An increase in Medicaid reimbursement funds being used for direct care compensation does not always correlate to an increase in nursing hours per resident day within skilled nursing facilities, according to an HHS report published Aug. 4.
For the report, HHS analyzed and compared the percentage of direct care compensation received through Medicaid reimbursement and staffing levels, measured as nursing hours per resident day, at 26 nursing facilities in 2018 and 2021.
Here are five things to know from the report:
- Of the 26 skilled nursing facilities, nine were government-owned, 10 were nonprofit and seven were for-profit facilities.
More than half of the facilities — five government-owned, nine nonprofit and three for-profit — increased the percentage of Medicaid reimbursement funds spent on direct care compensation between 2018 and 2021.
Nine facilities decreased the percentage of Medicaid reimbursement funds spent on direct care compensation: four government-owned, one nonprofit and four for-profit.
Nursing hours per resident decreased for 18 of the 26 facilities between 2018 and 2021. - Of the 17 skilled nursing facilities that increased care compensation, 12 reported decreases in their nursing hours per resident day.
When asked, most of the 12 facilities attributed the discrepancy to hiring and retention difficulties due to the COVID-19 pandemic, as well as the use of contract nursing. - The percentage of Medicaid reimbursement spent on direct care compensation increased for five of the nine government-owned nursing facilities, of which three facilities reported increased nursing hours per resident day.
- The percentage of Medicaid reimbursement spent on direct care compensation increased for nine of the 10 nonprofit nursing facilities, of which eight facilities reported decreased nursing hours per resident day.
- The percentage of Medicaid reimbursement spent on direct care compensation increased for four of the seven for-profit nursing facilities, of which three facilities reported decreased nursing hours per resident day.
Read the full report here.
