New Analysis: $51 Million Cut to Texas Nursing Home Patients' Medicare Funding if DC Budget Stalemate Not Resolved

SAN ANTONIO, June 26, 2012 /PRNewswire/ -- With growing concern that budgetary gridlock in Washington, D.C. may not be resolved until after the 2012 election, and action deferred into 2013, the first independent analysis of how much U.S. seniors' Medicare-funded nursing home care would be cut under the Budget Control Act estimates Texas seniors' care will be slashed $51 million in January 2013 if the ongoing congressional budget stalemate is not resolved.

Nationally, the cut will be $782.3 million -- and the $51 million cut for Texas seniors represents the 3rd biggest cut nationally – behind only California at $75.9 million and Florida at $66 million. The study, from Avalere Health, was funded by the Alliance for Quality Nursing Home Care, and additional information and methodology notes on the study available at www.aqnhc.org.

Elizabeth Howard, the Administrator of Heartland of San Antonio noted Texas facilities already suffered $58 million state Medicaid cuts in 2011. "Our facility is treating higher numbers of patients every year requiring increased levels of care, and more Medicare cuts from Washington will further destabilize facility operations. Facilities like ours are getting by on the slimmest of operating margins, and it is morally wrong for Texas seniors to be placed in yet more jeopardy due to budgetary dysfunction in Washington. We urgently need the Texas congressional delegation to help ensure more Medicare cuts do not become a reality next January."

Alan G. Rosenbloom, President of the Alliance, pointed out that Medicare and Medicaid populations overlap in the nursing home setting, and that facilities budget their shrinking resources based on revenues from all payers. "Operating margins for nursing homes remain the lowest of any healthcare sector, and for the benefit of patient care and workforce stability, we respectfully urge Texas lawmakers to take this into account when considering Medicaid and Medicare payment policies in the months ahead."

Contact: Ellen Almond
703-548-0019

SOURCE Alliance for Quality Nursing Home Care