Nursing home surge in Victoria COVID infections

Victoria has recorded a surge of COVID-cases in several aged care homes in the Melbourne metro region.

Eastia says despite the positive results by staff, it has “had no known instance of COVID-19 infection amongst its past or current residents at the present time”.

Victoria has recorded a surge of COVID-cases in several aged care homes in the Melbourne metro region on Monday.

Fourteen residents of an aged care facility in Essendon have tested positive to COVID-19 and been transferred to hospital.

Menarock LIFE in Essendon reported on Monday that 14 residents and 17 staff have tested positive, a total of 31 cases compared to the 26 cases announced by the Victorian Chief Health Officer earlier on Monday.

In a media release Menarock LIFE said 21 residents have returned negative COVID-19 results and have been retested with results pending.

On its website the company reports the facility holds 55 beds and currently has two vacancies.

An infection control coordinator is now stationed at the facility and the site has been provided with PPE supplies from the national medical stockpile.

All of the COVID-19 positive residents have been transferred to hospital for ongoing clinical care.

In the statement, the company said it was working with the Australian Government Department of Health, the Victorian Department of Health and Human Services, the Aged Care Quality and Safety Commission, and the Royal Melbourne Hospital to manage the situation.

Chief executive Kath Warren said the health and wellbeing of the residents was the organisation’s priority.

“We appreciate that this is a very difficult time for our Menarock community at Essendon,” she said.

“We are working closely with federal and state health authorities and infection control experts to manage this COVID-19 outbreak.”

Elsewhere, thre previously reported cluster of case Glendale Aged Care Facility in Werribee, in Melbourne’s outer southwest, grew by one to 13 on Monday, while two cases were reported at the Japara Central Park Aged Care facility in Windsor.

Victorian Chief Health Officer Brett Sutton said that while 177 new cases reported in the state on Monday was lower than recent previous days, it was not cause for complacency.

“I’m not going to be complacent about today’s number,” Professor Sutton said.

“It’s great that it’s lower than our peak, but it may not be our peak yet.

“I would like to see a week of decreasing numbers before I come and say that I’ve got greater comfort about the direction we’re going in.”

Professor Sutton said he hoped the lower number was a “good sign” as a reflection of actions people took a week or more ago, before all of Melbourne went into lockdown last Wednesday night.

“That’s a small bit of optimism in today’s numbers,” he said.

Professor Sutton said Victoria’s COVID-19 numbers were currently revealing “four or five new outbreaks” every day.

Estia had entered a trading halt on the ASX after its intitial report that two staff had tested positive to COVID-19.

“Neither employee worked while showing symptoms of the illness,” Estia’s board said in a statement to the ASX. “All infection control precautions were put in place immediately upon notification and we are working with the Victorian Health Public Health Unit and the Commonwealth Department of Health to monitor this situation.

“Strict protocols and testing remain in place at all homes and will do so for the foreseeable future, including testing of all new admissions.”

The news came as the company announced a dramatic write down of between $124m and $148m on Monday and secured $5.8m from the federal government in June to help cover the extra costs of caring for vulnerable residents during the pandemic.

The news of infections came after the NSW Nurses and Midwives Association cautioned at the start of the pandemic about the virus spreading into aged care homes, given the sector’s highly vulnerable resident population and lack of nursing and trained infection control staff.

Estia’s board blamed “ongoing uncertainty of future sector funding and financing, exacerbated by the issues arising from the COVID-19 pandemic” for the $124-148m write down.

It said the write down was non-cash and would not impact the company’s debt facilities, compliance with banking covenants or its ability to undertake capital management activities.

Despite the uncertainty from the pandemic, Estia’s board said its occupancy rate had begun to recover towards pre-coronavirus levels of 93.8 per cent.

“Occupancy in mature homes, representing 5,946 operational beds, was 92.7 per cent at June 30 2020, having improved gradually since May 2020 in line with the easing of home and community restrictions arising from the COVID-19 pandemic,” the board said.

“Second half occupancy was 92.6 per cent over the 6 month period, and full 12 month occupancy was 93.2 per cent.”

For its new homes at Southport and Maroochydore, it recorded respective occupancy rates of 100 and 70.6 per cent.

“The spot occupancy rate at 10 July 2020, including these two homes, was 92.6 per cent, with 5,728 of the Company’s total 6,183 operational beds being occupied.”

Despite an initial fall in occupancy rates, Estia said its resident bond liability remained in tact. Residents are required to pay a bond on entering most aged care facilities.

“The total RAD/bond 30 2020, of which $99.9m was represented by probate liabilities. During the second half of the financial year net inflows from the two homes at Southport and Maroochydore in ramp up were $14.0m, net outflows from mature homes were $2.9m and probate decreased by $3.5m from December 31 2019.”

Estia said under its $330m bank facility, net bank debt at June 30 was $99.4m. It said it was “in full compliance with its banking covenants” and “has not sought covenant relief”.