The proposed law in St. Paul would bring more state funding to Ely nursing homes.
The Boundary Waters Care Center is expected to receive an additional $250,000 based on the terms of the bill proposed by state senator D-Hermantown.
“Rural nursing homes have been hit hard, and now cuts in federal funding are trying to completely destroy the industry,” Senator Hauschild said. “That's why it's important that we take action now to get the funds we need for rural nursing homes and keep their doors open for the elderly and their families.”
Hauschild presented two bills to the Senate Human Services Committee. One will be directly allocated to the BWCC, and the other will include providing additional money to rural nursing homes throughout the state.
At the March 6 hearing, Housechild presented a law that would secure $250,000 for the BWCC, a federal designation based on facilities that serve isolated communities.
Earlier this week, Hauschild presented a second bill that would increase funding for the state's key access nursing facility program by $2 million a year.
The program revived two years ago and uses the formula to distribute funds to statewide nursing homes serving rural areas.
Adam Masloski, executive director of BWCC, testified at both hearings.
Without funding from the CANF program, their facilities would have been operating as a loss, according to Masloski. As the only facility of this type, within a 50-mile radius, it is one of the few facilities that operate in a non-profit model, so the closure will destroy families in Ely and the surrounding area.
Masloski reported in late 2024 that nursing homes were facing “cash flow issues.” The future of Ely's nursing home was at risk in early 2023. The BWCC then won about $1.2 million from the state through a combination of measures that is part of a $300 million statewide package for nursing homes.
In 2024, the BWCC received an additional $199,109 from the state to address long-term debt and improvements in its facilities.
The BWCC has also launched a private fundraiser to help the facility fill the troublesome fundraising gap.
Ely's nursing home has approximately 50 employees and is a 42-bed facility.
Both nursing homes and local officials are seeking St. Paul's help to help the community maintain nursing homes. The next temporary facility is approximately 50 miles away.
“As the state's largest and most rural senator, I hear every day about the struggles our nursing homes face. I'm extremely nervous about their future,” Senator Hauschild added. “I'm doing what I can at the state level, but that's a bucket drop that our federal partners can do — for better or worse. I'm pleading with federal colleagues to fight for our community and asking for funding critical programs like Medicaid, the lifeline of these critical facilities.
