FOR IMMEDIATE RELEASE
Nov. 17, 2023
Medicare and Medicaid Agencies Finalize Strong Rule on Nursing Home Ownership Disclosure
Washington, D.C. – The Centers for Medicare and Medicaid Services’ decision requiring disclosure of nursing home ownership by real estate investment trusts (REIT) and private equity firms is an essential step towards enhancing transparency and accountability in the healthcare industry.
“We share federal regulators’ concerns about the lack of transparency regarding the ownership and control of nursing facilities that serve Medicare and Medicaid beneficiaries,” said Robert Seifert, senior policy fellow with AFR-EF, and author of the organization’s broader policy recommendations on private equity in healthcare.
The CMS’ final rule today has not changed substantially from the rule proposed in February.
“Concerns about nursing home’s ownership by private equity firms and real estate companies are valid, given the well-documented trend of degrading standards of care in these facilities by extracting much-needed resources, which is a well-documented trend,” said Seifert. “This final rule will bring needed accountability for substandard care to nursing facility owners.”
During the public comment period on the rule, which ended in April, AFR-EF was joined in a letter to CMS by over two dozen organizations supporting a strong final rule. Finalization of the ownership disclosure rule follows the closing last week of the public comment period on another important Administrative action mandating minimum staffing standards in nursing homes.
AFR-EF and other organizations submitted comments urging CMS to pass the strongest possible staffing standards to protect nursing home residents and workers.