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COVID In Colorado: More Than Half Of Long-Term Care Facilities In Danger Of Closing

DENVER (CBS4)- Hundreds of long-term care facilities in Colorado are in danger of closing after the pandemic has taken its toll. Now, part of the proposed budget for the state could make their situation even worse.

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Janet Snipes says there is no profession that has suffered more since COVID hit, and been prioritized less than nursing homes.

"It was the most emotionally traumatic time in my entire life," said Snipes.

The Executive Director of Holly Heights Nursing Center in Denver says the emotional toll of the virus has been immense, "Our staff are very afraid to work, we had residents who are passing away."

But, Snipes says the financial toll of the virus has also been devastating.

"I can go on and on in all of the costs we have experienced."

Like most nursing homes, Holly Heights has fewer residents than it did before COVID but, Snipes says, reduced occupancy does not mean reduced costs.

"There's a lot of increased care needs with COVID."

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In just the first few weeks of the pandemic, she says the center spent $418,000 on overtime, $33,000 on a special COVID unit, $125,000 on protective gear, $10,000 on a UV air purification system, and another $10,000 on supplies for in-room food service.

"We had to buy over-the-bed food tables because we didn't have enough because before they would all go into the dining room. Then we had to buy a food cart to keep the food warm."

A PPE loan and federal stimulus dollars have helped but, Snipes says, the center is operating at a loss. And, it may get worse. The budget Gov. Jared Polis submitted to the legislature would freeze Medicaid reimbursement for nursing homes in 2021-2022 at 2019 rates. A total of 85% of Holly Heights residents are on Medicaid.

"It would just be unsustainable. We'll last as long as we can as others, but like I said, homes are closing already in Colorado and across the nation and they have to prioritize nursing homes if they want us to be here."

Doug Farmer is President of the Colorado Health Care Association, which represents nursing homes. He says four facilities have closed in Colorado in the last few months and more than half of the remaining 230 facilities, he says, have an occupancy rate of less than 70% and are in danger of closing.

The governor's budget request came at the recommendation of the Department of Health Care Policy and Financing, which administers Medicaid. Marc Williams, a spokesperson for the department, released a statement, "The fiscal health of nursing facilities is a top concern for the state."

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He says the state has prioritized protective gear and tests for the facilities, helped with staff shortages, and provided $28 million in aid to nursing homes over the last year. The budget request, he says is meant to remove "special treatment" for nursing homes, which receive annual bumps in reimbursement based on a formula in state law. If the governor's budget is adopted, they would be reimbursed in the same way other Medicaid providers are. Farmer says nursing homes are the only provider where the care is comprehensive in nature. The legislature will have the final say on the budget.

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