WASHINGTON, D.C.
– Following rapid action last week by two committees, the House
today narrowly approved H.R. 4954, prescription drug legislation
that includes payment provisions for skilled nursing facilities
and home health providers.
The
legislation provides for a partial continuation of skilled nursing
facility add-on payments set to expire in October of this year.
The current 16 percent add-on to the nursing component of the
resource utilization groups would be continued for three years –
but at 12 percent beginning October 1, 10 percent in the second
year and eight percent in the third. In addition, the per diem to
skilled nursing facilities for AIDS patients would be increased by
128 percent until an adjustment is made to the case mix. However,
the four percent overall add-on, set to expire at the end of
September, would not be continued.
“It’s
encouraging to see Congress taking steps to address the Medicare
Cliff, but any reduction in payments is too steep for providers
whose resources are already stretched beyond capacity,” said
Suzanne Weiss, senior vice president for advocacy at the American
Association of Homes and Services for the Aging. “AAHSA will
continue to fight to fully preserve payments before the
legislation is enacted into law.”
In the area
of home health, the 15 percent reduction in payment rates under
the prospective payment system would be eliminated. In addition,
the 10 percent add-on for rural areas would be extended through
calendar year 2004, and OASIS data collection on patients not
covered by Medicare or Medicaid would be suspended pending a task
force report.
“We’re
particularly pleased that the 1.5 percent per episode co-pay, a
point of contention in an earlier version of the bill, was removed
– and that the legislation calls for an additional two-year
moratorium on the $1,500 therapy cap,” Weiss said.
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The
American Association of Homes and Services for the Aging (AAHSA)
is committed to advancing the vision of healthy, affordable,
ethical long-term care for America. The association represents
5,600 mission-driven, not-for-profit nursing homes, continuing
care retirement communities, assisted living and senior housing
facilities, and community service organizations. Every day,
AAHSA’s members serve one million older persons across the
country.
