Medicaid nursing home payment and the role of provider taxes

Medicaid nursing home payment and the role of provider taxes

Author:
Publication type: 
Journal Article
Year: 
2008
Journal/Series title: 
Med Care Res Rev
Volume number: 
65
Issue: 
4
Pages: 
514-27
ISSN/ISBN: 
1077-5587 (Print) 1077-5587
Abstract: 

In the context of recent state budget shortfalls and the repeal of the Boren Amendment, state Medicaid expenditures for nursing home care were considered a potential target for payment cuts. The authors examine this issue using data from a survey of state nursing home payment policies. Results indicate that aggregate inflation-adjusted Medicaid payment rates steadily increased through 2004, and this growth is partly attributable to the adoption of nursing home provider taxes in many states. A recent proposal to cap provider taxes, if enacted, may lead to a decrease in Medicaid payment rates for nursing home care.