Discontinuation of the Rate Relief Program effective Jan 1, 2025

The Michigan Department of Health and Human Services (MDHHS) recently announced an end to the Medicaid Rate Relief program, a seldom used program meant to help providers whose Michigan Medicaid rate does not provide adequate funding to the facility to ensure that each resident is properly cared for. 

Per MDHHS, the Medicaid Rate Relief Program will be discontinued effective Jan 1, 2025 in order to comply with the Office of the Auditor Generals recommendation to simplify the Michigan Medicaid Long-Term Care Reimbursement Methodology and make changes to make it less complicated, less labor intensive and more efficient.

Any NF currently receiving any type of rate relief will continue at their current variable rate base through December 31, 2024. Effective January 1, 2025, all NFs will return to the standard reimbursement methodology.