Increase in Medicaid personal allowance proposed

Residents of nursing homes and assisted living facilities would receive an increase in their personal needs allowance under a bill heard Jan. 31 by the Health and Human Services Committee.

LB705, introduced by Lincoln Sen. Colby Coash, would require the state Department of Health and Human Services to include in the standard of need for eligible aged, blind and disabled persons at least $75 per month for a personal allowance, if an individual resides in an alternative living arrangement. Currently, the personal allowance is $50 for nursing home residents and $64 for individuals in assisted living facilities.

Coash said the personal allowance amount has not increased since 1999.

“This bill could have a significant impact on people in need,” he said.

Keith Fickenscher, former administrator of the Grand Island Veterans Home, testified in support of the bill. He said small things that can greatly improve nursing home residents’ quality of life, such as haircuts, over-the-counter pain relievers and snacks are much more expensive than they were 15 years ago.

In addition, he said, many residents spend up to half of the current allowance each month to prepay funeral expenses so that their children will not be burdened when they die.

“This increase of $25 is needed, it is warranted and it is long overdue,” Fickenscher said.

Nick Faustman of the Nebraska Health Care Association also testified in support of LB705, saying many residents struggle to cover all of their personal needs with the current allowance.

“This modest increase in the resident allowance would make a world of difference for so many,” Faustman said.

No one testified in opposition to the bill and the committee took no immediate action on it.