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WASHINGTON, D.C. – The American Health Care Association (AHCA), representing more than 14,000 nursing homes and other long term care facilities across the country that provide care to approximately five million people each year, released a statement today in response to the Skilled Nursing Facility Prospective Payment System (SNF PPS) fiscal year 2025 final rule released by the Centers for Medicare and Medicaid Services (CMS).
The following statement is attributable to AHCA President and CEO Mark Parkinson:
“We appreciate CMS increasing Medicare rates, so that nursing homes can meet escalating needs to invest in their workforce, care services, and more.
“While the Medicare increase is welcome news, we are extremely disappointed in the Civil Monetary Penalties (CMP) policy that CMS finalized in this rule. In particular, we are deeply troubled by CMS’ statement that it is ‘expanding its ability to impose financial penalties,’ as this is a clear indication of agency overreach when it comes to enforcement. We have long emphasized that CMPs divert critical resources away from necessary improvements by imposing fines without providing constructive support for residents or addressing root causes. Excessive fines run the risk of pushing nursing homes already on the financial brink to closure, uprooting residents and staff, and putting unnecessary stress on family members as they search for new solutions for their loved ones’ care.
“The purpose behind government oversight is to ensure the safety and wellbeing of our residents—and nursing home providers share in that purpose. We must foster an approach where nursing homes and regulators are working together to do what’s best for the residents and remedying identified issues, not simply citing and fining. We support the creation of incentives for nursing homes to enhance the quality of care and properly funding these facilities to ensure they have the necessary resources to provide high quality care.
“We look forward to working with the Administration on future rules and regulations to address these chronic issues.”