The Senior Care Policy Briefing covers important long-term care issues by highlighting policy updates, news reports, and academic research.

Read the full Senior Care Policy Briefing below or download here.

October 15, 2024.

NEWSFLASH

  • Twenty state attorneys general, led by Iowa’s Brenna Bird, have filed a lawsuit against the Centers for Medicare & Medicaid Services (CMS) to challenge the new federal safe staffing requirement. The lawsuit, joined by 19 LeadingAge affiliates, argues that the rule is an “unfunded mandate that many LTC facilities will have no realistic way to meet.” This lawsuit is the latest challenge to the rule, with another similar case already underway in Texas.
    • The lawsuit fails to mention that the new federal requirement is well below the minimum staffing needed to meet residents’ basic needs, as identified in a 2001 landmark study. What kind of care is being provided by facilities with such low staffing? Why are these attorneys general defending the indefensible?
  • Vice President Kamala Harris introduced a new “Medicare at Home” proposal this week that aims to allow Medicare to cover in-home care for seniors and individuals with disabilities. This would be a significant shift from longstanding federal policy in which Medicare does not cover long-term care services.
    • Key elements of the proposal include Medicare partnerships with the private sector for workforce expansion and technology integration, with funding sourced from savings on Medicare pharmaceutical purchases.

LTC BY THE NUMBERS

  • CareTrust, a real estate investment trust (REIT) which owns 285 facilities, has expanded its holdings with the acquisition of a four-facility, 396-bed skilled nursing portfolio in the Mid-Atlantic.
    • The continued expansion of investment by REITs and other sophisticated investors in nursing homes underscores the significant profits that operators are making, too often by putting residents at risk.
    • Last year CareTrust purchased AdventHealth Care Center Burleson in TX. The facility now operating at that address, Park Bend Rehabilitation and Healthcare Center, has the lowest possible ratings for health inspection and staffing.

RESIDENT FEES GO UP WHILE STAFFING COSTS GO DOWN

  • Sonida Senior Living reported a significant increase in resident fees, with a 2.7% rise from the first quarter and a 9.4% increase compared to the same period in 2023.
    • Additionally, care fees rose by 5.4% due to a new memory care pricing structure.
    • Meanwhile, Sonida managed to lower labor costs by 320 basis points compared to last year, further reducing overall expenses by 140 basis points.

FALLS CLAIMS DOMINATE, BUT WOUND CLAIMS ARE GROWING

A new report highlights that resident falls remain the leading cause of insurance losses for senior living providers, but claims related to wound care are on the rise. The report reveals that the average cost per claim for falls is projected at $207,683.