Medicare cuts could threaten rural seniors, jobs
Contemporary Long-Term Care Weekly, October 25, 2007
An analysis of Congressional Budget Office data suggested that the proposed five-year $2.7 billion cuts to Medicare Part A nursing home benefits pose a disproportionate threat to the country's rural seniors. The employment base of rural communities would also feel the strain, according to a press release from the American Health Care Association and the Alliance for Quality Nursing Home Care.
Because nursing homes are widely dispersed geographically in rural areas, Medicare cuts would increase the burden on rural facilities to hire and retain qualified staff. In addition, because nursing homes are often among the largest employers in rural areas, the proposed cuts would have a ripple effect on local economies due to lost jobs, according to the release.
The analysis found that Medicare beneficiaries in rural areas requiring skilled nursing care would suffer significant reductions in daily benefits. The negative impact would be exacerbated by the ongoing Medicaid underfunding phenomenon, the press release stated.
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