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Home‑care and specialized nursing providers urge rate increases to avoid provider exits
Summary
Agencies serving medically complex patients asked for higher reimbursement — Maxim Healthcare asked for $5/hr for specialized medical care; Phoenix Home Care sought PD waiver at $29/hr and FE levels to $31/hr — arguing increased pay will keep people at home and save Medicaid dollars.
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Multiple home‑care and hospice providers urged the committee to raise reimbursement rates so agencies can recruit and retain caregivers and avoid shifting care back to more expensive institutions.
Hal Oberholzer of Maxim Healthcare asked for a $5 per hour increase to specialized medical care used under the TA and IDD waivers, saying those services often require one‑on‑one, 24‑hour nursing for patients with tracheostomies and ventilators and that current rates hamper recruitment. ‘‘This rate will allow us to recruit, train and retain nurses who provide this valuable service,’’ he said.
Alex Maloojian of Phoenix Home Care and Hospice asked the committee to raise the Physically Disabled (PD) waiver to $29 an hour and the Frail Elderly (FE) waiver levels to $31 an hour, saying current reimbursement (about $19.52/hr) makes the program unviable for businesses. He presented a provider cost comparison that estimated institutional placement at roughly $102,000 per year versus $22,500 per patient per year for home‑based care, claiming substantial per‑patient savings to the state.
Providers emphasized the link between rates and capacity: Phoenix reported serving 144 FE patients after last session’s investments and estimated the organization will save the state millions under home care scenarios. Committee members asked for details on wait lists and utilization; no formal action was taken during the hearing.
Ending: Witnesses asked that the committee consider rate increases as investments that preserve community care and reduce long‑term Medicaid expenditures.

