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Press Release: November 8, 1999
Congressman John W. Olver
1027 Longworth House Office Building
Washington, DC 20515-2101

Tel: 202-225-5335
Fax: 202-226-1224

FOR IMMEDIATE RELEASE

OLVER LOBBIES COLLEAGUES TO HELP FINANCIALLY DEVASTATED NURSING HOME FACILITIES IN MASSACHUSETTS

 

WASHINGTON -- Congressman Olver (D -1st District) announced today that he has begun lobbying top House and Senate negotiators on the Balanced Budget Act corrections bill to aid the overwhelmed nursing home facilities in his district and across the state.  Last year, Massachusetts nursing homes collectively lost $29.2 million. Currently, eighty-five nursing facilities in the Commonwealth are in bankruptcy proceedings, almost one in five of all nursing homes in the state.  In Congressman Olver°s district alone there are almost 90 nursing homes “ twice as many as any other congressional district in the state. These facilities are home to 6,850 senior residents.

Olver worked with his Massachusetts colleagues to outline specific provisions in the House and Senate bills necessary to assist struggling nursing homes who have been forced to provide more services with lower reimbursements. The delegation letter was sent to the Ranking Members (top Democrat) and Chairmen (top Republicans) of the House and Senate committees on Ways and Means and Finance “  the committees who are overseeing the final BBA corrections bill legislation.

œOur nursing homes are doing their best to provide essential services to seniors.  But they have been forced to provide more with less,” commented Olver.

Last Friday, the House of Representatives passed the Medicare Balanced Budget Act which will provide adjustments to Medicare payments set in the 1997 Balanced Budget Act (BBA).  This week, the top negotiators among the House, Senate and the Administration will enter into negotiations to craft a final version to be signed into law by the President.

œSeniors in the Commonwealth are being adversely impacted by decreases in Medicare payments to nursing homes.  Both the House and Senate versions of the BBA fix seek to address these concerns,” Olver said.
The delegation letter headed by Rep. Olver specifically asks the negotiators to:

 delay the caps for two years until refinements can be made to the reimbursement system;

 increase the high acuity and rehabilitation categories by 16% to 25%;

 increase the federal per diem rate by the skilled nursing facilities market basket plus .8 percentage point;

 allow providers to bill directly for services that meet special needs and conditions.

œIf these changes can be incorporated into the final version of the BBA corrections bill, access to quality nursing homes will be dramatically improved for Medicare beneficiaries in Massachusetts and throughout the nation,” Olver concluded.

Massachusetts has 500 nursing facilities, assisted living residents, and continuing care retirement centers that  care for and employ more than 100,000 people in the state.



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