CHANGE IS IMPERATIVE 2011

59 Nursing Home Closures in

Minnesota Since 2000 (by County)1
FACT CARD 5: NURSING HOMES

To protect our seniors we must preserve the safety
net of access to nursing homes in the state.
When a nursing home closes, the impact is significant to
residents, their families, and staff. Residents may be moved to a
facility that is further away from their loved ones and
community, which can result in fewer visits from family and
friends. This effect is magnified in much of Greater Minnesota,
where the distance between communities with nursing homes
can be significant. This type of isolation can have a negative
impact on a resident’s health.
The growing senior demographic, combined with
nursing home closures, can lead to access issues.
The number of Minnesotans age 85 and older will increase by
more than 100 percent by 20352. Add in the loss of 59 nursing
homes since 2000 and it becomes apparent that we are
heading toward a crisis that we won’t be prepared to meet.

CHANGE IS IMPERATIVE 2011

The economic conditions faced by Minnesota’s nursing Percent of Nursing Facilities at Risk of Closure3
homes put critical safety net in jeopardy. Operating Margins of Negative 5% or Worse
Since 2000, 59 nursing homes across the state have closed and an
additional 14 percent are currently in a state of financial crisis and
may soon be forced to shut their doors. While the impacts of nursing Northwest 26.7%
home closures can be felt statewide, they tend to be even more Northeast 27.3%
significant in Greater Minnesota, where they are often among the
largest employers in town.
14% of All
Nursing home closures have wide-ranging impacts that Nursing Homes
disrupt the lives of seniors and weaken local economies. West Central 8.3% East Central 10.3% in Minnesota are
The loss of a nursing home has a significant impact on the local Facing a
economy. Nursing homes and assisted living establishments support Financial Crisis
more than 112,000 jobs all around the state, and make a direct
economic contribution of more than $3.9 billion each year. In Metro 7.1%
addition, long-term care pays out more than $1.1 billion in state, Legend
federal and local taxes that directly benefit communities, as well as Southwest 14.6% =<10%
Southeast 21.2%
$3.2 billion in labor income that further stimulates local economies.
=10%-20%
As nursing homes close, not only do seniors and their families lose
access to care, but local economies lose access to a significant =20%-25%
economic engine. =>25%

DATA SOURCES: About The Long-Term Care Imperative

The Long-Term Care Imperative is a collaborative effort between Care
1. Long-Term Care Imperative analysis of nursing home closures
2. Analysis of Minnesota State Demographer population projection data. Providers of Minnesota and Aging Services of Minnesota, the state’s
3. Data from 2009 Long-Term Care Imperative Financial Survey. two long-term care provider associations. Our goal is to advance a
shared vision and future for older adult housing, health care, and
supportive services.

FACT CARD 5: NURSING HOMES CHANGE IS IMPERATIVE 2011