State Must Continue to Fund Care for the Elderly

Nursing and rehabilitation facilities in Michigan provide 24 hour quality care to more than 42,000 mothers, fathers, grandmothers and grandfathers across the state.  More than 40,000 employees work in nursing and long-term care facilities and contribute more than $4.4 billion dollars to local economies across the state.

The health care services those family members receive and the jobs those facilities provide are in jeopardy due to Michigan’s budget crisis.   

If the proposed 6-percent cut in the Medicaid provider rate is enacted, it will cause layoffs and make caring for Michigan’s elderly population incredibly difficult.  This will take $30 million away from the care of the adult disabled and the frail elderly. Facilities across the state will have to either layoff employees or in some cases shut their doors completely. 

Cutting the Medicaid rate will not help the state’s budget crisis – it will just make it worse as hundreds of people who now have good jobs in the health care profession are laid off.  Many of these facilities are in areas that are already struggling financially.

For example, I run a 128 bed facility in Saginaw.  The proposed cut will force me to lay off 10 full time employees.  This is just one example that will be replicated in the 430 facilities across Michigan for an estimated 2,400 full-time jobs lost within the next 3 months.

As the legislature and the governor continue to look for ways to solve the state’s budget crisis they need to consider what programs are essential governmental services.  Providing quality, dignified care for the indigent sick and elderly is a core government responsibility. Since 1948, HCAM has been a partner with the state in providing that care. 

As quality care providers, we recognize whether it’s due to rehabilitation after surgery, dementia or Alzheimer’s, there are times when the 24 hour quality medical care provided by our facilities is the best option: sometimes the only option.  Twenty four hour nursing care and rehabilitation facilities are a necessary part of the continuum of care.

Many residents find the social interaction with other residents and care providers adds significantly to their quality of life.  The safety and care provided by the states most highly regulated industry gives comfort that can’t always be found at home, especially for the indigent population. And the burdens of maintaining a home and all the adjoining responsibilities can be at least temporarily lifted for a resident.

HCAM recognizes that Michigan currently faces an unquestionable fiscal crisis, but cuts that directly effect the care provided in nursing facilities is not the answer. Michigan’s budget problems should not be solved at the expense of the most vulnerable members of our society – the sick and the elderly.

With Mother’s Day just behind us, it is important to remember to think of those mothers and fathers in nursing facilities.  The phone call Sunday was nice but making sure our loved ones will continue to have a safe place to live and receive medical care would be much better.

Jon Reardon

Chair, Health Care Association of Michigan

The Healthcare Association of Michigan represents more than 300 nursing care facilities, rehabilitation units and assisted living homes in the state of Michigan including for profit, non-profit and government facilities.