NJ Watchdog Says State Should Bar Poorly-Rated Nursing Homes From Medicaid

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NJ Watchdog Says State Should Bar Poorly-Rated Nursing Homes From Medicaid
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'Taxpayers should not be funding nursing homes that have failed to improve for years, appear unlikely to improve, and put residents in harm’s way,” NJ Acting Comptroller Walsh says about 15 poorly rated nursing homes taking about $100M in Medicaid a year.

A new report by the New Jersey comptroller recommends tighter Medicaid restrictions on low-performing nursing homesA new report by the New Jersey comptroller recommends tighter Medicaid restrictions on low-performing nursing homesby New Jersey’s state comptroller found 15 nursing homes consistently received low ratings by health inspectors, yet still take in about $100 million in Medicaid funding a year.

The comptroller’s office analyzed New Jersey’s 339 nursing homes and found 15 of them earned the lowest score on the national grading rubric for long-term care facilities for most quarters in 2020 and 2021. Nursing homes, which have been under close scrutiny amid the COVID pandemic, are evaluated based on federal guidelines set by theon a scale of one to five stars, with one being the lowest.

State inspectors evaluate nursing homes during unannounced visits and, over several days, grade residents’ quality of care, medication management, nursing home administration and food services. The report found one in 14 nursing homes statewide received a one-star rating in the most recent quarter. “They're making a profit off of the one-star facilities all while taxpayers are paying for one-star care,” Walsh said.

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