60 Seconds with Swett: Can SNFs Survive the Medicare Cut?
The dreaded day has come. On April 11th, CMS issued a proposed rule to update its Medicare payment policies and rates which would lower Medicare Part A payments to SNFs by approximately $320 million in FY 2023 compared with FY 2022. This is all the result of CMS’ October 1, 2019 rule change called the Patient Driven Payment Model, or PDPM. In a nutshell, the case mix classification model was supposed to more accurately compensate SNFs for the high-acuity, medically complex patients they already cared for. However, it was also supposed to be budget neutral, which it was not. CMS estimated there was an unintended increase in payments of about 5%, or $1.7 billion in FY 2020. The... Read More »
NHI and Welltower Enter Settlement Agreement
Well, it’s finally done. Welltower and National Health Investors entered into a settlement agreement over the unpaid rent from 17 legacy Holiday Retirement properties that Welltower had not made contractual rental payments on since its August 2021 takeover of the portfolio. It is still baffling why the issue ever arose, especially since Welltower had contractual obligations to the landlord, NHI. But we are glad they can put this matter behind them, although we will see how much the two parties will work with each other going forward. Regardless, NHI held firm, was in the right, and won. The settlement agreement included a payment of $6.9 million, which is expected to be recognized in the... Read More »
60 Seconds with Swett: Managed Care Continues To Eye Home Health
We don’t need to tell you that the pandemic enabled healthcare to be delivered in the home at historic rates, as patients could see doctors on Zoom, medications could be delivered, and home health aides could provide other care and services. Anything to avoid the dreaded hospital or nursing home while COVID was raging. Coming back from the Spring NIC in Dallas, where we saw abundant optimism (and some caution from a few of you), one may not think this will be a huge threat. But UnitedHealth Group’s potential acquisition of home health provider LHC Group for a reported $5.4 billion reminds us that the penetration rate for in-facility senior care services is always on the verge of falling.... Read More »
60 Seconds with Steve Monroe: Senior Housing Women’s Initiative
Bring out the pink at this week’s NIC Conference in Dallas and show your support for women in seniors housing. I hope you have noticed, like I have, the growing ranks of women in seniors housing and care. Think back 20 years ago at NIC, or even 10 years, and women were far and few between in attendance. They are operators, investors, lenders, lawyers, brokers, appraisers, consultants – everything under the sun. And this makes perfect sense. Our industry is an employer of women. Something like 75% or more of employees in seniors housing are women, and I am sure they all like to see other women in leadership roles. And, by seeing them in these roles, it is something they... Read More »
60 Seconds with Swett: Spring NIC Returns to Dallas
This time next week, we will be arriving in Dallas for the annual Spring NIC Conference. The last NIC in Houston felt relatively normal, but this conference is the first since national and state mask mandates have, for the most part, ended. And finally, the general consensus seems to be that we are in an endemic now. So, the industry is moving on in this “new normal.” (who’s ready to hear those words a lot in Dallas?). Given that, there should be a lot of optimism around rising occupancy, low construction levels and “COVID” playbooks. But we hope some of that optimism is tempered with some realism. Occupancy is rising, but from historically low points, and with bumps along with way (as... Read More »Schedule a demo
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