Clarkfield Care Center Administrator Paul Luitjens told the Clarkfield City Council at their regular meeting Tuesday that the facility plans to increase rates for their assisted living and home health care programs.
While giving his monthly report, Luitjens told the council that due to a recent market study, the facility has made plans to raise rates for both assisted living and home health care.
The last time rates for the two programs were increased was roughly a year-and-a-half ago. It's generally been the Care Center's practice to keep rates for those programs near the median average for area care facilities. Though final numbers for the increase have yet to be finalized, Luitjens thought that the increase might be somewhere around $50 per day per resident.
During the meeting Luitjens also presented the council with the facility's budget and annual audit.
The good news for the facility is that the number of residents is creeping back up. To date Luitjens said the 52 bed facility was at 43 residents. During the summer months occupancy at the facility dropped to a low of 35 residents.
Last year the facility operated at near capacity for much of the year.
Traditionally, the Care Center fills up during fall and winter months with a slight drop during the summer.
"The first eight months (of the fiscal year) we were kicking butt and it looked like we were going to make money, but for whatever reason we fell off there for a few months," Luitjens told the council. "Do I think we'll be back up to 50 residents this winter? Yes."
Revenue for the facility, in this fiscal year, was down $122,000 from a year ago.
Recently, and perhaps due in part to the Care Center's recent dry spell, the City Council agreed to enter an equitable cost sharing program for publicly owned nursing facilities (ECPN) with the state on behalf of the Care Center.
As is mandated by the program, the city will raise the Care Center's private pay rate by $5 a day and invest $2,078.35 a month, or $24,940.20 annually in the program. In return, the state will pay the Care Center $6,209 a month; providing the facility with $74,509.18 in extra yearly revenue.
The city, meanwhile, will assess the Care Center for city services in the amount of $20,000 a year in an effort to recoup some of their $24,940.20 annual investment into the ECPN program.