Centers for Medicare & Medicaid Services Administrator Mehmet Oz announced Monday that his agency is moving forward with $75 million in funding to support a long-awaited tuition reimbursement and training program for nursing home staff.
Oz said in a video that he had sent a letter to all 50 governors notifying them of the funding availability.
CMS initially announced a staffing fund in 2023, in advance of a proposed federal rule that would have required most nursing homes in the country to hire additional registered nurses and certified nurse aids to meet hourly minimum tan.
The agency is now working to repeal that rule, but the Oz video posted to X Monday afternoon indicates the staffing incentive program will live on. No official notice has been posted on the CMS website as of Tuesday afternoon.
“Hard-working nurses and nurse aides are critical to ensuring residents get the best care in safe and inviting nursing homes. But the reality is, we have a shortage of qualified nursing home staff in every state in America. That has to change starting now,” Oz said.
He described the effort as a “great opportunity to take bold action and tackle nursing home staff shortages.”
Oz also said the money could be used for tuition reimbursement or stipends, or states could use it to “streamline training” for CNAs. Oz called the coming actions “game changers,” especially for rural America.
He asked states to “bolster” the program by investing a portion of their civil monetary penalties — collected from nursing home providers previously cited for noncompliance — which would be matched by the federal government to double the investment. Some critics previously said CMS could fund a much larger recruitment and incentive program given significant fines collected and held by states.
In December, CMS had said it planned to offer tuition remission and other financial incentives to encourage more RNs to work in SNFs or for state survey agencies. It also planned to promote nurse aide training programs.
Oz’s 90-second video was short on details, including timing of any rollout, and CMS did not immediately reply Tuesday to McKnight’s Long-Term Care News’ request for a copy of his letter to the states.
According to a timeline published last year, CMS had initially planned to select 10 administrators to run the financial incentive portion of the program by spring; It remains unclear whether any grants have actually been awarded.
CMS was also set to begin promoting CNA training resources by spring. A related website has not been updated since December, even as providers continue facing frontline staffing shortages in many markets.
By this winter, the agency had wanted to allow RNs to begin applying for financial incentives.
The agency said in an email to stakeholders in January that those incentives could include up to $40,000 in tuition reimbursement and/or $10,000 outright to work for a nursing home. In return, selected nurses will have to work three years for a qualifying provider or state.
This is a developing news story. Check back for more details.
