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This report addresses the need for the State to make critical
decisions regarding the Pioneers' Home. First, the Home is in disrepair, and an estimated
$7.9 million will be necessary to correct the problems. Second, a significant increase in
revenues will be needed to continue existing operations. Third, the Home's operating costs
will continue to rise due to the increasing number of residents at the Home requiring
skilled care. We recommend that the Legislature consider establishing a special committee
of experts and interested parties to consider options and make a recommendation regarding
the Home's future. Options include refurbishing and continuing the Home, reducing the
scope of the Home's operations, and phasing out and closing the Home. The audit also found
that the State continues to inappropriately expend monies in the Miners' Hospital
Endowment Fund to support the Home. In addition, the Home has not complied with statutory
requirements in determining resident payments for care. Finally, the Home could reduce the
costs of providing medical care to residents if residents join a Medicare Health
Maintenance Organization.
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