Pennsylvania Groups Partner to Advocate for Increased Nursing Home Funding

The Pennsylvania Health Care Association (PHCA) and SEIU Healthcare PA have formed a partnership to tackle funding challenges in Pennsylvania's long-term care facilities, focusing on nursing home residents. They aim to secure increased Medicaid and Medicare funding by urging the Pennsylvania Department of Human Services to update the budget adjustment factor (BAF) to a minimum reimbursement floor of 0.9, which could inject an additional $140 million annually into long-term care funding.

Currently, Pennsylvania's Medicaid reimbursement rate for nursing homes is lower than neighboring states, averaging $256 per resident per day, compared to higher rates in New Jersey, New York, and Maryland. This under funding has contributed to the closure of 30 nursing homes since 2021 and ongoing staffing shortages, with facilities relying on costly agency nurses and struggling to retain skilled caregivers amid burnout and competition from other job sectors.

The collaboration between PHCA and SEIU includes a mutual commitment to elevating care and workplace standards through contract negotiations and public advocacy for increased funding. This initiative reflects ongoing efforts to address operational sustainability and staffing challenges in Pennsylvania's nursing home sector.