There are more than 400 nursing homes in Massachusetts operating 40,000 beds. Since the beginning of last year, over 25 facilities have closed.
Nearly two thirds of nursing home residents rely on MassHealth — the state’s Medicaid program — to pay for their care.
Damien Dell’Anno operates a number of nursing facilities in New England. He says MassHealth residents get paid $180 a day from the state while his costs are are over 20 percent more.
“Monetarily we are very very tight,” Dell’Anno says. “When 70 to 75 percent of our residents are MassHealth residents, it’s a formula to go out of business if it continues to be at that level. “
Industry officials say MassHealth is paying nursing facilities based on 2007 costs. Government officials have introduced a bill that would update the payments to 2017 costs in order to stabilize the industry.
Additionally, a state budget approved by the Massachusetts House would increase nursing home Medicaid reimbursements by $35 million.
