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Pennsylvania House of Representatives
https://www.legis.state.pa.us/cfdocs/Legis/CSM/showMemoPublic.cfm?chamber=H&SPick=20170&cosponId=25968
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House of Representatives
Session of 2017 - 2018 Regular Session

MEMORANDUM

Posted: June 5, 2018 01:38 PM
From: Representative Thomas R. Caltagirone
To: All House members
Subject: Providing County Run Nursing Homes Annual Medicaid Reimbursement Increases Equal to the Medical Care Inflation Rate
 
Soon I will be introducing legislation to address a critical need within the Commonwealth. I have learned that we are jeopardizing long term care options for our aging poor population because we are not adequately reimbursing our county run nursing facilities. These county run facilities set aside a majority of their beds for Medicaid patients, many provide services not offer elsewhere like Alzheimer care and often times are the only option for poor seniors and their families.

Under my legislation county owned nursing homes will receive an annual Medical Assistance bed rate increase equal to the Medical Care Inflation rate, as measured by the Federal Bureau of Labor and Statistics for all urban cities on an unadjusted basis. The inflation rate will be measured as of June of each year for the trailing 12 months. This incremental amount will be funded exclusively by state funds, without federal FMAP participation, and shall be in addition to the IGT program dollars for FY 2018-2019 for all county owned nursing homes.

The trend is for counties to sell nursing homes to avoid tax increases to make up for the lack of adequate state reimbursements for the quality care being provided at these facilities. At its peak, as many as 50 Pennsylvania counties operated nursing facilities. Today there are only about 20 remaining. If all county owned facilities shutter the Commonwealth will experience a loss of at least $28 million in federal dollars and create a hole in the Pennsylvania budget.

I believe our seniors and county run nursing facilities are worth our investment. Please join me and co-sponsor this legislation.