Future of Florida Nursing Homes Looks Bleak Due to State and Federal Budget Cuts
Council WootenAugust 25, 2011 9:21 AM
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Former Kansas Governor Mark Parkinson paints a bleak picture when it comes to the future of Florida nursing homes. As President and CEO of the American Health Care Association, Parkinson spoke at the Florida Health Care Association conference in Orlando.
Parkinson said that the average nursing home’s margin is two percent, and nursing homes are harder hit by federal and state budget cuts to Medicare and Medicaid because they do not serve many patients with private insurance.
Patients already in Florida nursing homes are experiencing a 6.5 percent reduction in Medicaid reimbursement rates to nursing homes, totaling $230 million for the state. The federal government will further cut Medicare payments to nursing homes by 11.1 percent starting October 1, which will cut $387 million in Florida.
The former Governor also expressed concern about the debt ceiling committee, saying if the two sides cannot reach an agreement that Medicare would automatically suffer a two percent cut, which could affect Florida in terms of layoffs and closures.
In Florida, long-term facilities employ 178,450 direct jobs with $5.9 billion in labor income statewide. Parkinson said that big cuts to nursing homes could harm state economy and additional trimming of the work force, and facilities remaining as committed to quality as their budget allows. Lowering the quality of care should concern Floridians, as it could expose patients to an increased risk of nursing home abuse and neglect.
An Orlando injury lawyer can provide guidance if you have suffered because of a nursing home abuse and neglect.