Seniors and people with disabilities should be able to stay in their homes for as long as possible. Washington state has earned the AARP’s number-one rating for long-term service supports, in part because of the state’s enormous transition towards home-based care. Since 1992, the population of long-term care recipients receiving care in nursing home settings has decreased 44%, while those receiving home-based care has increased 175%. Funding for home-based care is now a majority of Washington state’s spending on long-term care, after having been less than a fifth in 1993. This approach has saved Washington state over $4 billion in Medicaid costs during that time. In 2019, this approach culminated in Washington state’s passage of a first-in-the-nation publicly-funded Long-Term Care Benefit, which provides financial support for long-term care needs that help people remain in their homes and avoid having to turn immediately to Medicaid to address these needs. The program constitutes a “breakthrough” in how our state handles this critical challenge.
The rest of the country deserves the same investment in our population that Washington state enjoys. As president, Governor Inslee will make Washington’s success national.
Long-Term Care Enabling Seniors and People with Disabilities to Remain at Home
Washington state offers the model for America to tackle the enormous increase in projected aging and related costs in the coming decades. The long-term care benefit signed into law in Washington state ensures that individuals in need of long-term care will be able to access it — whether related to aging, mental or physical disability, or injury. The system is progressively financed and creates a financial support of up to $36,500 annually per person — or a daily benefit of up to $100 per day — to help cover the costs of long-term care. The families and patients in need of care may apply the benefit as befits their needs for a wide range of services: adult day services, in-home personal care, assisted living services, adult family home services, nursing home services, care transition coordination, dementia support, home safety evaluation, adaptive equipment, respite for family caregivers, transportation, home-delivered meals, education and consultation, relative care, professional services, and services to assist family members care for eligible individuals.
Building on his success in Washington, Governor Inslee will propose a publicly-funded long-term care trust benefit for the United States: a social insurance program that provides financial support for services to help people stay in their homes as they receive long-term care, and defray the costs of institutional care as they need it. People should not have to impoverish themselves, leave the workforce, or rely exclusively on Medicaid as the payer of last resort to address these needs. The federal government will establish standards and guidelines, collect the needed funds and administer a national program through the Center for Medicare and Medicaid Services (CMS). This approach will meet the challenge of long-term care costs for patients, families and states, help provide financial security for families and caregivers, and provide peace of mind that patients can receive the long-term care they need and remain in their homes as long as possible.
As a long-term care benefit advances through the legislative process and is implemented during the first term of an Inslee Administration, seniors and people living with long-term disability should not have to wait to experience the financial security and home-based care supports that the national program is intended to provide. Governor Inslee’s plan calls for immediately making improvements to Medicaid funding and payment structures to implement these changes even while the national long-term care benefit structure is established through Medicare. The plan calls for:
- Providing financial incentives through Medicaid for states to expand access to home-based and community services (HBCS).
- Changing the statutory bias within Medicaid to eliminate the favoritism shown towards institutional care. Currently, nursing home care is a mandatory benefit of Medicaid programs, but home care is an optional program. Home-based care should be the preferred option whenever possible, with the costs of nursing home care supported as appropriate given the medical needs of a particular patient.
Supporting the Home Health Care Workforce and Family Caregivers
The escalating needs of the elderly population in the United States create an ever-growing, and unmet demand for both home healthcare workers and family caregivers. Today, nearly 3 million people are employed as home health aides or personal care aides, and another 1.2 million are expected to enter this field by 2026. Yet over 40 million additional people provide aid to friends, loved ones, veterans, or family members in need of caregiving, providing in 2013 alone 37 billion hours of uncompensated care worth $470 billion — more than the amount spent that year by Medicaid on healthcare and long-term care combined. The caregivers who selflessly provide this vital care often bear a special burden, working full-time or part-time jobs while also providing care. These higher-hour caregivers experience higher levels of stress, and most — 57% — do not have any additional support in meeting their obligation to a loved one in need.
America must invest in the workforce necessary to meet this already tremendous need. Yet home healthcare workers, and the essential services that they provide, have been consistently undervalued. Despite the much-higher than average demand for home health and personal care aides, median pay for these positions in 2018 was $11.50 — or $24,000 per year. Like any position, quality providers of care will be attracted by good family-supporting wages, strong benefits, and strong protections for the right to organize. Investing in a strong home healthcare workforce is key to providing economic security for those workers and their families, as well as their patients, achieving cost savings throughout the Medicaid system, and providing peace of mind for the tens of millions of Americans meeting this need today with little support.
To achieve the goal of access to quality home healthcare from fairly compensated and well trained workers, Governor Inslee’s plan calls for:
- A guarantee that all home healthcare workers can join together in a union or other worker organization and have a collective voice in discussions concerning issues that affect them and the people for whom they care. Workers must be allowed to pay dues and be active in organizations without retaliation, regardless of the employer model or program under which they provide services.
- Ensure home healthcare workers are paid a minimum $15 per hour by 2024, with increases thereafter pegged to the median hourly wage. Inslee’s plan also calls for home healthcare workers to be protected against workplace harassment.
- Partnering with union experts and federally funded workforce providers to create labor-management training and certificate programs that improve worker safety, expand worker skills, and allow for and protect opportunities for workers to join unions. Governor Inslee has helped to create the model for this type of training program in Washington state through the SEIU Healthcare NW Training Partnership — the nation’s largest training provider serving home healthcare workers who provide long-term care for home care recipients. Home healthcare workers participating in such programs can expect commensurate increases in pay to reflect increased training and experience.
- Create a national home care workforce board to set national standards, particularly around training, compensation and benefits. The workforce board would advise the Department of Labor and CMS on home care workforce issues and concerns, make rate recommendations, and recommend measures to protect against wage theft and ensure fair labor standards, as well as addressing recruitment and retention issues nationally.
- Ensure employment and labor rights for home care and other domestic workers, who have historically been left without the benefit of these essential rights. We must establish these rights where they do not currently exist, and enforce them where they do.
- Create and enforce adequate federal nursing home staff minimum requirements to improve quality for home residents and workforce stability, updating federal requirements that have not changed in more than 30 years. A lack of adequate staff leads to high worker injuries, with Certified Nursing Assistants having one of the highest injury rates of all job classifications.
- Develop innovative models of representation, including structures that enable sector-wide bargaining for nursing home and other long-term care workers in order to level the playing field among nursing care providers and create mechanisms to ensure that workers at the bottom of the pay scale — who have seen little increase in wage levels over the last decade — can earn a living wage.