I'm not an expert on veterans care but I still call shenanigans. 24 hour care is stupid expensive and someone wants me to believe that if they're required to pay more than the current minimum wage they can't afford to be in business? Again sounds like a poor business plan to me.
I'm going to guess that you're not too familiar with the 'business plans' of 'nursing homes'.
First, there are several kinds. To my knowledge the tern "nursing home" isn't actually used in the industry.
To put it as simply as possible lets say there are two types:
1. Private. These can charge what they want for wealthier people. They are usually d@mned expensive.
2. Public. By "public" I mean those that provide care that is primarily paid for by the govt, whether it be Medicare, Medicaid or the VA. They cannot just charge what they want. The govt tells them what they will pay. When you combine that inflexibility of billing with numerous govt regulations it is very difficult to just break even.
The organization in question seems to be one falling into category #2.
I have clients that are that type of facility. I'm not positive, but I don't think they qualify as a 'federal contractor' because they contract through the state govt to provide benefits for Medicaid (and possibly Medicare). I.e., they are a state contractor.
If a home like my clients contracted with the VA they would have to cancel the contract too.
Fern