CareTrust REIT (NYSE: CTRE) executives said Thursday that they have no plans to slow down dealmaking in 2025, noting that the fundamentals for skilled nursing remain strong. They anticipate no major disruptions from potential Medicaid or Medicare changes under the new administration, high interest rates, and exposure to PACS Group (NYSE: PACS) holdings. “Financial markets, […]
Category: Medicaid
Nursing home leaders are hoping that the Department of Health and Human Services’ (HHS) new chief, Robert F. Kennedy Jr., who was sworn in on Thursday, will commit to protecting Medicare and Medicaid and undoing the federal staffing mandate. Republican lawmakers are pushing for potential Medicaid cuts in their spending bill due to be finalized […]
As Republican lawmakers’ push for potential Medicaid cuts have gained more attention in recent weeks, claims that older adults, including those in nursing homes, will likely be insulated from the financial fallout have also surfaced. However, experts are now suggesting that this may not be the case after all. Executives in the skilled nursing sector […]
Some nursing homes in New York may be forced to close their doors without an increase in Medicaid funding, a dire warning as the state legislature starts its budget hearings. Elemental Management Group, which owns and operates eight nursing homes in Upstate New York, is losing about $2 million annually as costs rise and operators […]
Days after the Trump administration issued an executive order to freeze federal aid, it has been rescinded. The order affected Medicaid funding, with at least 20 states on Tuesday unable to draw funds. More than six out of 10 nursing home residents rely on Medicaid to cover their daily care; it’s a critical safety net […]
During a heated first confirmation hearing on Wednesday, Robert F. Kennedy Jr. raised concerns over the practicality of the nursing home staffing mandate, acknowledging the risks it poses to access of care, especially in rural communities. He also shared his vision for lowering overall health care costs. Kennedy is seeking to lead the $1.7 trillion […]
Potential Medicaid cuts under President Donald Trump, amounting to more than $2.3 trillion over the span of a decade, are likely amid Republican leadership’s reluctance to trim Medicare and Social Security, with the nursing home sector expected to face deep impacts. In total, House Republicans are exploring over $5 trillion in potential cuts to offset […]
Nursing home residents that receive Medicaid benefits may be affected by a change in federal poverty level standards, which are applied to eligibility requirements. To match inflationary costs, the Centers for Medicare & Medicaid Services (CMS) on Friday announced a 2.9% increase in price between 2023 and 2024. With the exception of Alaska and Hawaii, […]
Ninety-two nursing homes have filed a federal lawsuit against the New York State Department of Health (DOH), as the agency approved no reimbursement for older facilities needing capital improvements in 2025. This is an addendum to the state’s 10% reduction for the industry approved in April. The cost-cutting amendment adopted by the state DOH and […]
Construction lending in the nursing home sector remained “virtually nonexistent” with no activity in the first half of the year among lenders, highlighting a continued lack of momentum in this area. A high cost of borrowing and uncertainties around operational challenges further constrain new development, according to a report recently published by the National Investment […]
For-profit nursing home South Jersey Extended Care (SJEC), has been removed from the Medicaid program, after a trio of owners were found to have defrauded the state program out of millions of dollars. All the while, patient care deteriorated and the facility had a one-star rating for a number of years. SJEC demonstrated a pattern […]
Rick Matros, CEO of Sabra Healthcare REIT (Nasdaq: SBRA), has seen financing come back in a much bigger way for senior housing, compared to nursing homes. Lenders are a lot more selective, and facilities are still recovering from the pandemic years. In terms of the types of financing, particularly with the U.S. Department of Housing […]
Medicaid payment rates are insufficient to cover the costs of care, according to a new study that highlights the growing financial challenges faced by nursing homes serving Medicaid residents. The research, conducted by the LeadingAge LTSS Center at the University of Massachusetts Boston and Miami University, reveals a widening gap between Medicaid reimbursement rates and […]
New York nursing home operator Centers Health Care must pay $45 million to settle civil charges related to Medicaid fraud, patient neglect and mistreatment. The office of New York Attorney General Letitia James filed a civil lawsuit against owners Kenneth Rozenberg and Daryl Hagler in 2023 alleging fraud and neglect incidents across several facilities, and […]
A new study on Medicaid payment rates from 44 states shows Medicaid payment rates among nursing homes on average don’t adequately cover today’s costs. Meanwhile, higher staffing levels often correlate with lower Medicaid payment-to-cost ratios. And, nonprofits appear to have the lowest payment-to-cost ratio for Medicaid. Medicaid rates only covered bout 82 cents per every […]
Multiple states have been working toward a transition to managed Medicaid from the traditional state-run program, but there have been concerns about reimbursement timing and insufficient payment amounts due to the change. And that’s just the first layer of challenges. Payment portals unique to each managed Medicaid contractor is another hurdle to overcome, in addition […]
More state grant funds are being distributed to nursing homes in Minnesota, as part of a $173.5 million initiative. In 2023, Minnesota Governor Tim Walz, who is also the Democratic vice presidential nominee, and the state legislature, signed off on a $300 million bipartisan package to address the crisis facing nursing homes across the state. […]
As the Medicaid payment system transitions across states from RUGS to the Patient-Driven Payment Model (PDPM), nursing home operators must be wary of misconceptions – including that the transitions will always lead to additional Medicaid funds being available – while putting in place the right practices to ensure appropriate payments. The complexities of Medicaid transitions […]
Delivering care to dual eligible nursing home residents can be complex with so many payers involved in the industry, but aligning incentives, quality measures and tools for providers can help operators serve this demographic. Dual eligible residents, or those that can receive benefits from both Medicare and Medicaid, often find themselves in a “tangled web […]
Oklahoma on Monday approved a nearly $29 million Medicaid funding increase for nursing homes attracting additional federal dollars to improve provider rates. It’s unclear if the rate increase would be enough to meet the upcoming federal minimum staffing standard. The Oklahoma Health Care Authority Board (OHCA) approved the increase after the 2024 legislature called on […]