Provides that when an area agency on aging has failed to comply with the terms of a contract which governs the use of funds provided under that contract, the secretary of the Unites States department of health and human services may take certain corrective actions to address the situation.

Provides that area agencies on aging may provide directly, or through contract, any or all services authorized under the Senior Citizens Services Act and the Older Americans Act to eligible individuals.

Provides that the secretary may designate a single purpose or multipurpose agency to serve as an area agency on aging. In designating or dedesignating an area agency on aging, the secretary shall not discriminate between a public agency and a private nonprofit agency.