Cuts illustrate need for new business models, experts say

Share this article:
Anne Tumlinson
Anne Tumlinson
As the Medicare Payment Advisory Commission and other groups seek to trim public funding for long-term care, the industry needs to mesh with new, strong partners. Such action is the only sure way to preserve margins while improving care, several experts recently noted. 

“Nursing homes need to create partnerships with other health systems,” said Anne Tumlinson, senior vice president at Avalere Health. She added that skilled nursing facilities are “going to need closer relationships with different actors in the healthcare systems to help improve rehospitalization rates.”

Tying Medicare payments to rehospitalization rates — which was among  MedPAC's recent recommendations — is a step in the right direction, according to Alan G. Rosenbloom, president of the Alliance for Quality Nursing Home Care.

But Rosenbloom notes that unnecessary rehospitalizations are a problem that should be dealt with systematically, not “piecemeal.”

Apart from the potentially positive rehospitalization changes, cuts to Medicare reimbursements will continue to “hit hard” for providers, Tumlinson said.

“I would be uneasy if I were a provider,” she said. She added that she thinks SNFs' reliance on Medicare to cross-subsidize Medicaid “will diminish.”
Share this article:

More in News

Expert says providers often wrongly threatened by PEPPER reports

Instead of fearing further scrutiny by federal authorities, providers should embrace the opportunity to get feedback in the form of PEPPER reports, legal experts said Monday at the LeadingAge annual meeting in Nashville.

Healthcare reform already driving diverse, dynamic long-term care models, LeadingAge leaders say

Healthcare reform already driving diverse, dynamic long-term care ...

One way to gauge the effects is healthcare reform is by looking at ongoing changes to the continuing care retirement community model, LeadingAge officials said Monday at the association's annual ...

Federal court: Nursing home can be sued for firing hairdresser who can ...

Is the ability to transport residents in their wheelchairs an essential function of a nursing home hairdresser? A federal appeals court says it's a valid question and is allowing a hairdresser to sue a facility that fired her.