Nursing Home Grant Program: Application Guidelines and Resources

An important message from CMS about Civil Money Penalty Reinvestment Program (CMPRP) Revisions

On September 29, 2025 CMS released memo QSO-25-26-NH (PDF), which describes the revised structure of the CMP Reinvestment Program (CMPRP), including:

  • New standardized application form to be used by all applicants.
  • Increased per-project funding limits across all categories.
  • Updated allowable technology project parameters.
  • New project categories to include allowance of mental and behavioral health projects, workforce enhancement projects.
  • New reporting requirements.

The complete CMS memo and additional guidance may be found on the CMS CMPRP website.

The Centers for Medicare & Medicaid Services (CMS) administers the Civil Money Penalty Reinvestment Program (CMPRP) in cooperation with states. This page has resources about the use of federal Civil Money Penalty (CMP) funds. These resources can help eligible entities:

  • Learn about the program.
  • Learn how nursing homes can apply for program funding for in-person and outdoor visitation aids.
  • Learn how to apply for the CMP funds.

Funds may be granted to a nursing home or organization for approved CMP projects to protect or improve the quality of life or quality of care for residents in federally certified nursing homes.

Examples of eligible organizations may include federally certified nursing homes, consumer advocacy organizations, resident or family councils, state agencies, and academic institutions. More information on who may apply for the use of CMP funds can be found on the CMS Civil Money Penalty Reinvestment Program webpage.

Representatives from any group requesting funding or representatives who are in situations where a conflict of interest exists are disqualified from making recommendations.

Funding caps are in place for all CMPRP project categories. See the QSO-25-26-NH (PDF) for more information. Nursing homes must acknowledge, in a letter of support signed by a person authorized to commit facility funds (administrator), that the funds they request as part of a CMPRP proposal count against their funding cap in the funding category during the specific funding period.

More information about eligibility and project criteria, including allowable and non-allowable uses, may be found on the CMS Civil Money Penalty Reinvestment Program webpage and in the memo QSO-25-26-NH (PDF).

The Division of Quality Assurance (DQA) and Quality Assurance and Improvement Committee (QAIC) review all project proposals. The QAIC will judge if your proposal materials comply with program requirements. The committee can accept or reject a proposal, or it can accept or reject part of a proposal. Proposals must follow the instructions provided or else the proposal may be rejected.

The QAIC may request reports to assess the financial stability of an applicant. Proposals may be rejected if the applicant does not have financial stability.

When the application meets criteria, the QAIC committee will request approval from CMS. If CMS approves the request, a contract will be written for the project. Fund recipients will be required to make project reports to the committee at least every three months for the duration of the project, unless the committee decides otherwise.

If your nursing home receives CMP funds, you must let other eligible Wisconsin nursing homes replicate your quality of care and quality of life efforts for residents.

Information about applying for CMPRP funds may be found on the CMS Civil Money Penalty Reinvestment Program webpage and in the memo QSO-25-26-NH (PDF).

CMS administers the CMPRP in cooperation with states. CMP funds originate from monetary penalties charged to nursing homes that are found non-compliant with long-term care rules. CMP funds may be used for a variety of efforts to benefit nursing home residents; to protect or improve their quality of care or quality of life.

CMS has rules for using CMP funds. Information about allowable and non-allowable uses of CMP funds may be found in the following resources:

CMS recently launched a national campaign to increase the number of nurses working in nursing homes in response to feedback from nursing home staff and residents that characterizes staffing as a significant impact on quality of resident care.

CMS will partner with state agencies to use Civil Money Penalty funds to offer financial incentives to recruit RNs/LPNs to work in nursing homes and state inspection agencies.

  • Qualified RNs and LPNs will receive up to $40,000 for tuition reimbursement and/or a $10,000 stipend in return for working three years in a qualifying nursing home or state inspection agency.
    • Recipients will need to work for three years, either: In a qualifying nursing home (high labor-shortage area); or for a state agency as a nursing home surveyor.
    • RNs receive a payment every three months until the three-year work commitment is fulfilled.
    • New RNs without loan debt are still eligible for the stipend.
  • CMS will create financial incentive administrators (FIAs) who will engage in distribute the funds to RNs/LPNs, verify their work status, and work with nursing homes and state agencies to fill their staffing vacancies.

More information about the nursing home staffing campaign may be found on the CMS Nursing Home Staffing Campaign page.

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This content reflects the views and opinions of the advisory council. It may not reflect the official policy or position of DHS.

Glossary

 
Last revised November 14, 2025