Data, Facts and Stats on the State of the Nursing Home Industry

Recently the AHCA (The Agency for Health Care Administration) surveyed 759 nursing facilities on their status after the pandemic and here are some of the results:

·????????60% of nursing homes are experiencing the "worst" staffing situations since the start of 2022

·????????98% of nursing homes are having trouble hiring staff in all departments (nursing, maintenance, dietary, etc.)

·????????99% of nursing homes are asking staff to work more hours and days

·????????61% are limiting new admissions

·????????9 out of 10 nursing home providers have offered increased wages and bonuses

·????????73% of nursing homes are concerned about a "forced" close to the business

·????????Nursing home providers estimate their costs have increased by 41%

·????????Nearly 6 out of 10 nursing home providers are operating at a financial loss

Nursing homes that do close their operations tend to be of the "smaller facilities" in urban settings where most residents rely on Medicaid. Federal policymakers are considering potential cuts in 2022, such as a reduction to the Medicare payments ending the public health emergency (PHE), which offers enhanced Medicaid funding. Based on a financial study conducted by Clifton Larsen Allen the Medicare funding terminating would mean the following: 33-38% of nursing homes would be considered a financial risk to lenders; 32-40% of residents would be living in nursing homes that would be considered a financial risk and 68% of U.S. counties would be place of local residence to nursing homes that are considered a financial risk.

There is an urgent need to address the devastating effects of the COVID-19 pandemic and the ongoing historic workforce crisis in long-term healthcare. Nursing homes will continue to struggle and close their doors unless policymakers prioritize long-term care for meaningful resources and support. With the projection of people living longer, nursing homes are needed for the future.