(1) The area agency shall require each service provider under the area plan to:

(a) give each older person who receives a service information about the cost of the service;

(b) give each older person an opportunity to contribute to part or all of the cost of the service;

(c) inform each older person that he may decide freely whether or not to contribute and how much;

(d) protect the privacy of each older person with respect to his contribution;

(e) have procedures to safeguard and account for all contributions;

(f) use all contributions to expand the services of the provider under the act; and

(g) use all contributions for nutrition services to increase the number of meals served.

(2) The area agency shall permit each service provider to develop a contribution schedule for services based on:

(a) the income ranges of older persons in the community; and

(b) the provider's other sources of income.

(3) The area agency may not allow any service provider to deny an older person a service because the older person would not contribute for the service.