nursing-home care. "e concept is innovative and recognizes the strong preference seniors have to live in their own home and community as long as possible," Tia Murphy, an AARP volunteer, told lawmakers last year. "e healthcare structures have the added benefit of not just providing proximity to family caregiver support and assistance, but also a degree of privacy, independence and autonomy for the individual needing care." e potential granny pod market is big in Connecticut, with nearly 1 million people projected to be age 60 or older by 2030, according to the U.S. Census Bureau, up from about 600,000 at the turn of the century. In addition, there's a greater focus in the state to keep aging residents in their own homes, as a way to reduce healthcare costs and improve quality of life. But don't look for a granny-pod explosion anytime soon, experts say. ere doesn't appear to be much demand, at least right now. Hartford Business Journal queried Hartford County's 29 cities and towns, receiving answers from 18 municipalities. None had received any granny-pod applications since the law passed last summer. In addition, many local governments have seized on an opt- out provision in the law, which means anyone who applies for a granny-pod building permit will face existing, oen stricter local zoning statutes. Of the 18 municipalities that responded to HBJ's survey, 12 opted out or are in the process of doing so. e others said they're looking to see what nearby towns do, or that the opt-out has led to a discussion about updating local zoning rules to better accommodate families with elderly parents. In addition, some officials said there are onerous requirements in the new law that may further slow activity. e law, for example, allows cities and towns to require applicants to post a performance bond of up to $50,000. Another potential headache for municipalities is that the law requires an applicant to provide a doctor's note justifying the medical need to have the dwelling installed. Sparking a conversation John Guszkowski, director of planning and development at CME Engineering in Mansfield, served on a state taskforce that studied granny pods leading up to the passage of the law last year. Guszkowski said it's "not at all surprising" that towns have opted out of the new law and that there's been a lack of overall demand from property owners. "ere won't be a tidal wave of applications," he said. "is wasn't 250 constituents begging, it was about expanding available options." at could change over time, as the population ages and Connecticut's long-term care costs — already among the highest in the nation — potentially increase. Guszkowski said the new law is at the very least forcing dialogue at the local level about elderly living options. P H O T O \ \ C O N T R I B U T E D Nursing Home Costs in CT (2016) Average Daily Rate: $414 Average Annual Rate: $151,200 Change from previous year (2015): 1.8% Annual % change over past five years: 2.4% Avg. annual inflation rate (1988 – 2015): 5.1% Source: Connecticut Partnership for Long-Term Care A "granny pod" built by New York-based Echo Cottages. This home was sold to a Delaware customer, but Echo is hoping to make inroads in Connecticut.

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