| A FEW WORDS FROM OUR C.E.O.
In my column in the last Cottage Door
(Fall, 2003), I noted that "eldercare is the area that is not
adequately reimbursed", and that I didn't see any change on the
horizon. Indeed, the departments that are losing money at the Otis
Health Care Center continue to be Heins Home, Adult Day Services
and the Valley Health Council. For example, our cost per day to
provide care at Heins Home is approximately $100 per resident, and
we charge $69.75 per day because this is what the local market will
bear. Medicaid (Enhanced Residential Care) reimburses us $87.55
per day per resident, but this still falls short of our costs.
Why are our costs so high?
- The level of care needed by residents at Heins Home has increased
which has, in turn, increased staffing needs.
- Within the last two years, we increased our minimum wage at
the Otis Health Care Center, across the board, to $10/hour, what
we felt to be the minimum "livable wage" in this Valley,
where housing and food costs are not inexpensive. The cost of
benefits has increased significantly as well, especially health
insurance for employees.
We're exploring various options with the community at large for providing
eldercare (see related story) in the future.
If you have questions, please call or see me at any time.
Al La Rochelle
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