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Connecticut requires nursing homes to spend 80 percent of revenue on direct resident care starting July 1, 2026

Original title: AN ACT REQUIRING NURSING HOMES TO SPEND EIGHTY PER CENT OF REVENUE ON DIRECT PATIENT CARE.

Last action · April 7, 2026: File Number 461Sponsors: Martin Looney and 2 others

Introduced
Committee
Floor Vote
Passed
Law

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What This Bill Proposed

Beginning July 1, 2026, nursing homes in Connecticut must spend at least 80 percent of their revenue from Medicaid, Medicare, and other sources on direct patient care, with potential reimbursement penalties for noncompliance starting in 2029.

Why it matters

Nursing facility operators face a mandatory operational threshold requiring the vast majority of all incoming revenue to go directly to resident care staffing and supplies rather than administrative overhead or profit, under penalty of lowered state reimbursement rates.

Who It Would Have Affected

Groups the bill's text would have affected, as described in the record. Being affected is not a position for or against it.

Directly affected

Nursing home facilities

Nursing homes must allocate at least 80 percent of all revenue sources to direct resident care and face possible Medicaid reimbursement rate reductions starting July 1, 2028, for noncompliance.

Directly affected

Nursing personnel

Advanced practice registered nurses, registered nurses, practical nurses, and nurse's aides are covered under the direct care staffing definition whose salaries and benefits comprise the expenditure threshold.

Directly affected

Department of Social Services

The department is required to enforce the spending threshold, evaluate facility compliance, potentially adjust reimbursement rates, and incur staffing costs for oversight.

Key Facts

You don't have to trust us. Each fact below is taken straight from the official document - click any one to see the exact passage, highlighted in the original.

Frequently Asked Questions

What percentage of revenue must nursing homes spend on direct patient care under this bill?
Nursing homes must spend not less than 80 percent of funding received from Medicaid, Medicare, and all other payment sources on of residents, effective for the beginning July 1, 2026.
What happens if a nursing home fails to comply with the 80 percent spending rule?
Beginning July 1, 2028, the Commissioner of Social Services may decrease rates of Medicaid reimbursement for any nursing home that does not comply with the spending requirement.
What activities and personnel count toward 'direct care'?
includes hands-on care by nursing personnel such as feeding, bathing, toileting, dressing, lifting, moving, and administering medication, along with related salaries, fringe benefits, and supplies provided by advanced practice registered nurses, registered nurses, practical nurses, and nurse's aides.

What else do you want to know?

News Coverage

No news coverage found yet. Articles are indexed twice daily.

Where This Stands

This bill did not become law - Died at adjournment · on the Senate floor.

Procedural history

9 actions
  1. Apr 7, 2026Connecticut General Assembly
    File Number 461
  2. Apr 7, 2026Senate
    Senate Calendar Number 273
  3. Apr 7, 2026Senate
    Favorable Report, Tabled for the Calendar, Senate
  4. Apr 7, 2026Connecticut General Assembly
    Reported Out of Legislative Commissioners' Office
  5. Mar 30, 2026Connecticut General Assembly
    Referred to Office of Legislative Research and Office of Fiscal Analysis 04/07/26 12:00 PM
  6. Mar 20, 2026Connecticut General Assembly
    Filed with Legislative Commissioners' Office
Show 3 earlier actions
  1. Mar 19, 2026Connecticut General Assembly
    Joint Favorable
  2. Feb 27, 2026Connecticut General Assembly
    Public Hearing 03/03
  3. Feb 26, 2026Connecticut General AssemblyCommittee
    Referred to Joint Committee on Human Services

Version history

Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.

View official text →

Lobbying Activity

No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.

Full breakdown

Who this bill affects and the strongest case for and against it, written only from the bill’s own text.

Sponsors

Discoveries

1 pattern noticed across the record

Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.

policy shift98% confidence

Mandatory Revenue Allocation for Nursing Facilities

The state shifts from general reimbursement modeling to enforcing a strict 80 percent floor on direct patient care expenditures across all payment sources starting in fiscal year 2027.

Connected Entities

Sen. Martin M. Looney, Commissioner of Social Services, Secretary of the Office of Policy and Management and 9 more
PersonSen. Martin M. Looney“Cosponsor of SB 328 from the 11th District.”Map →
PersonCommissioner of Social Services“Commissioner responsible for implementing Medicaid reimbursement methodology and”Map →
PersonSecretary of the Office of Policy and Management“Recipient of agency recommendations concerning nursing home methodology transiti”Map →
OrganizationGeneral Assembly“Legislative body receiving reports on nursing home methodologies and quality met”Map →
OrganizationDepartment of Public Health“Consulted in the collection and reporting of nursing home quality metrics.”Map →
OrganizationDepartment of Social Services“State agency administering Medicaid and quality metrics programs for nursing hom”Map →
OrganizationConnecticut Health and Education Facilities Authority“Issues bonds through which nursing facilities or realty affiliates may finance o”Map →
PersonSen. Lesser“Chairperson of the Human Services Committee on the part of the Senate.”Map →
OrganizationCenters for Medicare and Medicaid Services“Issues national quality measures for nursing home facilities.”Map →
PersonSen. Saud Anwar“Cosponsor of SB 328 from the 3rd District.”Map →
OrganizationHuman Services Committee“Legislative committee reporting that the bill ought to pass.”Map →
PersonSen. Martha Marx“Cosponsor of SB 328 from the 20th District.”Map →

Sources

Analysis Score

0–100
  • Significance20
    Lowered because this bill did not pass (its text scored 75)
  • Controversy60
    Intensity of disagreement among stakeholders
  • Entertainment5
    Compellingness for a non-policy-wonk reader
  • Buzz40
    Current news / social attention level

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