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Nursing Facilities and Debt Collection Practices

CMS Administrator Chiquita Brooks-LaSure and Rohit Chopra, Director of Consumer Financial Protection Bureau, recently issued a letter to all nursing homes and debt collectors regarding debt collection practices. The focus behind the letter is to draw attention to the prohibited practice outlined in the Nursing Home Reform Act (NHRA) of nursing facilities requesting or requiring that a third party personally guarantee payment to the facility as a condition of a resident’s admission or continued stay in the facility. CMS reminds nursing facilities that violations of such requirements may be subject to enforcement action by state agencies and CMS.

Inappropriate practices have been identified in facility admission agreements. These agreements may include terms that aim to hold a third party personally liable for the resident’s nursing facility costs or to hold both residents and their caregivers personally liable for payment or unpaid bills if the resident’s Medicaid application is deemed inaccurate, untimely, or incomplete.

In efforts to assist providers with ensuring their admission policy meet regulations, AHCA has a resource that outlines admission policy requirements starting on

page 8 of Tool: Checklist on All REQUIRED Policies & Procedures.

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Additional Updates

NHSN Updates Coming September 2022: NHSN announced updates and modifications being released for the long term care facility component of NHSN. The changes will take effect after the September 2022 NHSN release, and several are a result of AHCA/NCAL efforts. Read More

Appendix PP Updated to Reflect Food and Nutrition Director and Physical Environment Regulation Changes: CMS has posted a revised advanced copy of Appendix PP as an attachment to QSO-22-19-NH. The advanced copy was revised to include new regulatory language on food/nutrition services and physical environment, which was finalized in the Fiscal Year 2023 SNF PPS Final Rule.   Read More

NYSHFA/NYSCAL CONTACTS:

Jackie Pappalardi, RN, BSN
Executive Director
518-462-4800 x16

Tarrah Quinlan, RN, BSN
Director of Education Program Development and Member Operations
518-462-4800 x20