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Nursing homes and hospitals have been lumped together in pending New York legislation that increases nurse staffing ratios across the board, at a cost provider organizations estimate as $3 billion annually.

“It would cost New York’s hospitals and nursing homes a staggering $3 billion annually to comply with the nurse staffing ratios bill — money they don’t have for a mandate they don’t need,” said Lorraine Ryan, senior vice president for legal, regulatory and professional affairs for the Greater New York Hospital Association. “Many of these financially struggling institutions would be forced to reduce services, lay off staff or even close their doors for good, impacting access to care for those with the most need.”

LeadingAge New York opposes the bill, which has a “long history,” according to executive vice president Dan Heim. He noted the long-term care industry’s share of the increased cost would be about $1 billion per year.

Debate over the staffing bill comes as New York nursing homes grapple with the possibility of losing $246 million in Medicaid funding, thanks to a recommended change to the Medicaid case mix and reporting processes used to set reimbursement levels. A working group is set to hold its final meeting on that issue today, but Heim expects it will take several days to suss out the exact impact on payment rates.

The staffing bill is an unrelated effort to push the average nurse to patient ratio to 1:4. For nursing homes, that equates to minimum care hours per resident, per day of 0.75 RN hours divided among all shifts to provide an appropriate level of care at all times; 1.3 hours for LPNs, and 2.8 hours for CNAs, according to the New York State Nurses Association. 

While that association supports the bill, the Greater New York Hospital Association spoke out against the bill earlier this week, as first reported by Crain’s Business. New York’s City Council hospitals committee is considering a resolution in support of the legislation.

Ryan said healthcare providers and unions have already proven their ability to set staffing plans on their own. Nursing home staffing is also governed by the Centers for Medicare & Medicaid Services and tracked through its Payroll-Based Journal system.

Though the legislative session ended last week, New York’s system operates on a two-year cycle, meaning the staffing bill could still make its way to a vote in 2020.