Statement by Alan G. Rosenbloom, President of the Alliance for Quality Nursing Home Care, Commenting Prior to the President's State of the Union Address

WASHINGTON, Jan. 24, 2012 /PRNewswire-USNewswire/ -- "As the President and Congress work toward stabilizing the economics of the nation, we want to work with policymakers on both sides of the aisle to stabilize the skilled nursing facility (SNF) sector.

"Already surviving on the lowest operating margins of all health provider groups, facing $127 billion in Medicare funding cuts in the FY 2012-21 budget window, facilities and patients nationwide are being negatively affected by an 11.1 percent Medicare funding reduction that went into effect on October 1, 2011. Combined with widespread state Medicaid cuts, the latest Medicare funding reduction has resulted in the most difficult economic environment SNFs have experienced in more than a decade.  In Ohio alone, for example, SNFs have eliminated at least 3,000 facility-based jobs in an effort to cope with the strained economics.

"According to SNF responses to an Avalere Health survey, SNFs will lay off approximately 20,000-25,000 workers nationally, and cancel facility renovations or repairs that could have created another 20,000-25,000 new jobs unless government takes action to phase-in Medicare reductions over multiple years.

"In addition to protecting SNFs from any additional Medicare funding cuts in the weeks and months ahead, a gradual phase-in of the federal regulation, which has received support from a bipartisan group of lawmakers, is a logical, fair and responsible policy approach that has precedent with other providers experiencing momentous challenges with new government payment systems. Further, a phase-in can help alleviate documented direct care job losses and the risk they pose to lawmakers' most vulnerable constituents.

"We respectfully urge expeditious action on this critical matter, and look forward to working with the President and Congress to ensure every U.S. senior retains ready access to the quality long term and post acute care they need and deserve."

The Alliance for Quality Nursing Home Care is a coalition of 10 leading post-acute and long term care organizations providing Skilled Nursing Facility (SNF) care in approximately 1,400 facilities, in 44 states nationwide.

www.aqnhc.org

SOURCE Alliance for Quality Nursing Home Care