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Oak Hills launches petition to stop unfunded mandate

Wednesday afternoon Norma Hanson stood at the entrance of Oak Hills Living Center with a petition in hand. The petition which would be sent to Gov. Tim Walz in the Capital urging the Nursing Home Workforce Standards Board’s new “Holiday Pay Rule” not go into effect on Jan. 1, 2025. The new law requires nusring homes increase wages for employees without providing additional Medicaid reimbursements, creating a new unfunded mandate. The drive-up petition signing campaign will continue from 10 a.m. to noon, on Thursday, Dec. 19. Afterward, the petition will still be available for signing at Oak Hill’s front desk. Hanson said the petition can be signed up until noon on December 24.

NEW ULM – For Christmas this year, Oak Hills Living Center residents and the families that depend on the skilled nursing home want to keep it solvent for the next few years.

Unfortunately, Oak Hills and other rural nursing home facilities continue to struggle with staffing issues and delayed reimbursement from the state. In addition to these ongoing problems a new state law is set to go into effect on Jan. 1, 2025, that would force additional unfunded mandates on Oak Hills and other senior living facilities. In response members of the Oak Hills community have launched a petition drive that began Wednesday afternoon.

Several Oak Hills advocates were stationed at the front entrance of the living center with the petition signup sheet ready for any visitor to sign.

Advocates Nancy Beck and Norma Hanson were willing to offer drive-up service. The two would greet vehicles driving up to Oak Hills with the petition for them to sign.

The petition signing began at 1 p.m. they had a dozen signatures in the first few minutes. Dr. Ann Vogel, a member of the Oak Hills Operating Board of Directors, said the goal of the petition is to get the state of Minnesota to fund two of the mandates or rescind them.

Oak Hill advocates, board members and resident family members gather in the entrance of the living center to gather signers for a petition asking to fund or rescind the Holiday Pay Rule, which takes effect January 1, 2025. L to R: Eileen Jacobson, Dr. Ann Vogel, Nancy Beck, Jeanette Landsteiner, Maryls Christensen and Norma Hanson.

The mandate they want to be funded or rescinded is called the “Nursing Home Workforce Standard Holiday Pay Rule.

This new law would require time-and-half pay for all 11 state holidays for nursing home workers. Any staff working on the 11 holidays would receive 150% pay.

The problem is long-term care providers cannot increase wages for caregivers unless the Minnesota legislature makes a Medicaid appropriation to cover this additional expense. No appropriation has been made, meaning this new requirement is unfunded.

Rural nursing homes are already facing funding issues due to delayed reimbursements. In Minnesota, nursing homes are reimbursed for their Medicaid expenses after the state reviews the nursing homes’ annual cost report. However, the review times for rural nursing homes like Oak Hills are far behind nursing homes in metro areas. On average it takes the state Department of Human Services 18 to 24 months to review and reimburse rural nursing homes. This means Oak Hills is reimbursed for two-year-old expenses. The problem has become more severe with inflation.

The result is more rural state nursing homes are struggling and in some cases closing at a time when the need for long-term care is growing. There is concern rural nursing homes could close, forcing residents to relocate to a different facility outside of their home community.

Oak Hills resident Rose Iverson is one of the first to sign the petition being circulated by nursing home advocates.

Vogel said in the event Oak Hill were to close, New Ulm Medical Center (NUMC) would also face a crisis. Currently, when a senior citizen is discharged from NUMC there are local facilities to provide skilled care. However, if there are no local beds are available because of shortages, the senior will need to remain at the hospital, which also has limited space.

“You cannot write a better formula for failure,” Vogel said.

Several residents and their family members spoke out about the need for the Oak Hills.

Paul Landsteiner is a disabled Vietnam veteran living at Oak Hills. His wife Jeanette said it took months to get Paul back to New Ulm after his stroke, but once he returned to his home community in New Ulm and was surrounded by family, he improved.

“The hometown connection is so important,” Jeanette Landsteiner said. “We are thankful Oak Hills is able to meet his complex needs and the local staff is very respectful.”

Paul Landsteiner said it is the people he values most at Oak Hills. This includes the Certified Nursing Assistants (CNAs) who work with him, but also the friends and family who can easily visit him at Oak Hills.

“No one realizes how important it is to have a skilled care facility near home until you need one,” Jeanette Landsteiner said. “We’re so grateful to have Oak Hills.”

Robert “Butch” Domeier has lived at Oak Hills for five months. He said initially he was disappointed he needed the assisted living care, but said the experience was wonderful.

“I am well taken care of and they make sure I exercise,” he said. “The staff are very good at making you feel comfortable.”

His wife Mary Ellen Domeier said after months of trying to address Roberts’s needs on her own, it is a great piece of mind to know he is safe at Oak Hills.

Charles Braunreiter has lived at Oak Hills for two and half years and is one of the most outspoken supporters of the facility.

“This is the best place. I cannot say enough about it,” he said. “The people are so friendly, the food is good and there is much entertainment going on.”

He said one of the best parts of Oak Hills is he can play the concertina in his room and no one complains.

“It is the choice place to be in New Ulm,” he said.

Vogel said Oak Hills is one of the rare nonprofit senior living facilities that is also community owned.

“It is a precious resource, we cannot afford to lose it.”

The drive-up petition signing campaign will continue from 10 a.m. to noon, on Thursday, Dec. 19. Afterward, the petition will still be available for signing at Oak Hill’s front desk.

Hanson said the petition can be signed up until noon on December 24.

Starting at $4.38/week.

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