Long-term Care Quality and Modernization Act of 2006 - Amends titles XVIII (Medicare) and XIX (Medicaid) of the Social Secretary Act to require states to establish a process for joint training and education for nursing home surveyors and providers at least annually as changes to regulations, guidelines, and policy governing nursing facility operations are implemented. Requires individuals newly hired as surveyors to be assigned full-time to a nursing facility to observe actual operations outside of the survey process before the individuals begins oversight responsibilities.
Sets forth provisions related to resumption of nursing aid training program for skilled nursing facilities after correction of deficiencies.
Permits: (1) split or shared Medicare billing by physicians and nurse practitioners in such facilities; and (2) nurse practitioners employed by such facilities to certify skilled care under Medicaid.
Directs the Secretary of Health and Human Services to: (1) establish a condition-based system of physical therapy services based on medical necessity; and (2) utilize an area wage index for such facilities based on wage data from such facilities and not from hospitals to determine a federal per diem for such facilities.
Authorizes the Secretary to exclude from the Medicare prospective payment system for such facilities: (1) high cost and low probability cancer treatment drugs; (2) all ambulance services; and (3) additional items and services that the Secretary determines to be appropriate.
Eliminates the hospital stay requirement for coverage of extended care services under Medicare.
Amends the Public Health Service Act to require the Secretary to establish a national nursing database to be used to predict future nursing shortages.
Amends the Internal Revenue Code to provide for a 10-year recovery period for qualified long-term care improvement property.