Bill > SB00125

This bill, effective October 1, 2026, aims to increase transparency and accountability in nursing home ownership, particularly concerning private equity firms and other investment entities. It defines "nursing home" as per existing state law and "ownership entity" broadly to include any individual or company, including real estate investment trusts (REITs), that invests in or purchases a stake in a nursing home. By February 15, 2027, and annually thereafter, nursing homes must report detailed information to the Commissioner of Social Services about their ownership entities, including names, addresses, officers, financial statements, financing details, purchase agreements, and escrow information. Failure to provide this information by the deadline can result in a daily civil penalty of one thousand dollars, with an option for nursing homes to request a fair hearing. Furthermore, nursing homes with ownership entities must secure a performance bond or similar security equal to ninety days of operating costs, which must be submitted to the Department of Public Health upon license application or renewal. Finally, any entity acquiring the real property of a licensed nursing home after October 1, 2026, cannot sell or transfer it within five years without written approval from the Commissioner of Public Health, which will only be granted if the transaction benefits resident care or improves operational stability.