New York nursing homes and other long-term-care providers were scheduled to receive the federal share of a one-time funding increase in a Medicaid payment cycle with an October 21 check-release date, according to the state Department of Health.
The payment is part of a $445 million gross increase in the state fiscal year 2026 enacted budget for nursing homes, adult day health centers, AIDS adult day health centers and hospice programs. The $445 million figure describes the overall gross funding increase, not a new $445 million federal-only payment.
In its October 1 letter to administrators, the department said the federal-share payment would be processed in Medicaid cycle 2563, with checks released October 21. The letter establishes the planned processing date; it does not confirm that a particular provider has received its money.
The state used two components to calculate each provider’s lump sum. It allocated $385 million of the overall increase based on Medicaid service days, producing a nursing-home payment component equivalent to $14.49 per day. Another $60 million was allocated in proportion to each provider’s Medicaid revenue.
The department said each nursing home and specialty unit’s first component was calculated by multiplying $14.49 by its days reported in the 2024 cost report. For the revenue component, it used each facility’s Medicaid rate as of January 1, 2024, multiplied by Medicaid patient days in that cost report.
These are calculations for a one-time lump sum. The letter does not announce a permanent $14.49 increase in a facility’s daily Medicaid rate.
Providers with multiple service units under the same Medicaid Management Information System identification number have their payment values combined into one payment for that number.
The amount reaching a provider can also be lower than the calculated award. The department said it will recover existing balances owed to the state from these payments, leaving providers only the amount above their liability balance.
The letter directs questions about payments and liabilities to bimamail@health.ny.gov and questions about the one-time payment to NFRates@health.ny.gov.
JBizNews Desk | New York
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