We’re barely a month into a brand new administration and senior residing operators are bracing for coverage and funding shifts in contrast to something seen earlier than.
Already, plans to slash Medicaid funding are taking form. That’s unhealthy information for expert nursing operators, who depend on it as their major income supply, and a rising concern for the growing variety of assisted residing suppliers tapping into Medicaid {dollars}.
Simply how severe may the cuts be? Contemplate what American Well being Care / Nationwide Heart for Assisted Dwelling President and CEO Clif Porter lately posted on LinkedIn:
“We face existential dangers relating to Medicaid funding.”
However not all modifications are unwelcome. The Trump administration’s push for deregulation and diminished oversight is gaining momentum — one thing operators have lengthy lobbied for. Ought to these efforts succeed, they may carry much-needed aid to an trade regularly entangled in purple tape.
In the meantime, shake-ups on the Division of Housing and City Development are additionally underway. Deep inside evaluations are concentrating on redundancies and staffing ranges, with early buyouts doubtlessly thinning the ranks. A downsized HUD, Ginnie Mae or Federal Housing Administration may imply slower financing approvals, creating complications for senior housing builders and traders.
One other looming shift: HUD Secretary Scott Turner is eyeing the privatization of Fannie Mae and Freddie Mac. Such a transfer may ship shockwaves by means of senior residing financing, reshaping entry to capital in ways in which stay unclear.
Later at present on the Nationwide Funding Heart for Seniors Housing & Care’s Spring Convention in San Diego, panelists will dive into the election’s affect.
Former Meals and Drug Administration Commissioner Scott Gottlieb, MD, and former Facilities for Medicare & Medicaid Providers Appearing Administrator Andy Slavitt will supply their views on regulatory shifts, Medicare Benefit and workforce methods below the brand new administration. Moderated by Stanford College’s Nirav Shah, MD, MPH, and ATI Advisory’s Anne Tumlinson, the dialogue will discover how these coverage shifts may reshape senior housing and take care of years to come back.
At this level, it’s inconceivable to know the place all these modifications will take senior residing. However what will be mentioned with some confidence is that for higher or worse, the sector won’t ever be the identical.
John O’Connor is editorial director for McKnight’s Senior Dwelling and its sister media manufacturers, McKnight’s Lengthy-Time period Care Information, which focuses on expert nursing, and McKnight’s House Care. Learn extra of his columns right here.
