July 25, 2024

DHS Delivering Second Round of Aug. 1 Payments

On July 25, 2024 by Jeff Bostic

Based on action by the 2023 Legislature, DHS is about to distribute the second round of lump sum payments to nursing homes. Those payments will be processed on July 30 and will complete the payments under this program.

Second Round of Payments

These payments are all state funds, and the formula for the second payment is a base of $112,500 plus $2,062.12 per active bed. The per bed amount last year was $2,008.25, but the amount has increased because nursing homes that closed since Aug. 1, 2023 are not part of this year’s payments.

The statute creating these payments allows the funds to be used for paying off debt or investing in the property, provided that investment is not claimed for a property rate increase. DHS has developed an FAQ (insert link to document from folder) that can help nursing homes determine whether specific uses are acceptable. Funds must be used by Sept. 30, 2025 and will be subject to audit and recovery after that time.