Nursing Home Profits Up, So Were Losses

by Gwen Moritz  on Monday, Apr. 21, 2014 12:00 am  

About 70 percent of the nursing homes in Arkansas made a profit in the year that ended June 30, 2013, according to cost reports audited by the Arkansas Department of Human Services.

Under the state Freedom of Information Act, DHS released financial data for 192 nursing homes that participate in the joint federal and state Medicaid program, which pays for most nursing home care.

Net incomes ranged from just over $1.4 million at both the Nursing & Rehabilitation Center at Good Shepherd and Briarwood Nursing & Rehab Center, both in Little Rock and both with 120 beds, to a loss of almost $1.5 million at 140-bed Northridge Healthcare & Rehabilitation in North Little Rock.

Get the List: Click here to buy the list of Arkansas' profitable nursing homes.

Full-year cost reports were not available for new facilities or facilities that changed ownership during the fiscal year.

Of the 192 facilities for which full-year cost reports were available, 132 at least broke even. The total net income for the profitable facilities was a hair under $56 million, up from $49 million in 2012. The remainder had losses that totaled just under $14 million, including that of Northridge. That’s up from about $9 million.

For the first time, some nursing homes are currently receiving daily Medicaid reimbursement rates above $200: Greystone Nursing & Rehab in Cabot and Sherwood Nursing & Rehabilitation.

The average daily rate being paid for January-June 2014 is weighted to account for overpayments or underpayments the previous year.

The average Medicaid reimbursement rate being paid to all participating nursing homes in the state — 226 of them — is $170, up about $5 a day from a year ago.

 

 

Please read our comments policy before commenting.
Search

Latest Arkansas Business Poll

Should the alcohol amendment remain on the ballot?