RELEASE: New Survey Data Highlights Urgent Need for State Investment in Minnesota’s Seniors and Caregivers
Per release from The Long-Term Care Imperative:
ST. PAUL, MINN. – The Long-Term Care Imperative released new findings today that highlight the severe financial distress of Minnesota’s senior care sector and the disastrous impact that Governor Walz’s proposed budget would have on seniors across Minnesota. Without urgent action from the legislature to uphold its responsibility to our seniors, the state will undo a decade of progress.
The statewide survey of long-term care settings revealed that 89% of nursing homes predict deteriorating financial conditions due to unfunded mandates set by the unelected Nursing Home Workforce Standards Board (NHWSB). These mandates will have an impact beyond Nursing Homes as 70% of Assisted Living providers also indicated that they will have to adjust wages as a result.
The survey underscored that state investment works. 70% of nursing homes reported improved financial performance in 2024 compared to the previous year, thanks to the investments made in the 2023 legislative session. However, the expiration of that temporary funding, the onset of new unfunded mandates and Governor Walz’s proposed budget cuts threaten to reverse that progress.
Staffing challenges have already forced many nursing homes to reduce admissions or shut down entirely. While investments in Elderly Waiver and the temporary $12.35 rate add-on for nursing homes in 2023 provided some relief, the long-term care sector still has 12,500 unfilled positions and 42% of nursing homes anticipate negative financial performance in 2025 due to the expiration of the rate add-on.
“We made progress in steadying the long-term care sector after the state stepped up, but without investment, that progress will be undone and our seniors will suffer,” said Kari Thurlow, CEO of LeadingAge Minnesota. “We need reliable funding to offer competitive wages and ensure seniors have access to quality care.”
The Long-Term Care Imperative is urging lawmakers to support HF1419/SF1725, which would uphold the state’s responsibility to our seniors by funding the mandates set by the NHWSB and provide annual updates to Elderly Waiver rates. If the Governor and legislature are unwilling to fulfill their commitment to seniors and caregivers, they should pass HF500/SF1531, which would repeal the NHWSB, returning spending authority and oversight to the Minnesota Legislature.
“Our senior population is growing rapidly, and Minnesota is not prepared to meet the level of care that seniors deserve,” said Toby Pearson, CEO of Care Providers of Minnesota. “Lawmakers must act now to make these investments and protect the well-being of seniors, families and caregivers across the state.”
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The Long-Term Care Imperative is a collaboration of LeadingAge Minnesota and Care Providers of Minnesota, two of the state’s largest long-term care associations. The Long-Term Care Imperative is committed to advancing a shared vision and future for older adult housing, health care and supportive services.
Contact:
Ben Hansen, LeadingAge Minnesota
bhansen@leadingagemn.org
651-659-1443
Lisa Foss Olson, Care Providers of MN
lolson@careproviders.org
952-851-2483
