Inquiry: The Journal of Health Care Organization, Provision, and Financing (Dec 2023)

Financial Performance is Associated With PPE Shortages in Chain-Affiliated Nursing Homes During the COVID-19 Pandemic: A Longitudinal Study

  • Yejin Kang MPH,
  • Samuel V. David PT,
  • John R. Bowblis PhD,
  • Orna Intrator PhD,
  • Brian Downer PhD,
  • Chih-Ying Li PhD, OTR,
  • James S. Goodwin MD,
  • Huiwen Xu PhD

DOI
https://doi.org/10.1177/00469580231219443
Journal volume & issue
Vol. 60

Abstract

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Many nursing homes operated at thin profit margins prior to the COVID-19 pandemic. This study examines the role of nursing homes’ financial performance and chain affiliation in shortages of personal protection equipment (PPE) during the first year of the COVID-19 pandemic. We constructed a longitudinal file of 79 868 nursing home-week observations from 10 872 unique facilities. We found that a positive profit margin was associated with a 21.0% lower probability of reporting PPE shortages in chain-affiliated nursing homes, but not in non-chain nursing homes. Having adequate financial resources may help nursing homes address future emergencies, especially those affiliated with a multi-facility chain.