Only a quarter of nursing homes and assisted living communities are confident they can remain open for another year or more, reports The American Health Care Association and National Center for Assisted Living.
The findings come from the organization's most recent survey of U.S. skilled nursing centers, assisted living communities, and sub-acute centers and homes.
Four key survey findings:
1. More than half of nursing homes and close to half of assisted living communities said their organization is operating at a loss.
2. The top three costs facilities have incurred due to the pandemic are additional pay for staff, hiring additional staff and personal protective equipment.
3. In total, 92 percent of nursing homes and 62 percent of assisted living facilities said the Provider Relief Fund has been helpful amid the pandemic.
4. Overall, 143 closures or mergers occurred in 2020, with 1,670 projected in 2021.
"Even though COVID cases in long term care are at historic lows, providers are struggling to recover from the economic crisis the pandemic has induced," said Mark Parkinson, president and CEO of AHCA/NCAL. "Too many facilities are operating under shoestring budgets simply because policymakers have failed to dedicate the proper resources, and this can have devastating consequences."