July 31, 2024 Washington, DC – A statement from Katie Smith Sloan, president and CEO, LeadingAge, the association of nonprofit providers of aging services, including nursing homes, on the Centers for Medicare and Medicaid Services (CMS) release of the Skilled Nursing Facility Prospective Payment System Final Rule for FY2025:
“Now more than ever, as America’s population ages and demand for care and services is growing, nursing homes, which provide 24/7 care in a setting unlike any other in health care, are a critical element in our country’s long-term care continuum. Funding goes hand-in-hand with quality care. Given the operational challenges that our mission-driven and nonprofit provider members navigate—including a very competitive labor market—today’s announced increase of 4.2% from CMS is insufficient.
“Furthermore, we’re disappointed that CMS is moving forward with the expansion of civil monetary penalties (CMP) capabilities as proposed. While we agree that deficient practices must be corrected to ensure the safety and wellbeing of residents, CMS continually chooses to take oversight responsibility only to the point of punishment and persists in prohibiting surveyors from offering immediate guidance to correct deficient practice when it is identified. By expanding this punitive enforcement authority, CMS and the Administration propagate a mistaken belief that financial penalties are an effective means of quality improvement. LeadingAge and our nonprofit, mission-driven members share the Biden administration’s goal of ensuring that America’s older adults and families receive quality nursing home care. We urge them to refocus and to take steps to actively engage in quality improvement in a productive way, choosing the carrot instead of a larger, stronger stick.
“We must not ignore the impact of the finalized nursing home staffing rule. There is no issue more pressing for nursing homes than the workforce crisis—and that’s having a direct impact on older adults and families that need care. The final staffing rule threatens to further exacerbate existing older adults and families’ existing challenges in accessing needed nursing home care, as providers, including our nonprofit, mission-driven nursing home members, are forced to limit admissions, have fewer beds available, or, worse yet, close—or shift operating model. The bottom line is without staff, there is no care, and the national caregiver crisis is happening in real time.
“Real resources—including payment that recognizes the real costs, including staff wages, of providing care— must be dedicated and meaningful solutions devised to fix long-term care’s workforce needs. America’s broken approach to funding and delivering long-term care and services must be addressed, starting with building and supporting the long-term care workforce.”
