The Centers for Medicare & Medicaid Services (CMS) has issued a proposed rule that would require nursing homes to disclose additional ownership and management information to CMS and to states. This is part of an effort to increase the transparency of nursing home ownership and management.
It would require nursing homes enrolled in Medicare or Medicaid — the majority of this country’s nursing homes — to disclose additional information regarding owners, operators, and management. For example, nursing homes would have to disclose individuals or entities that provide administrative services or clinical consulting services to the nursing homes.
The proposed rule also includes private equity and real estate investment trust definitions, setting the stage for the disclosure of whether nursing home owners are private equity investors or real estate investment trusts. In issuing the rule, CMS references reports that private equity ownership was associated with increased visits to emergency department, increased incidence of preventable hospitalizations, and increased Medicare costs.
Additional information can be found in a CMS fact sheet.