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Phase out nursing homes, state board says

Rehab, home care would replace traditional sites

By DAN BENSON
 
Milwaukee Journal-Sentinel, July 17, 2003

The traditional nursing home - where frail, but not necessarily seriously ill residents live for years under the watchful eyes of floor nurses and their assistants - should be phased out, a state board has told Gov. Jim Doyle and state lawmakers.

"It would appear that the zenith of this form of residential long-term care has been reached," George Potaracke, executive director of the state's Board on Aging and Long Term Care, wrote to Doyle and legislators earlier this month in a letter accompanying a report containing a number of recommendations on long-term care reform.

The board also suggests that the state look into investing in a long-term care insurance fund and more closely regulate out-of-state companies that wish to operate retirement facilities in Wisconsin.

If enacted, the recommendations would represent the culmination of a national trend spearheaded by Wisconsin 20 years ago and largely watched by other states, officials said.

"The traditional nursing home we've known for years will either change and become a true rehab center or it won't exist at all," Potaracke said Thursday.

That's because ever-tightening government budgets coupled with an array of market forces make it fiscally untenable to support the traditional nursing home, he and others say.

"Those that will need true long-term support will be living in smaller group homes, supportive apartment arrangements or at home," he said.

For those currently living in traditional nursing homes, such as the Ozaukee County-run Lasata Care Center in the Town of Cedarburg: "Some of those people would never wind up in a nursing home to begin with" under the plan envisioned by Potaracke and the state Board on Aging and Long Term Care, which grades nursing homes.

And it wouldn't just be publicly operated nursing homes that would be affected.

If the board's recommendations are adopted, Medicaid payments for long-term residential care at private nursing homes could be cut to encourage people to use in-home medical services and other alternatives.

Only those able to foot the entire bill themselves would be able to live in the types of nursing homes with which we are now familiar, officials said.

Any state funding, the report recommends, should more directly link funding to the quality of care provided in nursing homes - lower inspection grades would have a negative impact on funding.

"Is it appropriate to adopt a policy that would encourage that kind of evolution?" asked Judith Frye, associate administrator for the state's Division of Disability and Elder Services.

It's a key question that will be addressed by a new Council for Long Term Care Reform, the creation of which is expected to be announced in a few days, Frye said.

"The thought would be that if that seems an appropriate policy then we would restructure the reimbursement mechanism and not continue to pay for long-term care for those people who don't need that care," she said.

"Since this is the department that pays for a lot of nursing home care through the Medicaid program, it's important that we address that kind of care," Frye said.

Potaracke, who has headed the aging board for 22 years, said the report is "a continuation of a discussion that's been going on for more than 20 years."

"This is in response to market forces and government policies that have been moving for a long time," he said.

"What's different now is that for the first time these issues have been brought together in one paper" and will be addressed by the new council, he said.

Milwaukee County made the exact decisions about 20 years ago that the aging board is recommending today, said James Hill, Milwaukee County's interim administrator for the Behavioral Health Division.

Through his division, the county operates two long-term care facilities for people suffering from persistent mental health problems and for those with developmental disabilities.

"We've been oriented toward that type of care for some time, focusing on the least-restrictive care setting," including in-home care for the elderly, he said.

"We believe it's fiscally the right thing to do and most beneficial to the client," he said.

It's a model for more traditional nursing homes, Potaracke said.

The state should "refocus nursing home care toward rehabilitation and subacute care in all but specified circumstances such as dementia, brain injury and terminal illness," he wrote.

Subacute care is typically applied to those who need a short period of intensive therapy but not full hospital care, "people recovering from surgery or a stroke" and whose stay in a nursing home is a matter of weeks or months at most, Potaracke said.

A final recommendation is that the state "should have more intimate knowledge" of the private corporations that operate nursing homes in Wisconsin.

Doing so, Potaracke said, might prevent what happened in Milwaukee County in 2000 and 2001 when Atlanta-based Mariner Post-Acute Network went into Chapter 11 bankruptcy and closed two nursing homes.


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