Text of a Congressional hearing examining present and future policies on providing home health care for the aged is presented in this document. In his opening remarks, Representative Biaggi discusses the unhealthy and unacceptable reliance on institutional care and the disproportionate amount of resources Medicare and Medicaid spend on nursing home services. Representative Manton also testifies. Expert testimony is provided by these witnesses: (1) Barry Freedman, senior vice president, Mount Sinai Medical Center; (2) Andrew Stein, borough president of Manhattan; (3) Robert N. Butler, Brookdale Professor of Geriatrics and Adult Development and chairman, Gerald and May Ellen Ritter, Department of Geriatrics and Adult Development, Mount Sinai Medical Center; (4) Roberta R. Spohn, deputy commissioner, New York City Department for the Aging; (5) Robert O'Connell, deputy director, program development and evaluation, New York State Office for the Aging; (6) Mary Lou Carraher, Visiting Nurse Association of New York; (7) Charles Trent, executive director, East Harlem Committee on Aging, New York City; (8) Betsy Tuft, assistant director, Project LIFE; (9) three of Project LIFE's clients; and (10) Joan Marren, director of home care, Mount Sinai Hospital. (ABL)