Alliance's defection big jolt to the AHCA

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For the past five years, the Alliance for Quality Nursing Home Care represented the American Health Care Association's largest members.

But the alliance has become increasingly disenfranchised with AHCA lobbying efforts, particularly for Medicare reimbursement.
Growing dissatisfaction came to a head when the alliance revealed plans to defect. The news sent shock waves across the industry, and could reshape lobbying strategies and tactics in Congress.
Hardest hit by the move is the American Health Care Association. The organization responded by naming Bruce Yarwood as acting CEO, replacing Hal Daub. The change appeared to confirm rumors that Daub -- a former four-term Congressman -- was out of favor with the large chains. Many alliance members felt that Daub was too unwilling to fight for higher Medicare payments. But replacing Daub appeared to be a case of too little, too late.
"It really does not affect plans," alliance spokesman Jim Morrell said. "The alliance expects to continue moving forward with the establishment of its own organization. Each company is formulating its own decisions, but the vast majority of companies will leave [the AHCA]."
At press time, HCR Manor Care, Sun Healthcare Group, Tandem Health Care, Kindred Healthcare and Advocat Inc. had confirmed plans to do just that.