States have a long way to go to comply with the Supreme Court's 1999 Olmstead v L.C. decision that requires Medicaid programs to cover services in the community rather than institutions where possible. So says a new report from the National Council on Disability. Changes to laws, regulations and funding may be needed before states will completely implement Olmstead's mandates for community-based care, the report says. The NCD recommends that the Centers for Medicare & Medicaid Services furnish more explicit guidance on implementing Olmstead and use its waiver program to encourage Olmstead compliance. The report is at www.ncd.gov/whats new.html.
The money will support seven new demonstration programs in Connecticut, Idaho, Kentucky, Louisiana, Nebraska, Puerto Rico and Utah. The awards also will fund the continuation of projects in 32 other states. More details on the grants are at www.hhs.gov/news/press/2003pres/20030813a.html. "Documentation of Prediction Models Used for Risk Adjustment of Home Health Agency Outcome Reports" from the Center for Health Services Research at the University of Colorado is at www.cms.hhs.gov/oasis/riskadj1appa.pdf. Under a 2002 law, the DoD was required to develop a new home-care-focused health care program under TRICARE, says the National Association for Home Care & Hospice. "Under the new program, the number of potentially eligible individuals is expanded, a respite care benefit is added, and the home health care benefit component is improved to include coverage for comprehensive home health supplies and services not limited to part-time or intermittent care," NAHC cheers. The rule is at www.access.gpo.gov/su_docs/fedreg/a030806c.html. Those providers could see their receivables locked up in DVI's bankruptcy proceedings. Like companies that saw their financier National Century Financial Enterprises collapse last year, DVI-financed providers might face Chapter 11 themselves. In New York, pending legislation would also limit the amount of money home care offices could spend on overhead, even if they don't receive money directly from the government, says the company. NYHC reported a net loss of $689,088 on revenues of $10.8 million for the quarter ended June 30. Almost Family Inc. says it's keeping its eye on Medicaid legislation in a number of states. Medicare and Medicaid cuts already enacted have cost the company $450,000. A 16 percent growth in visiting nurse admissions helped offset those losses. The Louisville, KY-based visiting nurse and adult day care service company reported net income of $489,659 on revenues of $21.8 million for the quarter. Similarly, Pediatric Services of America Inc. is keeping close tabs on Medicare legislation in a number of states with budget shortfalls, it says. "We have engaged consultants in selective markets to directly present the Company's cost saving strategies and related rate requests to the respective state Medicaid program," PSAI says. It's also working on other cost-saving programs to help Medicaid programs maintain their rates. PSAI reported net income of $1.35 million on revenues of $54.1 million for the quarter. The company praised its home medical equipment start-ups, and says it plans private duty nursing start-ups in the future. PSAI also plans staffing reductions, it says. AHP emerged from bankruptcy July 1. It continues to fight secured lenders' bankruptcy claims in federal court, it notes.