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Bill > AB255

WI AB255

Assisted living facility referral agencies and providing a penalty.

summary

Introduced
05/08/2025
In Committee
05/08/2025
Crossed Over
Passed
Dead

Introduced Session

2025-2026 Regular Session

Bill Summary

This bill imposes several requirements related to referring individuals to an assisted living facility in exchange for a fee collected from the assisted living facility. The bill defines an Xassisted living facilityY as a community-based residential facility, a residential care apartment complex, or an adult family home. Under the bill, an agency that refers a prospective resident to an assisted living facility must disclose to the resident any relationship the referral agency has with the assisted living facility, any fee that the assisted living facility will pay to the referral agency, and the fact that the referral agency lists on its website only those assisted living facilities with which the referral agency has a contractual relationship. In addition, under the bill, a prospective resident may at any time terminate all services provided to the resident by the referral agency, including the use of the resident[s personal information. Any fee charged or collected by a referral agency from an assisted living facility for a referral must be set in advance, must be consistent with fair market value, and must be charged or collected only after a resident confirms in writing that the resident utilized the referral agency to move into the assisted living facility. A fee may not be based upon the potential value of a resident to an assisted living facility or a percentage of the value of a professional service provided by the assisted living facility. A referral agency may charge or collect only one fee per referred resident, and no fee may be charged or collected if a resident moves into a referred assisted living facility more than one year after the referral agency and assisted living facility entered into a referral agreement for that resident. A referral agency that violates the provisions of the bill may be required to forfeit up to $1,000 per violation.

AI Summary

This bill establishes comprehensive regulations for referral agencies that help prospective residents find assisted living facilities, which include community-based residential facilities, residential care apartment complexes, and adult family homes. The bill requires referral agencies to provide full disclosure to potential residents about their business relationships with facilities, including any fees they receive, and mandates that these fees must be set in advance and consistent with fair market value. Referral agencies must transparently communicate their financial connections to facilities, disclose the exact referral fee they will receive, and inform prospective residents that they can terminate the agency's services at any time and request removal of their personal information. The bill limits referral agencies to charging only one fee per resident, prohibits fees based on a resident's potential value or a percentage of professional services, and stipulates that no fee can be charged if a resident moves into a facility more than one year after the initial referral agreement. Violations of these provisions can result in a penalty of up to $1,000 per violation, and the attorney general or district attorney can seek an injunction against agencies that do not comply with the regulations. The bill aims to protect prospective residents by ensuring transparency and preventing potential exploitation in the assisted living facility referral process.

Committee Categories

Health and Social Services

Sponsors (9)

Last Action

Representative Udell added as a coauthor (on 07/15/2025)

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