Nursing homes are expected to suffer a $23 million loss in Medicaid payments under a budget package approved in late July by the state’s Board of Public Works. Other providers would lose $37 million.
The plan, which was proposed Gov. Martin O’Malley (D), will cut $280 million from the state’s budget. The governor said he planned to reduce the budget by up to $470 million more before Labor Day.
O’Malley has repeatedly cut spending to balance the budget. The state has suffered from falling tax revenues as a result of the recession.
The state cuts, coupled with federal funding cuts, could force some nursing homes to close, said Joseph DeMattos, president of the Health Facilities Association of Maryland.
From the September 01, 2009 Issue of McKnight's Long-Term Care News