Residents forced by state policy to live in a nursing home filed a lawsuit against the state for at-home care. The state policy essentially mandates that Medicaid beneficiaries live in a nursing home instead of providing them assistance while allowing these residents to live in, for example, subsidized housing. The policy has created immense inefficiency because residents receive little spending money to the extent that many cannot afford transportation, phones, or their own food.
The state does provide a limited number of at-home programs that do save money. However, in many cases, Medicaid spends $4,000 per month one a single patient for nursing home care. The same funds could be used to assist those living at home, thereby saving thousands of dollars for Medicaid and providing a higher level of care. Fears over nursing home abuse and neglect have even prevented many individuals that ought to obtain assistance from seeking Medicaid because they will likely be required to live in a nursing home.
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