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The Biden administration has announced a final rule that will be released on Monday, aimed at addressing workforce shortages and improving access to essential home and community-based long-term care services through Medicaid. This rule is a response to feedback received from over 2,000 public comments, and it mandates that at least 80% of Medicaid payments for home health care services go towards workers’ wages, according to a White House fact sheet.

This move is intended to help providers attract and retain caregivers who provide in-home assistance to elderly individuals. By increasing wages, the administration hopes to make these positions more competitive and ultimately enhance the quality of care provided to vulnerable populations.

The announcement of this rule signals the administration’s commitment to improving the availability and quality of long-term care for Medicaid beneficiaries. By focusing on increasing wages for caregivers, the administration aims to address challenges related to workforce shortages and ultimately enhance the overall delivery of home and community-based care services provided through Medicaid.

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