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Partnering with the county could save the underfunded Sunshine Terrace Foundation

 

 

By Savannah Perkins

 

A non-profit rehabilitation and assisted living center in Logan is asking Cache County to take over its ownership.

 

“We are very vital to the community as we provide care,” said Bryan Erickson, the CEO of Sunshine Terrace Foundation which is looking to implement new ownership. “We should establish a partnership to allow us to continue to meet the needs of the community and bring additional funding sources to the foundation.”

 

The foundation's services include physical therapy and fitness, skilled nursing and rehabilitation, assisted living, and hospice care. Funding for these services comes from Medicaid service reimbursements, but Erickson said it's not enough.

 

“We are providing services that are above and beyond what we are getting reimbursed for,” Erickson said. “We are looking for other ways to fill that under-funding.”

 

Erickson explained the upper payment limit is a federal limit on the reimbursement of Medicaid providers. The change from a private to public run entity would increase the level of federal funds allowed because it bypasses the upper payment limit. Erickson said this change would give the facility the opportunity to enhance the quality of care provided. 

 

“Make it better, make it stronger,” said Val K. Potter, a county council member. “It makes sense.”

 

“Sunshine Terrace is wanting to explore this option with Cache County to establish the care center as a partner and be a county-owned operation rather than a foundation," Erickson said. 

 

Medicaid allows the state to reimburse a certain amount of money, but it cannot match the amount that could come from higher federal funding. Erickson said the state could implement Sunshine Terrace as a non-state government-owned Medicaid participating facility if the county were to have ownership. This would allow for an increase in the federal funding the foundation receives. 

 

As of right now, the county contributes around $65,000 each year to the foundation to counter the lack of federal funding. This sum could be eliminated by the county owning the foundation.

 

"I look at this as a win-win for all parties involved,” Erickson said.

 

“I think we all agree that Sunshine Terrace is a great facility,” said Greg Merrill, the Cache County Council chairman. "Both my mother and my father spent the last year of their life there before they passed on, but I would still like the attorney’s office to explore liabilities before we even take that next step.” 

 

Merrill also expressed his desire for a discussion to take place with Millard County and Emery County, both of which have implemented this plan, before any decision could be reached.

 

If the county were to own the operation of the foundation, it would just own the operation of it, not the bricks and mortar. Erickson said this transition would provide more funding for services offered at the foundation. However, liability, excess costs and implementation challenges are the main hesitations for the council restricting a decision at this time. Discussion will continue at the next council meeting on Feb. 23.

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