The Fight Continues on CMS’s Skilled Nursing Facilities Minimum Staffing Rule

June 26, 2024

In April, the Centers for Medicare and Medicaid Services (CMS) issued the minimum staffing mandate for skilled nursing facilities. Our press release in response to the final rule outlined our concerns and recommended solutions. As your national advocacy presence in Washington, D.C., we continue to work with and for you in response to this rule.

Our strategy is clear:

  • Our faith-based, community-centered, trusted, non-profit providers consistently deliver high quality care as measured by star ratings and clinical outcomes.
  • The final rule ignores our high-quality standards amidst the dual challenges of chronic Medicaid underfunding and rising labor costs.
  • The rule impedes access to quality care and choice for older adults and other Medicaid recipients as facilities are forced to close.
  • It is imperative to advance solutions to expand access to care and strengthen the workforce.

Read What Has Been Done to Date

So, what’s next? Our commitment is to strenuously pursue all financial and programmatic remedies to alleviate the burdens associated with the implementation of this final rule.

We will continue to work with staff at CMS to monitor and inform guidance to states as this rule is implemented to ensure our network providers can inform and understand the process for exemptions and delays that are part of the final rule.

We are monitoring continuing congressional action aimed at stopping the implementation of the rule using the Congressional Review Act (CRA).  This process allows Congress to pass legislation disapproving of federal agency rules and immediately prohibiting their implementation.  Lawmakers from the House and Senate including Sen. Jon Tester (D-MT), Sen. Joe Manchin (I-WV), Sen. Angus King (I-ME), Sen. Jeanne Shaheen (D-NH), Sen. Maggie Hassan (D-NH), Sen. Kyrsten Sinema (I-AZ), Sen. James Lankford (R-OK), and Rep. Cathy McMorris Rodgers (R-WA) are currently working to secure passage of CRA legislation to halt the minimum staffing rule.  While only a simple majority is needed to initially pass the legislation, a two-thirds majority of each chamber would be required to override an expected Presidential veto.

We are continuing our active engagement with the Administration to hold them accountable for their expressed commitment to provide additional support for providers related to workforce recruitment, retention, and training: the final rule set aside $75 million for these purposes. For example, we in order to connect our members to these resources.

We are also exploring how best to support the lawsuit that the American Health Care Association (AHCA) recently filed against CMS. The lawsuit asks the court to set aside the new staffing rule, which may delay or even stop implementation.

To ensure adequate reimbursement for critical staff, we are building an approach with CMS to develop a national Medicaid reimbursement strategy that would include specific recommendations/guidance to states in setting their Medicaid rates to ensure providers can pay livable wages. Our overarching aim is to pursue increases in Medicaid reimbursement sufficient to cover the actual cost of providing skilled nursing care and paying a livable wage.

We are also working to strengthen a broader workforce advocacy strategy, including active legislation, to pursue Congressional support across the workforce continuum, with a focus on recruitment, retention, strengthening the workforce pipeline, and training.

  • Related to older adults, we will advocate for greater flexibility for SNFs to provide onsite training for new hires and existing employees, especially CNAs, including addressing CNA training capabilities for SNFs who have received survey penalties
  • Loan forgiveness, tax credits, and other incentives, building on existing channels to address these issues beyond doctors and registered nurses
  • Updates to immigration and refugee policies that would increase availability of workforce with a focus on supporting a waiver process to ensure people trained abroad can practice to the full scope of their licenses.
    • Easing the pathway for people entering the country to secure work visas.
    • Allowing the granting of special visas to fill CNA vacancies.
    • Ensuring previously authorized green cards can be used the strengthen the pipeline of healthcare workers.

We are committed to continuing to work in partnership with organizations like the American Health Care Association (AHCA,) LeadingAge, and others, to elevate the very real impacts the minimum staffing rule has on providers and communities across the country.

What can you do now?

If you haven’t already, please reach out to your state Medicaid leaders to share your concerns as this rule is being implemented. This is a good time to raise your voice as CMS is drafting guidance to states to implement the rule.

Please share your own stories of the impact of the workforce shortage on access to care in your communities, as well as coverage from your local news outlets so we can stay up to date on the way the story is being told across the country, with us by contacting Sarah Dobson.

Alesia Frerichs is the President & CEO of Lutheran Services in America.

Opposing the CMS Minimum Staffing Rule: What Has Been Done to Date?

June 24, 2024

In April, the Centers for Medicare and Medicaid Services (CMS) issued the minimum staffing mandate for skilled nursing facilities. From the start, we engaged our members from across the country to raise our voice and the visibility of the impact of this ruling with the administration and other key policy makers including:

  • Conducting targeted stakeholder meetings, secured based on the breadth and impact of our network in the senior services space and existing advocacy relationships, including with:
    • CMS Administrator Chiquita Brooks-LaSure and her staff, to ensure our members concerns were heard specific to the proposed rule.
    • Key senators and their staff who lead or serve on committees with oversight of Medicaid issues to share our on-going concerns including Senate Committee on Health, Education, Labor and Pensions (HELP); and Senate Finance Committee, House Energy and Commerce, House Ways and Means, among others.
    • The White House Domestic Policy Council, which advises the President on domestic policy issues. And
    • the Office of Management and Budget during final rulemaking to share our concerns.
  • Activating our network in a letter-writing campaigns to Congress and CMS with over 200 messages sent to key policymakers from across the country.
  • Submitting comments on the proposed rule to ensure the challenges associated with implementation were clearly articulated.

Our collective advocacy had an impact in shaping the final rule—with longer phase-in periods in rural and underserved communities, and hardship exemptions.  At the same time, these small wins are wholly insufficient given the inadequacy of Medicaid reimbursement rates and the ongoing crisis in the direct care workforce. This rule will accelerate nursing home closures in underserved and rural communities and make it harder to provide quality access to care for older adults across the country.

Read Our Strategy to Build on our Work Opposing This Rule

United, we will continue to take action together as one of the largest faith-based provider networks; we have the reach, we have the expertise and we have the responsibility.

Sarah Dobson is Senior Director of Public Policy and Advocacy at Lutheran Services in America.

CMS Final Medicaid Access Rule — Action Moves to States

May 29, 2024

What: In April, the Centers for Medicare & Medicaid Services (CMS) released the final Medicaid Access Rule. As you know from our recent update, many of our shared concerns across the network were not addressed in the final rule, including new requirements related to payment of the direct care workforce. Specifically at least 80% of all Medicaid payments must be spent on compensation for direct care workers and/or states must report annually on percent of payments that go to the direct care workforce.  Other provisions also include changes in access to home- and community-based services (HCBS), health and safety protections, and quality measures.   Given the scope and impact on our work and services, our work continues and also moves to the state level.

What Happens Now? Because the Access Rule requires states to make significant changes to their Medicaid programs, CMS is allowing states several years to implement the provisions. This is a time to consider strengthening your discussions with state-level decisionmakers to inform the implementation of the provisions.

Under the rule, states are required to create home care and rate-setting advisory boards made up of Medicaid beneficiaries, home care workers and others to advise states on provider payment rates and worker compensation. Thus, its important to be in conversation with state-level officials to inform the make-up and considerations of these boards. We will continue conversations with CMS as we learn more about guidance, timing and other considerations.

How to prepare: Given the rationale for the rule change is to improve job quality and pay for direct care workers to attract more people to those jobs, it will be important to articulate the impact to your organization, including how this makes it harder to deliver quality services. The rule will also require states to be more transparent in how they pay for home- and community-based services, as well as how they set rates.

The following are the key components of the rule to be aware of:

  1. at least 80% of all Medicaid payments must be spent on compensation for direct care workers and/or states must report annually on percent of payments that go to the direct care workforce,
  2. states must report information on HCBS wait lists (specifically timely and full access to services),
  3. prioritization of person-centered planning,
  4. states must demonstrate an electronic incident management system,
  5. states must establish and manage a grievance process and
  6. states must report on a set of nationally standardize quality measures.

For more information, please contact Bill Kallestad.

Bill Kallestad is the Director of Public Policy and Advocacy for the Lutheran Services in America Disability Network.

SNF Minimum Staffing Standard Published: Tell CMS How New Mandate will Impact your SNFs and Access to Care

September 11, 2023

On September 1, the Biden Administration officially published for public comment a proposed rule that would mandate minimum staffing levels at skilled nursing facilities. A 60-day comment period began September 6 and will end with all comments due on November 6.

Lutheran Services in America will be submitting comments sharing our concerns about the proposed new requirement and helping you do the same. We are currently analyzing the full rule and what it means for our network, but our initial concerns include the 24/7 RN requirement, only allowing time-limited hardship exemption waivers, and lack of funding for implementing mandated staffing increases.

Since early 2022 when the Administration originally announced their intent to mandate minimum staffing levels, we have heard from many of you that the uniform application of this new requirement, on top of the enduring workforce shortage in direct care, will result in reduced access to long-term care for older adults in rural and underserved communities as providers continue to struggle to fill staffing vacancies. We have worked diligently to ensure that the concerns of our network are heard and incorporated into the new rule, including meetings with key senators, the White House Domestic Policy Council, and CMS Administrator Chiquita Brooks-LaSure.

Our collective voice is powerful, and we look forward to continuing to bring its impact to bear on this rule.

Sarah Dobson is the Senior Director of Public Policy and Advocacy at Lutheran Services in America.