New Rates for Some Long-term Care Residents

About 2,300 long-term care residents are receiving updated information this week about increases and reductions in the amount they pay for accommodation.

"At the beginning of the year, government improved its approach to long-term care, creating a system that promotes independence, fairness, equity, and choice among residents and their families," Health Minister Angus MacIsaac said today, Sept. 28. "At that time, we said we would review the rates and make the necessary adjustments each year."

Mr. MacIsaac said that letters explaining the revised rates are being mailed by the Department of Health to home administrators, residents and people with powers of attorney before Oct. 1.

The department reviews the following financial areas annually: accommodation costs, the latest income information for those who require a reduced accommodation charge, and the increases made to the old age security/guaranteed income supplement program.

Each year, the Department of Health informs administrators of the maximum amount they can charge individual residents based on the average operating costs for each type of facility.

Effective Nov. 1, 2005, the maximum accommodation charge for a nursing home will be increased to $74.50 per day, up from $73.50 per day. The daily maximum accommodation charge for a residential care facility will be increased to $47.50 from $43.50. The daily accommodation charge for a community-based option will be increased to $44.50 from $43. The daily respite charge in long-term care will be increased to $27.60 from $26.63.

Currently, there are about 6,600 residents in long-term care across the province. About 550 residents pay maximum accommodation charges.

Department of Health staff conducted financial reassessments for about 2,300 residents to determine new, reduced accommodation charges. Any changes in the rates are based on residents' 2004 income information.

"The fee increases reflect the costs of operating long-term care facilities," said Mr. MacIsaac. "We tried to keep any increases to fees to a minimum, while at the same time, making sure residents can keep more of their money in their pockets."

The Department of Health will also adjust two financial areas on Nov. 1 in line with this year's increase to the federal government's old age security/guaranteed income supplement.

Individuals who request a reduced accommodation charge may retain 15 per cent of their income or a minimum retained income amount, whichever is greater. The minimum a senior retains after Nov. 1 will be $2,454 per year, up from $2,400 per year.

Couples who cannot pay the maximum accommodation charge are assessed as well, based on a formula that includes a minimum threshold for the spouse who remains in the community. The spousal income threshold will increase to $14,836 per year, up $316 per year.

The department's 2005-06 budget for long-term care services is about $295 million.

A fact sheet on these changes and other areas of long-term care can be found on the Department of Health website at www.gov.ns.ca/health/ccs/ltc.htm .