llinois providers file lawsuits to stop competitor's expansion

Three Illinois nursing homes have taken legal action in an attempt slow the expansion of a transitional care-focused competitor in Chicago's western suburbs.

Transitional Care Management received state approval last month to build two new short-term rehabilitation-focused facilities in Lisle, IL, and Aurora, IL, despite pushback from the three other area providers.

Community Nursing and Rehabilitation Center and The Springs at Monarch Landing, both in Naperville, IL, and Bria Health Services in Westmont, IL, filed two lawsuits last week in an attempt to halt proposals for new Transitional Care facilities.

The new facilities would jeopardize the economic performance of existing providers since short-term stays are more lucrative than long-term, Medicaid-funded residents, the lawsuits argue.

The suits also allege that Transitional Care's services are covered in the area by existing facilities that provide short-term rehab. They said the new facilities wouldn't help meet the area's need for more skilled nursing beds since state health officials didn't differentiate between long-term beds and short-term services.

A representative for Transitional Care did not return McKnight's request for comment by press time Tuesday.

In a statement to the Chicago Tribune, the Illinois Health Facilities and Services Review said its review process for new facility applications is “transparent, thorough,” and “based on the totality of the information contained in an application file.”