Is posting ownership information required?
Attorney John Durso, Ungaretti & Harris LLP
Under Section 6101 of the Patient Protection and Affordable Care Act, nursing facilities must prepare ownership information for submission to the state's HHS Inspector General and the state's long-term care ombudsman.
In addition to other existing laws, Section 6101 requires that these facilities prepare information for inspectors regarding the facility's governing body. Facilities also should identity members of its governing body, persons or entities who own or manage the facility, and certain other “additional disclosable parties.” These additional disclosable parties include persons or entities that exercise operational, financial, or managerial control over the facility, lease or sublease real property to the facility, or provide management, administrative, consulting, accounting or financial services to the facility. The facility also must be able to explain the organizational structure and describe the nature of the relationship of each additional disclosable party, to the facility and to each other.
Currently, nursing facilities must make this information available upon request to the aforementioned agencies. In addition, 90 days after HHS publishes final regulations, nursing facilities must have this information available for HHS in a standardized format. HHS should provide guidance for the submission of this information in its final regulations. Lastly, Section 6101 requires HHS to make this information publicly available within a year following publication of the final regulations.
Compliance is a condition of participation in Medicare and Medicaid. If a nursing facility fails to comply, HHS may either terminate participation or refuse to renew it.
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