To be considered "affordable," assisted living facilities need to be affordable to the low to moderate income resident, the reimbursement to the facility needs to be adequate, and the cost to the state and federal government needs to be affordable. The resident should be able to pay for care in an assisted living facility with his or her current income and eligible benefits and still retain sufficient funds for health insurance premiums, un-reimbursed medical expenses, and a small personal needs allowance or 5% of his or her income (whichever is higher).
The facility should be able to provide a private room and at least one personal care service for at least 50% of its residents who earn no more than 300% of Supplemental Security Income (SSI). If this is not possible, the facility should provide these services at a rate that is affordable to the resident for no more than current income and eligible benefits plus a personal needs allowance. Facilities should be able to serve this clientele and operate at or near market rate. The state and federal government should not pay more than two-thirds of the current Medicaid nursing home rate for room rental, meals, and assisted living services, using all available public reimbursements.