At the Capitol: Senate and House Hear Bills to Help Tackle Long-Term Care Workforce Crisis

Posted on February 24, 2022 by Matt Steele

One month into the legislative session, bills are moving through the committee process rapidly. This week, three bills with our Long-Term Care Imperative-supported proposals were heard in Senate and House committees.

While we are encouraged by these initial legislative movements, we must keep the pressure on lawmakers. Your messages, meetings, and phone calls have all made a big difference in getting us to this point. Participating in grassroots advocacy opportunities or getting your friends and coworkers to join ensures that lawmakers have our issues top of mind in each step of the legislative process.

Long-Term Care Bills

In the Senate Human Services Reform Finance and Policy Committee, your advocacy to encourage lawmakers to allow providers to raise wages and recruit and retain workers culminated in the Senate proposal authored by Senator Karin Housley, SF 3195. The bill includes provisions that:

Fully Implements Elderly Waiver Rate Reform

• Effective July 1, 2022, the rates for all services will be updated using the latest wage data and other components of the new rate formula
• Full implementation of the new rates means rate increases of 30% or more for many services because current rates fall well short of actual staffing costs
• Every Jan. 1, starting in 2023, DHS will publish updated rates based on the most recent wage data so that rates do not lose ground to staffing costs over time

Appropriates Care Center Workforce Funding

• Upfront funding on top of rates provided to care centers to spend on wages and benefits
• Payments are based on the number of beds and made quarterly in 2022 and 2023
• Costs of wage and benefits related to this upfront funding will be absorbed into future VBR rates to continue to support increased wage and benefit levels

Updates the VBR System

• Includes more wage and benefit costs (dietary, laundry, housekeeping, maintenance) in the cost-based portion of the rate, so investments in those areas are guaranteed to stay in provider rates
• Adjusts rates for known cost increases that have occurred since the time of the cost report used to set the rate

In the House Human Services Finance and Policy Committee, lawmakers heard HF 1754. The committee adopted an amendment to make the option of remote Adult Day Services permanent. The virtual adult day model utilized in the height of the pandemic helped address social isolation and ensure that seniors continued to receive needed services. Adult Day programs have reopened, but the option to provide remote services has proven valuable, especially in cases where Adult Day Service recipients may have to remain home intermittently for various reasons. This legislative change is needed to ensure this service continues beyond the federal public health emergency. 

In the House Health Finance and Policy Committee, representatives heard HF 2715, a bill that expands the Home and Community Based Services Employee Scholarship Grant competitive grant program for licensed Home Care, Assisted Livings or Adult Day Programs. The HCBS scholarship grant program is one competitive advantage the long-term care sector has in the quest to recruit, retain and develop talent. With the addition of provisions on loan forgiveness and courses related to management for licensed assisted living directors, the bill will allow the program to adapt to meet changing needs.

These hearings indicate that lawmakers are taking the workforce crisis long-term care faces seriously and are open to permanent solutions to support senior caregivers.

What’s Ahead

Considering the attention long-term care bills are getting this week, it's clear our advocacy efforts are working, and we must keep up with the pressure. Ask your coworkers, residents, and stakeholders to get engaged and contact their lawmakers. Let's ask our elected officials to recognize this vital work with meaningful wages that support caregivers and their families. 

We are now a little over a month away from LeadingAge Minnesota’s annual Day at the Capitol. This year’s Day at the Capitol will be held on April 5 and includes opportunities to virtually meet with your colleagues, learn more about how to advocate for seniors and their caregivers, and make your voice heard in meetings with your lawmakers. Register today! If you have any questions, don’t hesitate to reach out to Matt Steele, Director of Government Affairs.

Each week during the legislative session, follow Advantage for regular updates about what’s happening at the Capitol.