Whereas, there is ample evidence that nursing facilities are not hiring and retaining adequate numbers of licensed nurses, nursing assistants and personal care attendants, and that residents are endangered; and

Whereas, the understaffing of nursing facilities is attributed in part to inadequate Medicaid reimbursement, which is currently calculated based on outdated cost information from 1993; and

Whereas, additional funds are needed in order for the Department of Human Services to provide adequate reimbursement to nursing facilities for direct care to residents; and these funds will enable the department to revise its principles of reimbursement to nursing facilities to increase reimbursement under the direct- care cost component to reflect higher costs borne by facilities in recent years based on audited costs reports from facilities in fiscal year 1996; and

Whereas, in the judgment of the Legislature, these facts create an emergency within the meaning of the Constitution of Maine and require the following legislation as immediately necessary for the preservation of the public peace, health and safety; now, therefore,

Be it enacted by the People of the State of Maine as follows:

Sec. 1. Appropriation. The following funds are appropriated from the General Fund to carry out the purposes of this Act.

1999-00 2000-01

HUMAN SERVICES, DEPARTMENT OF

Nursing Facilities

All Other $2,100,000 $2,100,000

Provides funds to increase Medicaid reimbursement to nursing facilities through the direct-care cost component under the department's principles of