Enhanced Medicaid FMAP Funding Ends 

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Washington, DC

– Today marks the end of the Congressionally mandated enhanced Medicaid FMAP (Federal Medical Assistance Percentage) payments to states. The program, that was part of the American Reinvestment and Recovery Act stimulus package, provided $16 billion to states’ Medicaid programs since its inception in August 2010. However, this payment regression will impact long term care facilities because fully 64% of all patients rely on Medicaid to pay for their care. Localities may also be affected as long term care is often the major employer, if not the largest, in many areas.

“Payment and quality issues for seniors and the disabled become very real in every health care setting,” said Governor Mark Parkinson, President and CEO of the American Health Care Association and the National Center for Assisted Living (AHCA/NCAL). “Our profession is committed to fulfilling the promise to America’s seniors, the disabled, injured and convalescent patients and we ask that our federal and state lawmakers do the same for the aging and disabled in their areas. Medicaid payment adequacy also is a labor issue – at 3 million people strong, long term care is a main contributor to many local economies.”

An independent national study conducted by

Eljay, LLC

estimates that Medicaid underpays for the services provided to nursing home residents by more than $17 per patient per day. That equates to more than $500,000 per year for a typical 100-bed facility (operating at 90% occupancy). Besides care practices, fluctuations in Medicaid payment levels impact a facility’s operational agility, especially in terms of staffing as patient care becomes more complex and labor intensive.  

Read more about Medicaid, Medicare and Workforce issues at these links:

1. Block Granting the Medicaid Program

    

2. Benefit of LTC Funding on State Economies

3. Maintain Stable Medicare Funding for SNFs

4. Nurse & Critical Caregiver Shortages 

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The American Health Care Association and National Center for Assisted Living (NCAL) represent nearly 11,000 non-profit and proprietary facilities dedicated to continuous improvement in the delivery of professional and compassionate care provided daily by millions of caring employees to 1.5 million of our nation's frail, elderly and disabled citizens who live in nursing facilities, assisted living residences, subacute centers and homes for persons with mental retardation and developmental disabilities. For more information, please visitwww.ahca.org orwww.ncal.org

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