New nursing home fee formula 'unacceptable,' says seniors advocate

A seniors advocate says theprovincial government'snew nursing home fee formulais "unacceptable."

Cecile Cassista, executive director of the Coalition for Seniors and Nursing Home Residents Rights, says her group still opposes getting any more money from seniors even high-income ones.

She predicts the government will have a difficult time selling the new plan.

Cassista was responding toSocial Development Minister Cathy Rogers unveiling details about the plan during a news conference in Moncton Monday.

Some New Brunswick seniors will be facing substantially increased fees for nursing home care, but not as substantial as first announced,and not right away for some, Rogers revealed.

The provincial governmentis establishing a new cap on nursing home fees of $175 per day, she said.

It's a 55 per centincrease over the current cap of $113 and will raise the annual maximum cost of staying in a nursing home to nearly $64,000, for those the government deems can afford to pay.

The increase is about half what the Gallant government announced in itsMarch 31budget when Finance Minister Roger Melanson said nursing home care costs, which he put at $233 per day per person, would be subject to no cap at all.

Cash from home salesexempt

The move was meant to raise money from a limited number of seniors who could afford to pay more for care, but Rogers now says the key element in the calculation looking at seniors' savings and liquid assets to determine their ability to pay will not apply to anyone currently in a nursing home.

In addition, Rogers said lower income seniors would see reductions in what they have to pay, further eroding revenue gains from the changes.

The higher fees will eventually apply to those seniors who are determined to have high enough incomes, or substantial enough liquid assets to pay.

But Rogers said in those cases the government would exempt from its calculations the first $50,000in cash or investments held by an individual in care, and $100,000 held by a couple.

If seniors sell their homes and put the money in the bank, thatcash will also be exempt, she said.

"We know that seniors have worked their whole lives to build financial security and they should not have to lose what they have built in order to get proper nursing care," said Rogers.

"Only those who can afford to pay more are being asked to do so," she said.

Opposition Leader Bruce Fitch welcomed news cash from home sales will not be grabbed by the government.

"It's good that there's been a clarification on the family home and that's something we've been pushing for in the legislature forthe last number of weeks," he said.