Long term care leaders urge Texas Senate to adopt funding solution

Bipartisan “Mother’s Day Gift” seeks to avoid potential nursing home crisis

 AUSTIN, TX – Long term care professionals in Texas are urging the Texas Senate to give elderly Texans a “Mother’s Day” gift by approving the Nursing Facility Reinvestment Allowance, or NFRA, and improve nursing home funding without additional state spending. The NFRA cleared the House with solid support on Thursday with the passage of House Bill 2766, by Gatesville family practice doctor Rep. J.D. Sheffield. In addition to strong bipartisan support, the NFRA is supported by the American Association of Retired Persons (AARP).

“The NFRA is a smart, practical way to address years of underfunding for Texas nursing homes,” said Kevin Warren, president and CEO of the Texas Health Care Association. “The House overwhelmingly approved it and we hope the Senate will do the same. The NFRA will give us the tools we need to enhance the quality of long term care in Texas by addressing issues such as the 90 percent turnover rate of our registered nurses.”

The NFRA is now pending in the Senate, where it is likely to be sent to the Health and Human Services Committee. Members of that committee are Chairman Charles Schwertner (R-Georgetown), Vice-Chairman Carlos Uresti (D-San Antonio), Sen. Dawn Buckingham (R-Lakeway), Sen. Konni Burton (R-Fort Worth), Sen. Lois Kolkhorst (R-Brenham), Sen. Borris L. Miles (D-Houston), Sen. Charles Perry (R-Lubbock) Sen. Van Taylor (R-Plano), and Sen. Kirk Watson (D-Austin).

“Improving the quality of long term care is something all Texans can agree on,” Warren said. “The NFRA is a pragmatic way to increase much needed funding for care delivery as well as incentivize improved quality of care, all without additional state spending. It’s a solution all Texans can get behind.”

Texas has lagged behind other states in finding ways to boost funding for nursing homes. Forty-three other states have similar programs in place to supplement health care funding.

The NFRA would accomplish this by implementing a reinvestment allowance from nursing home operators the state can use to draw down federal Medicaid matching dollars Texas now loses to other states. HB2766 statutorily prohibits the NFRA from being passed on to nursing home residents.

In addition to improving Medicaid rates, HB2766 would direct 50 percent of the additional funds toward quality-based payment programs. Nursing homes will be required to meet certain quality standards to receive the full benefit of the program.  The NFRA is intended to incentivize nursing home operators to enhance the quality of care they deliver, while also giving them the tools they need to elevate care, facilities and programs.