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Providers press for higher Medicaid assisted‑living waiver rates in LB 57 to preserve rural beds

Appropriations Committee
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Summary

LB 57 would align assisted‑living Medicaid waiver rates for rural and urban facilities and increase rates to account for inflation (proposed $88.24/day FY25‑26). Providers said current rates do not cover costs, causing closures and access problems, particularly in rural Nebraska.

Assisted‑living operators, provider associations and local facility administrators told the Appropriations Committee that current Medicaid waiver reimbursement rates for assisted living underpay actual costs and threaten rural access to non‑nursing residential care. LB 57, introduced by Senator Myron Dorn, would apply the Department of Health and Human Services’ rate study recommendations, raise rural and urban rates toward parity, and include inflation adjustments.

Dorn summarized the 2021 DHHS…

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