September 2000 Report Documents Financial Crisis--BD0 Seidman, LLP
•Facility Medicaid deficits (the difference between MA costs incurred and MA reimbursement) currently exceed $125 million.
•In 1999, nearly 83% of all facilities were not fully paid for serving Medicaid residents. This number undoubtedly is higher today.
•The average projected facility loss for the 2000-2001 is $300,000.
•Taking into account all sources of payment, the average margin for all Wisconsin nursing homes in 1999 was a negative 4.79%.
•Wisconsin’s 2000-2001 Medicaid payment ceilings relative to costs are the lowest in the United States.
•To improve the state’s present system to a level where only 40% (rather than the 83% in 1999) of the state’s facilities experience 2001 rates below their costs would require an appropriation of at least $120 million in new funds.
View full BDO Seidman study at: www.wahsa.org/public.htm
