Skilled Nursing News March 18, 2025
Amy Stulick

Nursing homes owned by eight county-owned hospitals in Indiana generated roughly $2 billion in supplemental Medicaid payments between 2018 and 2023, but only two-thirds of that amount actually went to the nursing homes.

The other third, about $649 million, was made available to the hospitals instead, according to an investigative report published on Tuesday in the Indianapolis Star. Overall, county-owned hospitals in Indiana diverted away more than $2.6 billion in Medicaid money intended to provide care to nursing homes over the course of five years, the report found.

IndyStar characterized the diversion of funds as a “secretive financing scheme,” which the hospital systems rely on to prop up public hospitals. County hospitals had acquired nearly all of Indiana’s county-owned nursing...

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