Medicaid pays for 75% of total Nursing Home Care costs through the Institutional Care Program. The State of Florida pays only 35.17% of this expense, the balance is paid for by the Federal Government. The 35.17% share of cost, however, has become one of the most expensive items in the state budget.
Lawmakers in the state have demanded a cap of future growth in Medicaid budget despite decades of annual increases. The State of Florida also seeks to control not only its Medicaid Nursing Home costs but its total share of cost for Medicaid Care in the Community.
In the past Florida received a small amount of funding under a program called Money Follows the Person. The Federal Government was offering a federal grant of $35.7 million to enlarge choices other than nursing home for frail elders. Despite work by several state agencies and disability support groups, Florida will not receive a federal grant of $35.7 million.
“Not only would accepting the Money Follows the Person grant go against our policy of implementing federal health-care reform, but it would be redundant to the multiple efforts that Florida has already made to improve the delivery of long-term care,” said Rep. Denise Grimsley, R-Sebring, chairwoman of the state’s House Appropriations Committee. Source Orlando Sentinel
This is reminds me of the book Whats the Matter with Kansas. . The federal grant would have only cost the state $627,963. $35.7 million would have created a lot of jobs and services that would have been delivered to the citizens of Florida. This was done to consolidate all efforts into the medicaid reform waiver.
A key aspect of the medicaid reform waiver is to incentivize insurance companies to manage the care of all florida nursing home residents and those seniors in the community on medicaid. Profits for the insurance companies will also result in a huge savings for the state. As the boomers reach out for nursing home care, other choices may be available, that do not fall under a government entitlement. This will result in more personal responsibility within the extended family.
So Floridians will not have a slow exodus from Nursing Home Care. It will be a dramatic change resulting in nursing home care for those who need only the most acute care.
Jack M. Rosenkranz