Can POA be used when implementing nursing home care?

I'm not sure I understand the question. A regular POA does not have authority to determine where the person lives. A medical POA (healthcare proxy) does have that authority IF the person is not competent to make that decision.

What kind of POA is involved in this question?

I don't understand how "maintain home for spouse" fits into this question.

Perhaps a few more details would result in more specific answers.

Are you asking if POA has authority to move the elder from AL to NH? And that there is a spouse in AL? Do you have POA for both?