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Committee approves bill to end nursing-home wage-enhancement payments for FY25-26

Joint Budget Committee
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Summary

The committee approved a bill clarifying that nursing-home provider wage-enhancement payments will end in fiscal year 25-26, regardless of when services were delivered; the motion passed unanimously, and staff may make technical changes.

Committee staff and members discussed a bill drafted to end nursing-home provider wage-enhancement payments and to remove ambiguity about when those payments must stop. Mr. Kurtz summarized that current payments are for services rendered in the prior year and that the draft would "saying there will be no payments in fiscal year 25, 26, regardless of when the services were provided."

Senator Mable moved to approve the bill for introduction; the motion passed on a vote of 6 to 0. The bill will start in the House with the supplemental package and will be sponsored by Representative Brown and Representative Taggart in the House, with Senator Kirkmeyer and others sponsoring in the Senate. Staff were given permission to make technical changes, including appropriations.

The committee framed this as a clarification of payment timing rather than a new benefit cut; the draft aims to remove ambiguity so departments know when payments are no longer permitted.