Revolutionizing Medicare: Biden’s new executive order connects turnover to healthcare rates.
The announcement comes as the program’s trustees have projected a shortfall for the coming year of more than $100 billion in federal spending on behalf of the elderly.
President Joe Biden signed an executive order Tuesday morning, calling for the expansion of Medicare coverage for long-term care services. The order begins to implement a plan laid out in the Affordable Care Act to expand Medicare coverage for all Americans with long-term care needs. A program that has been marketed as a way to improve the quality of care while also reducing costs.
The White House said the order allows states to receive federal funds to help cover the cost of the coverage. The program will be phased in over 4 years, with the administration offering more money to states that implement it faster.
The order also calls for more than $300 million in new grants to expand access to long-term care services like home health aides and personal care.
Under the plan, Medicare would cover a majority of the costs of skilled nursing and home health care, and would require Medicare premiums to be paid in exchange for the ability to purchase a private insurance plan. In addition, the administration will direct the Department of Labor to issue regulations and guidance that “build on” the minimum staffing standards for nursing homes and condition a portion of Medicare payments on how well a nursing home retains workers.
