Failing to Address Looming Long-Term Care Crisis Will Leave Seniors in Nursing Homes Without Access to Essential Prescription Drugs and Services and Cost Taxpayers Up to $4.8 Billion

DATE: November 17, 2025

New data demonstrates loss of LTC pharmacy services will drive up Medicare spending by reducing quality of care and increasing hospital utilization with a price tag that far outpaces cost of fixing the problem now

Washington, DC (November 18, 2025) — A new analysis from the Senior Care Pharmacy Coalition (SCPC), the leading voice for the nation’s long-term care (LTC) pharmacy community, shows that if Congress does not pass the Preserving Patient Access to Long-Term Care Pharmacies Act this year, it could cost taxpayers up to $4.8 billion in increased healthcare costs over the next decade. Inaction is two to five times the cost of the Act (H. R. 5031 in the House, S. 3159 in the Senate) to avert a crisis in quality of and access to care next year.

While lower drug prices are good for patients, negotiated Medicare Part D prices that take effect January 1, 2026, inadvertently threaten financial viability for the nation’s LTC pharmacies, which serve the most vulnerable seniors who live in nursing homes and assisted living facilities. Unlike retail pharmacies, LTC pharmacies must dispense drugs in special packaging, provide expert consultant services including medication management, and provide 24/7/365 prescription drugs and services to patients in LTC facilities. These specialized services are proven to reduce emergency department visits and hospitalizations and improve health outcomes.

If Congress fails to pass the Preserving Patient Access to Long-Term Care Pharmacies Act this year, SCPC members report that 60% of operators will be forced to close pharmacies next year, 90% will lay off staff, and 80% will have to reduce services and increase charges to facilities and residents in 2026. As a result, hospital utilization and admissions to nursing homes will increase, further driving up the cost of care.

Based on internal SCPC analysis of Medicare data, if utilization increased by just 1% per year due to LTC pharmacy closures and service reductions and if medical inflation is only 2.5% per year, Medicare spending will increase $1.8 billion over 10 years. A more realistic increased utilization rate of 2.5% and medical inflation rate of 4% a year, would increase Medicare spending by $4.8 billion over 10 years. By contrast, the cost of fixing the problem now and averting this crisis is only $825 million over 10 years.

“SCPC members are in Washington this week, making the case with our Members of Congress that inaction is not an option,” said Alan Rosenbloom, President and CEO of SCPC. “Without this LTC pharmacy fix, patients in nursing homes will lose access to essential drugs and LTC pharmacy services and federal spending will increase more than the cost of fixing the problem. Congress must pass the Preserving Patient Access to Long-Term Care Pharmacies Act now. It would be a win for patients, LTC facilities and pharmacies, and American taxpayers.”

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About Senior Care Pharmacy Coalition

The Senior Care Pharmacy Coalition SCPC is the only national organization exclusively representing the interests of LTC pharmacies, representing 75% of the sector overall. Operating in every state, SCPC’s LTC pharmacy members expertly serve nearly 1 million patients daily with essential medications and oversight to improve health outcomes. SCPC represents the interests of its 300 plus members before Congress and the administration to ensure LTC pharmacies can serve patients with high-quality, affordable care, safely. Visit seniorcarepharmacies.org to learn more.