Cost of Publicly Funded Long-Term Care

Cost of Publicly Funded Long-Term Care

Fees for publicly funded long-term care are set by the Ministry of Health under the Continuing Care Act(1) and the Continuing Care Fees Regulation.(2) The Ministry of Health sets the formula for calculating subsidized fees and may adjust it periodically. Individual fees are assessed annually, based on the resident’s current income tax assessment. This is not decided by individual facilities.

The fee is based on the resident’s after-tax income as assessed by the Canada Revenue Agency (CRA) and reviewed and adjusted annually. Residents who want to qualify for a subsidized rate must formally consent to share their income information with the health authority. The health authority may not share income information with facility operators, only the assessed fee.

Financially eligible residents pay a monthly fee. There is a minimum and maximum client fee per month. For residents who fall between the minimum and maximum client, fee, they pay a rate of 80% of their after-tax income. For those residents who have an after-tax income under $1625, they pay a rate of their after-tax income minus $325.(3)

There are fixed fees for residents of long-term care who are receiving support or shelter allowance under the Employment and Assistance Act(4) or the Employment and Assistance for Persons with Disabilities Act.'(5)

If payment of the assessed monthly rate would cause serious financial hardship to a resident or their family, they may apply to the health authority for a temporary rate reduction for up to 1 year. If this hardship persist beyond the original rate reduction period, the resident or their family may re-apply.(6)

The Residential Tenancy Act(7) does not apply to care facilities. However, operators of subsidized care facilities cannot change rates unless authorized by the regional health authority. The fees in private hospitals are not regulated.

References

1. “Continuing Care Act,” RSBC 1996, c 70, online: <http://canlii.ca/t/84gx>.
2. “Continuing Care Fees Regulation,” BC Reg 330/97, online: <http://canlii.ca/t/85gj>.
3. British Columbia, Ministry of Health,” Home and Community Care Policy Manual,” (6 February 2023) at ch 7.B, online: <http://www2.gov.bc.ca/gov/content/health/accessing-health-care/home-community-care/accountability/policy-and-standards/home-and-community-care-policy-manual>; “Continuing Care Fees Regulation,” BC Reg 330/97, online: <http://canlii.ca/t/85gj>.
4. “Employment and Assistance Act,” SBC 2002, c 40, online: <http://canlii.ca/t/84l7>.
5. “Employment and Assistance for Persons with Disabilities Act,” SBC 2002, c 41, online: <http://canlii.ca/t/84l8a>.
6. British Columbia, Ministry of Health, “Home and Community Care Policy Manual,” (6 February 2023) at ch 7.B, online: <http://www2.gov.bc.ca/gov/content/health/accessing-health-care/home-community-care/accountability/policy-and-standards/home-and-community-care-policy-manual>.
7. “Residential Tenancy Act,” SBC 2002, c 78, online: <http://canlii.ca/t/84lm>.

This information applies to British Columbia, Canada. Last reviewed for legal accuracy by Seniors First BC, February 2024.