AHCA/NCAL Issues Statement Following House Ways And Means Oversight Subcommittee Hearing On Private Equity In U.S. Health System

WASHINGTON, D.C. – The American Health Care Association and National Center for Assisted Living (AHCA/NCAL), representing more than 14,000 nursing homes and assisted living communities across the country that provide care to approximately five million people each year, released the following statement following the U.S. House Ways and Means Oversight Subcommittee’s hearing, “Examining Private Equity’s Expanded Role in the U.S. Health Care System.” 

The statement is attributable to Mark Parkinson, president and CEO of AHCA/NCAL: 

“Ninety-five percent of nursing homes in the United States were hit by the COVID-19 pandemic, and less than 10 percent of total nursing homes are owned by private equity firms. There are many factors that affect the quality of care in nursing homes, and focusing solely on ownership structure will not achieve better outcomes for residents and staff. 

“In order to continue improving the overall quality of care, we must work toward solutions that increase our nation’s investment in our long term care facilities and incentivize providers to generate great outcomes. That’s why AHCA and LeadingAge have proposed the Care For Our Seniors Act – a package of reform proposals that will address long-standing challenges within our industry and usher in a stronger long term care system. 

“The pandemic has exposed and exacerbated systemic issues that our industry has been calling attention to for years, such as widespread workforce shortages and chronic Medicaid underfunding. The financial crisis nursing home providers are facing has left many struggling to keep their doors open and restricts them from being able to attract more workers, make enhancements to care delivery or modernize their structures. That is why a small number of providers have sought the help of private investors when they can barely stay afloat. 

“As we begin to turn a corner in our fight against the pandemic, we now have an opportunity to create a brighter future for our seniors. We must apply the lessons we have learned from the past year to make substantive reform in our industry. We stand ready to work collaboratively with lawmakers to find solutions that will ensure our current residents and future residents have access to quality long term care options." 
 
ABOUT AHCA/NCAL 
The American Health Care Association and National Center for Assisted Living (AHCA/NCAL) represents more than 14,000 non-profit and proprietary skilled nursing centers, assisted living communities, sub-acute centers and homes for individuals with intellectual and development disabilities. By delivering solutions for quality care, AHCA/NCAL aims to improve the lives of the millions of frail, elderly and individuals with disabilities who receive long term or post-acute care in our member facilities each day. For more information, please visit www.ahcancal.org.