Idaho Nursing Facility Sustainability & Quality Act

Idaho Nursing Facility Sustainability & Quality Act

A comprehensive plan to modernize Idaho's nursing facility reimbursement system and unlock millions in federal funds

$259Current Medicaid
Rate Per Day
45thNational Ranking
(of 50 States)
$2.33Federal Return
Per $1 State
$5.3MYear 1 Net
State Cost
$32M+Federal Funds
Generated
The Problem in Plain English: Idaho pays nursing facilities $259 per day to care for Medicaid residents - ranking 45th nationally. The actual cost of care exceeds $370 per day. Idaho's property reimbursement formula uses a $9.24/day base rate set in 1985 - 41 years ago. Meanwhile, Idaho leaves tens of millions in available federal matching funds unclaimed because our provider assessment is well below the federal safe harbor.

Why This Matters

Facilities Closing

Two facilities (157 beds) have closed since 2020. Good Samaritan Boise Village (127 beds, 2021) and Caribou Memorial (30 beds, 2021). More are at risk as margins compress toward zero.

Workers Leaving

CNAs earn $14-17/hour in nursing facilities while Walmart pays $15-19/hour. Idaho's 50.3% staff turnover rate is 9th highest nationally. We can't compete for caregivers.

Federal Dollars Lost

Idaho's 70.01% FMAP means every $1 invested generates $2.33 in federal funds. Our provider assessment at ~3.5% vs the 6% safe harbor leaves ~$45M/year unclaimed.

Residents at Risk

4,500+ Idaho residents depend on nursing facility care. When facilities close, elderly Idahoans must relocate - sometimes 50-100+ miles from family. Rural communities lose essential infrastructure.

Idaho's Long-Term Care Landscape

80+Active Nursing
Facilities
6,200+Licensed
Beds
9,400+Healthcare
Workers
4,500+Residents
Served Daily
Phase 1
September 2026

Foundation

  • Board endorsement vote
  • Sponsor recruitment
  • DHW meeting request
  • CMS Region 10 pre-consultation
  • Coalition outreach begins
Phase 2
October – November 2026

Build Support

  • Coalition letters collected
  • CMS pre-consultation meeting
  • Interim committee presentation
  • DFM briefing
  • Independent economic study commissioned
  • Governor's office meeting
Phase 3
December 2026

Pre-Session

  • LSO bill submission
  • JFAC presentation prep
  • Media strategy finalized
  • Grassroots activation launched
Phase 4
January 2027

Session Opens

  • Bill introduced
  • Press release
  • Op-eds published
  • Committee hearing preparation
  • Vote counting
Phase 5
February 2027

Committee Vote

  • H&W Committee hearing (5 witnesses)
  • Q&A session
  • Committee votes
Phase 6
February – March 2027

Floor & Crossover

  • House floor vote
  • Cross to Senate
  • Senate committee and floor vote
Phase 7
March 2027

Governor Signs

  • Governor Little signs
  • Signing ceremony
  • Press release
Phase 8
April – June 2027

Implementation Begins

  • DHW submits SPA to CMS
  • Negotiated rulemaking begins
  • Workforce fund established
  • Tribal consultation
Phase 9
July 1, 2027

Effective Date

  • Assessment increases to 5.5%
  • Workforce fund distributing
  • Rate floor in effect
  • Hold-harmless active

The Bill: Eight Enhancements

Idaho Nursing Facility Sustainability & Quality Act - amending Title 56, Idaho Code (§56-260 through §56-274)

A
Modern Rate Enhancements
Modernize the existing cost-based system with eight targeted enhancements. Replace the $9.24/day property base from 1985 with actual capital costs from audited cost reports.
▼
Eight Enhancements: (1) Assessment increase 3.5% to 5.5% - captures $28M+ in federal match. (2) Property formula modernization - replace 1985 base with actual capital costs, 75th percentile cap. (3) Rate floor - 95% of statewide median ($352/day). (4) Rural access supplement - +$10/day for counties under 50,000. (5) Sole community supplement - +$10/day. (6) High Medicaid supplement - +$5/day for 80%+ Medicaid census. (7) Quality incentive program - +$5 to +$35/day based on 100-point scorecard. (8) Rate cut protections - 180-day notice, impact study, JFAC review.

Model State: North Dakota ($586/day, cost-based, annual rebase)
B
Unlock Federal Funds
Increase the provider assessment from ~3.5% to 5.5% (below the 6% federal safe harbor). Every $1 assessed generates $2.33 in federal matching funds.
▼
Current: ~3.5% of net patient revenue (~$28.5M/year).
Proposed: 5.5% (~$40.7M/year). Still well below 6% federal safe harbor.
Federal Return: $2.33 per $1 at 70.01% FMAP. Year 1: $32M+ in new federal funds.
Not a tax on Idahoans - 47 of 50 states use this mechanism. Providers pay the assessment and receive back more through enhanced Medicaid rates.

Model State: Indiana (5.5% assessment, successful federal match optimization)
C
Quality Incentives
100-point quality scorecard across 4 domains. Facilities scoring 80+ earn $15/day bonus. Scoring 90+ earn $30/day.
▼
Scorecard Domains:
Domain A: Clinical Outcomes - 40 points (6 measures: falls, pressure ulcers, UTIs, antipsychotic use, rehospitalization, ED visits)
Domain B: Staffing - 30 points (5 measures: total HPRD, RN HPRD, CNA HPRD, turnover, retention)
Domain C: Resident Satisfaction - 15 points (3 measures)
Domain D: Regulatory Compliance - 15 points (4 measures: deficiencies, complaints, special focus)

Tier 1 (90-100 points): $30/day bonus
Tier 2 (80-89 points): $15/day bonus
Below 80: No bonus (no penalty)

Model State: Colorado HB23-1228
D
Rate Floor & Protections
No Medicaid rate below 90% of median documented cost. Comprehensive protections against mid-year rate cuts.
▼
Rate Floor: MAX(calculated rate, 90% × statewide median cost). Based on current data: ~$352/day minimum.

Mid-Year Cut Protections (all 5 required):
1. 180-day advance written notice
2. Access impact study published
3. 60-day public comment period
4. JFAC review and recommendation
5. Legislative leadership notification

Additional Hardening: Fund anti-raid (2/3 supermajority to redirect), assessment no-sunset, maintenance of effort, access monitoring triggers.

Model State: Colorado (rate floor + cut protections)
E
Workforce Pipeline
Dedicated fund for CNA scholarships, wage pass-throughs, nurse loan repayment, and apprenticeships. Weighted toward rural areas.
▼
Funding: Workforce Development Fund from assessment revenue + federal match. NOT general fund.
Year 1: $7.27M

Programs:
• CNA training scholarships and certification costs
• Wage pass-through requirements (funds must reach direct caregivers)
• Nurse loan repayment (RN/LPN working in NFs)
• Apprenticeship programs
• Rural weighting (higher per-worker allocation for rural/frontier facilities)

Context: CNA wages in Idaho NFs: $14-17/hr. Walmart starting: $15-19/hr. 50.3% total staff turnover (9th highest nationally).

Model State: Montana (workforce fund, recent 33% rate increase)
F
Transparent Process
Annual rate calendar published by January 1. Two public hearings, 60-day comment period, JFAC oversight, all data published online.
▼
Rate-Setting Calendar: Published by January 1 each year. No surprise rate changes.
Public Input: Minimum 2 public hearings + 60-day written comment period before any rate change.
JFAC Oversight: Joint Finance-Appropriations Committee reviews annually.
Data Transparency: All rate methodology data, cost reports, and calculations published online.
Annual Report: DHW publishes annual report on rate adequacy, quality outcomes, workforce trends, and federal fund utilization.

Context: Idaho recently cut NF rates on holiday weekends with no advance notice. This reform prevents that.

3-Year Phase-In

Phase 1: FY 2028

Assessment increases to 5.5%. Workforce fund launches. DHW develops methodology. SPA submitted to CMS. Interim rate increases.

Net State Cost: $5.3M

Phase 2: FY 2029

Enhanced rates go live. Budget Adjustment Factor eliminated. Property base modernized from $9.24. Geographic adjustments active.

Net State Cost: $14.6M

Phase 3: FY 2030

Quality scorecard published. Incentive payments begin. Full methodology operational. Acuity add-ons phased in.

Net State Cost: $26.7M

Fiscal Impact

FY 2028FY 2029FY 2030
Assessment Revenue$40.7M$41.5M$42.3M
Federal Match$32.0M$54.0M$82.0M
Total Program$72.7M$95.5M$124.3M
Net State General Fund$5.3M$14.6M$26.7M

Year 1 cost of $5.3M = $2.80 per Idaho resident per year. FY2026 Idaho General Fund surplus: $943M - this bill costs 0.56% of surplus.

Geographic Adjustments

1.00×Urban
(≥50,000 pop)
+5%Rural
(10K-49K pop)
+10%Frontier
(<10K pop)
+5%Sole Community
(additional)

Acuity Add-Ons (Phased In FY 2029-2031)

$35Bariatric
Per Day
$30Behavioral
Per Day
$50Complex Medical
Per Day
$5Access Incentive
Per Day

The Numbers That Matter

Data from CMS cost reports, Idaho DHW rate schedules, and CMS Care Compare July 2026

$9.24Property base rate
set in 1985 - 41 years ago
69¢Of every $1 of cost
covered by Medicaid
47States use provider
assessment (Idaho leaves $ on table)
$2.33Federal return per
$1 state investment
$2.80Cost per Idaho resident
per year

CNA vs. Retail Wages

Idaho CNA Wages$14 - $17/hr
$14-17/hr
Walmart Starting Wage$15 - $19/hr
$15-19/hr

Cost of Care vs. Medicaid Rate

Actual Cost of Care (108-bed Urban SNF)$373/day
$373.21/day
Medicaid Reimbursement Rate$259/day
$259/day (69.4% of cost)
Reformed Rate (Rate Floor)$333/day
$333/day (+$74, +28.6%)

Real Facility Case Study

SNF 1 - 108-Bed Urban Facility

From verified CMS-2540-24 cost report (CY2025). Filed May 2026.

$373Total Cost
Per Day
$259Medicaid Rate
Per Day
69.4%Cost
Coverage
+$1.39MAnnual Reform
Benefit

Property Formula: Current property reimbursement = $9.24 × 3.2 × 0.25 = $7.39/day. Actual capital cost: $53.57/day. Formula covers just 13.8% of true capital costs. The $9.24 base hasn't changed since 1985.

Facilities Lost Since 2020

Good Samaritan Society - Boise Village

127 beds - Closed May 20, 2021. CMS terminated certification after persistent compliance failures. 64 years of service ended. Building converted to senior housing.

Caribou Memorial Living Center

~30 beds - Closed May 1, 2021, Soda Springs. Hospital subsidized $2M annual loss; Medicaid covered only 25% of costs. Nearest nursing facility now 30 miles away over a mountain pass.

Campaign Documents

Complete legislative package - ready for IHCA review and distribution

Legislative

Draft Bill Text

Complete 18-section legislative language for the Idaho NF Sustainability & Quality Act. Amends Title 56 (§56-260 through §56-274).

Open

Legislator Brief

Two-page summary for legislators covering the bill's key provisions and fiscal impact.

Open

Governor's Executive Brief

One-pager for Governor Little's office with fiscal ROI analysis and jobs impact.

Open

Board Resolution

IHCA Board endorsement resolution 2026-01 and supporting member summary.

Open

Committee Testimony

Prepared testimony for H&W Committee with 5-witness coordination plan.

Open

Technical

Technical & Admin Guide

Rate enhancement methodology, quality scorecard rubric, four worked examples, IT requirements.

Open

Full Proposal Report

Comprehensive research report with 50-state analysis and reform framework.

Open

Idaho Proposal Section

Idaho-specific analysis extracted from the national study.

Open

Communications

Communications Package

All pre-written letters, op-eds, press releases, grassroots kit, and media strategy.

Open

Opposition Response Guide

15 anticipated objections with evidence-based rebuttals for committee Q&A.

Open

Strategy

Execution Playbook

9-phase campaign execution guide with milestones, budgets, and risk register.

Open

50-State Dashboard

Interactive national Medicaid rate comparison across all 50 states.

Open

Take Action

Every voice matters. Here's how you can support nursing facility reform in Idaho.

Find Your Legislator Look Up Now
Join the Coalition Sign Up
Share Your Story Tell Us

Email Your Legislator

Pre-Written Email - Copy and Send

Find your legislator at legislature.idaho.gov, then copy and customize this email.

Email the Governor

Email Governor Brad Little

Email DHW Director

Request a Meeting with the Department of Health & Welfare

Join the Coalition

Organization Sign-Up

Add your organization's voice to the reform effort.

Thank you! Your organization has been added to the coalition.

Volunteer

Individual Sign-Up

Thank you for volunteering! We'll be in touch.

Share Your Story

Your experience matters

Personal stories from families, workers, and administrators are the most powerful advocacy tool. Share yours.

Thank you for sharing your story. Your voice matters.

Letter Templates

Copy, customize, and send to your legislator.

Family Member Letter

CNA / Employee Letter

Administrator Letter

Social Media Toolkit

Share these posts on your social media channels.

Twitter/X

Facebook

LinkedIn

Download Resources

Grassroots Kit

Complete facility coordination guide with step-by-step campaign instructions.

Open Kit

Fact Sheet

16-stat fact card for conversations with legislators and community members.

Open Brief

Talking Points

10 key talking points with data-backed responses to common objections.

Open Guide

IHCA Leadership

The team behind Idaho's nursing facility reform effort

Staff

RV

Robert Vande Merwe

Executive Director - Since 2001

LM

Luke Malek, Esq.

Policy Director - Former Idaho State Rep D-4 (2012-2018)

LL

Lindsay Likes

Director of Government Affairs

DL

Dana Leavitt

Director of Member Services

Board Officers

RS

Riley Sessions

President - Parke View Rehab

LT

Landon Taylor

President-Elect - TanaBell

MR

Mike Robbins

Secretary - The Gables

BJ

Breanna Jamison

Treasurer - Cascadia

BB

Brian Bagley

Past President - Lakeside AL

Board Representatives

GW

Gary Weaver

ALF Representative - Edgewood

JA

Jamie Anthony

ICF Representative - Developmental Options

GC

Graham Christensen

MI/DD Representative - Harmony House

JM

Jordan Monson

MI/DD Representative - Cascadia Healthcare

JS

Justin Stenquist

HH/H/HC Representative

Regional Directors

TP

Tiffany Pettit

Regions 1 & 2 - Orchard Ridge

AH

Angie Hillishiem

Regions 3 & 4 - All Care Health Solutions

IH

Isaiah Hawkins

Regions 5, 6 & 7 - Bennett Hills Rehab

Contact IHCA

13945 W. Wainwright Dr., Suite 101, Boise, ID 83713
Phone: (208) 343-9735
Web: idhca.org

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