The head of the state’s largest nursing home association said today that the industry will suffer a spate of bankruptcies this year unless the Legislature acts to restore millions of dollars in previous cuts.
Gov. Chris Christie’s budget cuts have resulted in nursing homes absorbing losses of about $46 a day on Medicaid patients, which comprise about 62 percent of the state’s nursing home population, according to Paul Langevin Jr., president of the Health Care Association of New Jersey.
Typically, those losses are offset by healthy payments from private insurers and Medicare patients but that formula is now broken in New Jersey, said Langevin. The math is even bleaker at county-run facilities, which treat a higher level of Medicaid patients.
“It’s a fact, we’ll see bankruptcies. These facilities have no where else to go,” said Paul Langevin Jr., president of the Health Care Association of New Jersey, which represents more than 300 nursing home and long-term care facilities in the state.
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N.J. Nursing Home Boss Says Industry Will Suffer Unless Millions in State Aid is Restored