Long Term Care Transparency and Accountability
A New York Times analysis found that when private equity firms take over nursing homes, the quality of patient care provided falls dramatically and that deliberate corporate restructuring minimizes tax responsibilities and makes it difficult for the Agency on Healthcare Administration (AHCA) to hold nursing homes accountable for the care they provide.
The licensing process is the first line of defense to protect Florida’s seniors. But our current licensing statutes for nursing homes and assisted living facilities do not adequately assure accountability and transparency in the face of these deliberately complicated corporate structures. Increasing financial transparency will also help legislators make informed decisions as they seek to reign in state expenditures without jeopardizing resident care.
SB1668: Enact Meaningful Reforms to Ensure Transparency and Accountability
The Legislature should act now and reform to the nursing home and assisted living licensure process to ensure that nursing homes are truly accountable to the Governments and their residents. Now is the time to take action to protect Florida’s taxpayers and seniors.
Nursing Home and Assisted Living Licensees must:
- Provide proof of financial capacity to properly care for and staff residents.
- Disclose controlling interests – those who actually make management and policy decisions for each nursing home, as well as all affiliated entities, including real estate owners, lessors, lessees, and management companies.
- Disclose citations, judgments or penalties related to healthcare provision or misuse of public funds by any affiliated entity or controlling interest.
- Disclose the terms of any contracts with affiliated entities, to monitor self-dealing and ensure fiscal responsibility.
- Notify Residents, family members and staff of any pending change of ownership.
AHCA must:
- Be permitted to fully investigate prospective long term care operators, to ensure that they are truly qualified to care to Florida’s seniors.
- Allow residents, family members, and workers to submit comments concerns on any change of ownership and take that input into account in their decision to issue a license.
- Expand their website to include key controlling interest information so that consumers can make an informed choice when placing a loved one in a nursing home.