Effective August 1, 2000, Welfare and Institutions Code Section 14110.6 requires the California Department of Health Services to increase rates to all long term care facilities and to include a wage pass-through to improve the quality of care for nursing home residents by requiring affected facilities to increase wages, salaries and benefits of their employees who provide direct patient care. This includes registered nurses, licensed vocational nurses, nurse assistants, plant operations and maintenance, housekeeping, laundry and linen, and dietary staff. Supervisory and non-hospital staff are not eligible for the pass-through. The total amount to be passed-through is calculated by multiplying the per diem increase the facility receives by the number of Medi-Cal patient days in long-term care. The California Department of Health Services will conduct audits of facilities to ensure that the rate increase has been passed on to employees providing direct patient care. A facility that fails to comply will be liable to make restitution to the Medi-Cal program, and to pay a penalty equal to ten percent of the Medi-Cal funds not distributed. The Hospital estimated the wage pass-through for FY 2000-01 to be approximately $197,000, which equates to $1.25 an hour. |