The for-profit long-term care community has been digesting a bitter tasting piece of proposed new legislation in recent weeks.
The Nursing Home Transparency and Improvement Act of 2008 is the most aggressive attempt at nursing home reform since the passage of OBRA ’87 more than 20 years ago.
Reforms in the bill include the mandatory disclosure of more details regarding ownership information and cost reporting. It also would ramp up the maximum financial penalties for deficiencies that result in death
to $100,000. Sens. Charles Grassley (R-IA) and Herb Kohl (D-WI) introduced the bill in mid-February.
While organized labor crowed about it, two associations, which largely represent for-profit facilities, have indicated their queasiness with the bill.
The American Health Care Association said it had “serious concerns about the legislation in its current form.” AHCA praised the bill for its good intentions, but it also said that the bill “requires substantial modification,” including recognition that the nurse and caregiver shortage factors into poor quality care. It also disagrees with the disclosure of financial information requirement, arguing it would create an administrative burden.
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The for-profit and not-for-profit long-term care communities are united on many issues, but ownership transparency and cost reporting aren’t among them.
That was evident in their differing reactions to The Nursing Home Transparency and Improvement Act of 2008, which was introduced in the U.S. Senate in mid-February.
While the for-profit community was largely against the bill, the not-for-profit community generally hailed it.
Meanwhile, a top leader in labor, which fueled the drive calling for greater accountability from nursing home owners, also praised the bill.
“This bipartisan bill represents a huge leap in terms of patient care and safety,” said Gerry Hudson, executive vice president of the Service Employees International Union. “This bill is going to make it hard for the larger nursing home chains to sweep residents’ concerns under the rug.”
Last year, complaints from the SEIU brought lawmakers’ attention to The Carlyle Group’s purchase of Manor Care, the largest nursing home chain in the U.S.
Larry Minnix, president and CEO of the American Association of Homes and Services for the Aging, which represents nonprofits, endorsed the bill’s call for more ownership information, cost reporting and nursing staff information.
“Nursing staff is the best proxy for quality, and the public is entitled to that information because it’s [funded by] mostly public dollars,” he said.
From the April 01, 2008 Issue of McKnight's Long-Term Care News
