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Build Back Better Includes Historic Workforce Allocations

The Build Back Better Act framework announced by the President last week includes historic allocations to address the workforce crisis that aging services providers are currently experiencing. The Biden administration has negotiated significant funding increases to help address employee retention in long term care and wage increases for workers of long term care organizations.

Some funding items include:

  • $1.6 billion for Nursing Home Workforce Training Grants, from fiscal years 2023 to 2026, for all long term care providers to address staffing shortages. Funds must be used for wage subsidies, tuition assistance, child care, and transportation assistance and provided by state entitlement allocations.
  • $150 billion for Medicaid Home and Community-Based Services (HCBS) Expansion, which allows for a 6 percent increase in the Medicaid Federal Medical Assistance Percentage (FMAP) (and 2 percent increase during the first six quarters) if states agree to implement plans to strengthen and expand the HCBS workforce. Increases in HCBS rates are to be passed through to workers to improve compensation for direct care workers.

More detail on the framework is provided in this LeadingAge National article. LeadingAge NY will keep members updated as this legislation moves through Congress.

Contact: Meg Everett, meverett@leadingageny.org, 518-929-9342