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DOJ Appeals to Keep Staffing Rule
On June 2, the Department of Justice submitted a notice of appeal in the United States District Court for the Northern District of Texas following the Court’s April 7 ruling in favor of the lawsuit to vacate the Center for Medicare and Medicaid Services federal staffing mandate for nursing homes.
“It is unfortunate that more time and taxpayer dollars must be wasted debating this unrealistic regulation when ultimately, our legal arguments will prevail. From the start, the rule has been an unnecessary distraction from the real task at hand: strengthening the long-term care workforce. We appreciate that Congress is counting on using savings from a 9-year moratorium of the rule to offset some of the costs of its damaging reconciliation bill. Nursing homes and other aging services providers need adequate Medicaid reimbursement to invest in workforce recruitment and retention strategies. It’s high time to end the rule and to give nursing homes and other aging services providers the resources necessary to meet the needs of the nation’s older adults,” LeadingAge president and CEO Katie Smith Sloan said in a June 3 statement on the notice of appeal.
The lawsuit was filed by American Health Care Association, LeadingAge, the Texas Health Care Association, and several Texas providers. The next step is for the Court to enter a briefing schedule.
Summary: H.R. 1’s Key Health Provisions
In this new resource, LeadingAge summarizes the key health provisions of the H.R. 1 (the “One Big Beautiful Bill” that passed in the House of Representatives on May 22), with a focus on Medicaid changes and including information on Medicare impacts and the Marketplace. Read the summary here.
- Deeper Dive: Tax Provisions in House Budget Reconciliation Bill Affecting Nonprofits
As our attention and advocacy on budget reconciliation turns to the Senate, we have posted a new article with additional detail about three provisions in the House bill that are harmful to nonprofits. We received a few questions about a House provision that increases unrelated business taxable income for tax exempt organizations that provide transportation fringe benefits to employees, and our write-up highlights that provision and two others, with notes about their impacts. The article is available here and also linked in our Federal Policy Impact on Nonprofits serial post.
- White House: Detailed Budget Request Withheld Until Reconciliation Bill is Enacted
According to statements made by Office of Management and Budget Director Russell Vought on May 28, the White House will not deliver details of its fiscal year 2026 (FY26) budget request to Congress until after the budget reconciliation bill is enacted. Very few predict the reconciliation bill will be enacted by July 4; House appropriators plan to hold committee votes on many funding bills by then. This means that either the appropriations bills will not reflect White House priorities, which would be great considering the massive cuts the White House is seeking, or the appropriations bills could be delayed. The FY26 process unofficially began on May 2 when the White House delivered a broad overview of its request to Congress. The request seeks a 43.6% funding cut for the Department of Housing and Urban Development and a 26% cut for the Department of Health and Human Services’ discretionary programs. LeadingAge opposes funding cuts to HUD and HHS and is working with Congress to ensure that program funding is sustained and, where necessary, expanded.
CDC Issues Updated Vaccination Schedules
Under the direction of Health & Human Services (HHS) Secretary Kennedy, the Centers for Disease Control & Prevention (CDC) issued updated vaccination schedules on May 28. Key changes include a recommendation for shared decision-making for children and adolescents under age 18 and for pregnant individuals. Recommendations for adults over the age of 18 have not changed. LeadingAge members should note that 1) older adults aged 65 years and older are still recommended to receive two doses of the COVID-19 vaccine spaced six months apart and 2) pregnant individuals should discuss vaccine options with their healthcare providers. Remember that nursing homes are required to educate residents and staff on vaccination and should advise residents and staff of these changes.
CMS Updates 2025 and Spousal Impoverishment Standards
CMS released their mid-year updates to Spousal impoverishment standards to reflect the updates to the federal poverty level effective July 1. These changes will affect only the limits for the community spouse’s minimum monthly maintenance needs allowance (MMMNA) – the amount is used to calculate the community spouse’s housing and shelter allowance. Review the informational bulletin here.
Weekly Recaps: June 4, 2025
- Here is your Affordable Housing Weekly Recap.
- Here is your Home Health Weekly Recap.
- Here is your Hospice Weekly Recap.
- Here is your Life Plan Community Recap.
- Here is your Medicaid, HCBS, and PACE Weekly Recap.
- Here is your Nursing Home Weekly Recap.