Senator Hochadel Leads Passage of Value-Based Nursing Home Reimbursement Model

Senator Jan Hochadel, co-chair of the legislature’s Aging Committee, led passage Wednesday of a bill to establish a value-based Medicaid reimbursement model that rewards quality care and incentivizes nursing homes to provide the best possible care.

The bill, S.B. 1333, passed the Senate unanimously, sending the proposal to the House for consideration during the final week of this year’s legislative session.

The proposal expands a 2022 pilot program at the Department of Social Services, designed to incentivize quality care based on metrics like staffing levels, patient health outcomes, and resident satisfaction surveys. The bill’s goal is to improve the quality of care in nursing homes and to enhance the quality of life for Connecticut seniors.

“We all want the best care and living conditions for our aging loved ones, and some Connecticut nursing homes are already setting a high standard,” Senator Hochadel said. “With S.B. 1333, we’re moving toward a system that incentivizes those results. This legislation rewards the facilities that produce the best patient outcomes, earn high marks from residents and their families, and maintaining safe staffing levels. This policy will raise the bar at long-term care facilities across Connecticut, helping to ensure that every senior can age comfortably wherever they reside.”

Beginning next October, S.B. 1333 will provide grants to nursing homes that demonstrate high-quality outcomes for residents, and incentivizing facilities without high ratings to improve. The proposal relies on bond funding to support its grant payments to nursing homes.

Other provisions of the bill will require that insurers seeking to raise their long-term care policy premium rates first hold a public hearing in cases where that rate increase exceeds 10%. The bill also requires insurers to give policyholders at least two weeks notice ahead of the hearing.

Another section studies the feasibility of expanding a separate pilot program that provides subsidies for assisted living facilities, and examines options to make it easier for older adults to choose where they receive long-term care services.