Representatives from the federal Health Care Financing Administration (HCFA) and the Rhode Island Department of Health, as well as long-term care advocates and nursing home executives, were on hand to discuss the present problems in detail and to propose potential short- and long-term solutions.

 According to the Rhode Island Department of Health, eight of Rhode Island’s 105 nursing homes have filed for bankruptcy protection, two are in state receivership and two others have been ordered closed.  Last September, HCFA reported 1,600 nursing homes throughout the nation had also filed for bankruptcy protection.  While this declaration does not mean certain closure, it is generally an indicator of financial trouble.

 “The financial hardships of nursing homes are not unique to the State of Rhode Island,” said Congressman Langevin, a member of the Older Americans Caucus.  “This is an issue affecting nursing homes from coast to coast, and it must be addressed quickly.  I will be working with my colleagues in Washington to seek both short- and long-term solutions to this problem, which can only worsen with the coming retirement of the baby boom generation.”

 “Providing affordable care for older Rhode Islanders must be a priority,” said Lt. Gov. Fogarty, Chairman of the Long -Term-Care-Coordinating Council.  “In the coming years, as the baby boomers age, nursing homes will witness significant growth accompanied by an increase in costs due to inflation and other uncontrollable economic factors.  We must address the staffing shortage and financial problems nursing homes face today, for them to be prepared to face projected future need.”

As Chairman of the Long-Term-Care-Coordinating Council, Fogarty is working to implement a ten-step set of recommendations to address the state’s direct-care staffing crisis.  Chief among the recommendations is a proposal to add $14.1 million to the FY 2002 state budget to provide wage and benefit increases for certified nursing assistants (CNA).  This would allow nursing homes to bring starting CNA wages up from about $8 per hour to $11 per hour.  This money would be matched by the federal government.  Fogarty has also recommended that the state change the way it reimburses nursing homes to include an acuity factor so that nursing homes would receive greater payment rates for residents with higher care needs.

 Upon returning to Washington after the spring recess, Congressman Langevin today announced that will co-sponsor two pieces of legislation that would contribute to improved nursing home care throughout the nation. 

 Langevin will co-sponsor the following measures:

H.R. 118, the Nursing Home Staffing and Quality Improvement Act of 2001, would establish a federal grant program to be administered to states to test innovative ways to increase qualified nursing home staff, reduce turnover and improve the level of care for nursing home residents.  Under this bill, nursing homes meeting state quality standards or avoiding quality violations for one or more years would be awarded bonuses.

H.R. 913, the Comprehensive Long-Term Care Act of 2001, provides for expansion of nursing facility and in-home services for dependent individuals under the Medicare program.

Langevin and Fogarty were joined by a number of advocates and government representatives, including: Roberta Hawkins, Alliance for Better Long-Term Care; Angelo Rotella, nursing home owner; Stan Israel, Vice-President, New England Health Care Employees Union, District 1199; Sheila Cabral Sousa, Executive Director, Rhode Island Association of Facilities & Services for the Aging; Don Williams, Associate Director of Health Services Regulations; Rich DiReinzo, CPA with LGC&D, PC; Al Santos, Executive Vice President, Rhode Island Health Care Association; and Ron Preston, HCFA Associate Regional Administrator.  Jane Hayward, Deputy Director, and John Young, Associate Director of Medical Services, represented the Rhode Island Department of Human Services.

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