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| 4 | 4 | | |
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| 5 | 5 | | 2025 -- S 0941 |
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| 6 | 6 | | ======== |
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| 7 | 7 | | LC002174 |
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| 8 | 8 | | ======== |
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| 9 | 9 | | S T A T E O F R H O D E I S L A N D |
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| 10 | 10 | | IN GENERAL ASSEMBLY |
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| 11 | 11 | | JANUARY SESSION, A.D. 2025 |
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| 12 | 12 | | ____________ |
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| 13 | 13 | | |
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| 14 | 14 | | A N A C T |
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| 15 | 15 | | RELATING TO HEALTH AND SAFETY -- CONTINUING CARE PROV IDER |
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| 16 | 16 | | REGISTRATION AND DISCLOSURE |
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| 17 | 17 | | Introduced By: Senators McKenney, Murray, Sosnowski, Tikoian, Lawson, and |
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| 18 | 18 | | LaMountain |
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| 19 | 19 | | Date Introduced: April 04, 2025 |
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| 20 | 20 | | Referred To: Senate Health & Human Services |
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| 21 | 21 | | |
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| 22 | 22 | | |
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| 23 | 23 | | It is enacted by the General Assembly as follows: |
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| 24 | 24 | | SECTION 1. Sections 23-59-1, 23-59-2, 23-59-3, 23-59-4, 23-59-6, 23-59-7, 23-59-11 and 1 |
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| 25 | 25 | | 23-59-12 of the General Laws in Chapter 23-59 entitled "Continuing Care Provider Registration 2 |
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| 26 | 26 | | and Disclosure" are hereby amended to read as follows: 3 |
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| 27 | 27 | | 23-59-1. Definitions. 4 |
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| 28 | 28 | | As used in this chapter: 5 |
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| 29 | 29 | | (1) “Continuing care” means providing or committing to provide board, lodging, and 6 |
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| 30 | 30 | | nursing services to an individual, other than an individual related by blood or marriage: (i) pursuant 7 |
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| 31 | 31 | | to an agreement effective for the life of the individual or for a period in excess of one year, including 8 |
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| 32 | 32 | | mutually terminable contracts, and (ii) in consideration of the payment of an entrance fee and/or 9 |
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| 33 | 33 | | periodic charges. A contract shall be deemed to be one offering nursing services, irrespective of 10 |
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| 34 | 34 | | whether such services are provided under the contract, if nursing services are offered to the resident 11 |
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| 35 | 35 | | entering the contract either at the facility in question or continuing care at home program or 12 |
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| 36 | 36 | | pursuant to arrangement specifically offered to residents of the facility or participants of a 13 |
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| 37 | 37 | | continuing care at home program. 14 |
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| 38 | 38 | | (2) "Continuing care at home program" means a membership-based program that provides 15 |
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| 39 | 39 | | participants with a comprehensive package of support services designed to enable older adults to 16 |
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| 40 | 40 | | live independently in their homes while ensuring access to higher levels of care if needed. Such 17 |
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| 41 | 41 | | services may include, but are not limited to, home care, adult day services, assisted living, and 18 |
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| 42 | 42 | | |
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| 43 | 43 | | |
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| 44 | 44 | | LC002174 - Page 2 of 11 |
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| 45 | 45 | | skilled nursing facility care. Participants in a continuing care at home program shall be required to 1 |
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| 46 | 46 | | pay an entrance fee and subsequent monthly fees for the provision of services. 2 |
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| 47 | 47 | | (2)(3) “Department” means the Rhode Island state department of health. 3 |
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| 48 | 48 | | (3)(4) “Entrance fee” means an initial or deferred transfer to a provider of a sum of money 4 |
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| 49 | 49 | | or other property made or promised to be made in advance or at some future time as full or partial 5 |
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| 50 | 50 | | consideration for acceptance of a specified individual as a resident in a facility or participant in a 6 |
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| 51 | 51 | | continuing care at home program. A fee which is less than the sum of the regular periodic charges 7 |
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| 52 | 52 | | for one year of residency shall not be considered to be an entrance fee. 8 |
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| 53 | 53 | | (4)(5) “Facility” means the place or places in which a person undertakes to provide 9 |
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| 54 | 54 | | continuing care to an individual. 10 |
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| 55 | 55 | | (5)(6) “Provider” means any person, corporation, partnership, or other entity that provides 11 |
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| 56 | 56 | | or offers to provide continuing care to any individual in an existing or proposed facility in this state 12 |
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| 57 | 57 | | or in the individual’s home through a continuing care at home program. Two or more related 13 |
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| 58 | 58 | | individuals, corporations, partnerships, or other entities may be treated as a single provider if they 14 |
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| 59 | 59 | | cooperate in offering services to the residents of a facility or to participants of continuing care at 15 |
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| 60 | 60 | | home programs. 16 |
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| 61 | 61 | | (6)(7) “Resident” means an individual entitled to receive continuing care in a facility or at 17 |
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| 62 | 62 | | home through a continuing care at home program. 18 |
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| 63 | 63 | | (7)(8) “Solicit” means all actions of a provider or the provider’s agent in seeking to have 19 |
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| 64 | 64 | | individuals enter into continuing care agreement by any means such as, but not limited to, personal, 20 |
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| 65 | 65 | | telephone, or mail communication or any other communication directed to and received by an 21 |
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| 66 | 66 | | individual, and any advertisements in any media distributed or communicated by any means to 22 |
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| 67 | 67 | | individuals. 23 |
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| 68 | 68 | | 23-59-2. Registration. 24 |
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| 69 | 69 | | (a) Except as provided in § 23-59-13, no provider shall engage in the business of providing 25 |
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| 70 | 70 | | or offering to provide continuing care at a facility or at a participant’s home through a continuing 26 |
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| 71 | 71 | | care at home program in this state unless the provider has registered with the department with 27 |
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| 72 | 72 | | respect to the facility or continuing care at home program. 28 |
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| 73 | 73 | | (b) A registration statement shall be filed with the department by the provider on forms 29 |
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| 74 | 74 | | prescribed by the department and shall include: 30 |
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| 75 | 75 | | (1) All information required by the department pursuant to its enforcement of this chapter; 31 |
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| 76 | 76 | | and 32 |
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| 77 | 77 | | (2) The initial disclosure statement required by § 23-59-3. 33 |
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| 78 | 78 | | (c) Registration shall be deemed complete if the department has not notified the provider 34 |
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| 79 | 79 | | |
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| 80 | 80 | | |
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| 81 | 81 | | LC002174 - Page 3 of 11 |
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| 82 | 82 | | of incompleteness within ninety (90) days of the filing. 1 |
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| 83 | 83 | | 23-59-3. Disclosure statement. 2 |
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| 84 | 84 | | (a) The disclosure statement of each facility or continuing care at home program shall 3 |
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| 85 | 85 | | contain all of the following information unless the information is contained in the continuing care 4 |
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| 86 | 86 | | contract and a copy of that contract is attached to and made a part of the initial disclosure statement: 5 |
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| 87 | 87 | | (1) The name and business address of the provider and a statement of whether the provider 6 |
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| 88 | 88 | | is a partnership, foundation, association, corporation, or other type of business or legal entity. 7 |
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| 89 | 89 | | (2) Full information regarding ownership of the property on which the facility or continuing 8 |
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| 90 | 90 | | care at home program is or will be operated and of the buildings in which it is or will be operated. 9 |
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| 91 | 91 | | (3) The names and business addresses of the officers, directors, trustees, managing or 10 |
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| 92 | 92 | | general partners, and any person having a ten percent (10%) or greater equity or beneficial interest 11 |
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| 93 | 93 | | in the provider, and a description of that person’s interest in or occupation with the provider. 12 |
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| 94 | 94 | | (4) For the provider, any person named in response to subsection (a)(3), or the proposed 13 |
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| 95 | 95 | | management, if the facility or continuing care at home program will be managed on a day-to-day 14 |
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| 96 | 96 | | basis by a person other than an individual directly employed by the provider: 15 |
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| 97 | 97 | | (i) A description of any business experience in the operation or management of similar 16 |
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| 98 | 98 | | facilities or continuing care at home program. 17 |
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| 99 | 99 | | (ii) The name and address of any professional service, firm, association, foundation, trust, 18 |
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| 100 | 100 | | partnership, or corporation or any other business or legal entity in which the person has, or which 19 |
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| 101 | 101 | | has in the person, a ten percent (10%) or greater interest and which it is presently intended will or 20 |
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| 102 | 102 | | may provide goods, leases, or services to the provider of a value of five hundred dollars ($500) or 21 |
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| 103 | 103 | | more, within any year, including: 22 |
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| 104 | 104 | | (A) A description of the goods, leases, or services and the probable or anticipated cost 23 |
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| 105 | 105 | | thereof to the provider; 24 |
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| 106 | 106 | | (B) The process by which the contract was awarded; 25 |
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| 107 | 107 | | (C) Any additional offers that were received; and 26 |
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| 108 | 108 | | (D) Any additional information requested by the department detailing how and why a 27 |
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| 109 | 109 | | contract was awarded. 28 |
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| 110 | 110 | | (iii) A description of any matter in which the person: 29 |
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| 111 | 111 | | (A) Has been convicted of a felony or pleaded nolo contendere to a felony charge, or been 30 |
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| 112 | 112 | | held liable or enjoined in a civil action by final judgment if the felony or civil action involved fraud, 31 |
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| 113 | 113 | | embezzlement, fraudulent conversion, or misappropriation of property; or 32 |
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| 114 | 114 | | (B) Is subject to an injunctive order of a court of record, or within the past five (5) years 33 |
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| 115 | 115 | | had any state or federal license or permit suspended or revoked as a result of an action brought by 34 |
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| 116 | 116 | | |
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| 117 | 117 | | |
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| 118 | 118 | | LC002174 - Page 4 of 11 |
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| 119 | 119 | | a governmental agency or department, arising out of or relating to business activity or health care, 1 |
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| 120 | 120 | | including without limitation actions affecting a license to operate a foster care facility, nursing 2 |
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| 121 | 121 | | home, retirement home, home for the aged, or facility or continuing care at home program 3 |
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| 122 | 122 | | registered under this chapter or similar laws in another state; or 4 |
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| 123 | 123 | | (C) Is currently the subject of any state or federal prosecution or administrative 5 |
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| 124 | 124 | | investigation involving allegations of fraud, embezzlement, fraudulent conversion, or 6 |
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| 125 | 125 | | misappropriation of property. 7 |
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| 126 | 126 | | (5) A statement as to: 8 |
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| 127 | 127 | | (i) Whether the provider is or ever has been affiliated with a religious, charitable, or other 9 |
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| 128 | 128 | | nonprofit organization, the nature of any such affiliation, and the extent to which the affiliate 10 |
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| 129 | 129 | | organization is or will be responsible for the financial and contractual obligations of the provider; 11 |
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| 130 | 130 | | and 12 |
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| 131 | 131 | | (ii) Any provision of the federal Internal Revenue Code, 26 U.S.C. § 1 et seq., under which 13 |
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| 132 | 132 | | the provider is exempt from the payment of income tax. 14 |
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| 133 | 133 | | (6) The location and description of the real property of the facility, existing or proposed, 15 |
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| 134 | 134 | | and to the extent proposed, the estimated completion date or dates of improvements, whether or not 16 |
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| 135 | 135 | | construction has begun and the contingencies under which construction may be deferred. 17 |
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| 136 | 136 | | (7) The services provided or proposed to be provided under continuing care contracts, 18 |
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| 137 | 137 | | including the extent to which medical care is furnished or is available pursuant to any arrangement. 19 |
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| 138 | 138 | | The disclosure statement shall clearly state which services are included in basic continuing care 20 |
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| 139 | 139 | | contracts and which services are made available by the provider at extra charge. 21 |
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| 140 | 140 | | (8) A description of all fees required of residents, including any entrance fees and periodic 22 |
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| 141 | 141 | | charges. The description shall include: (i) a description of all proposed uses of any funds or property 23 |
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| 142 | 142 | | required to be transferred to the provider or any other person prior to the resident’s occupancy of 24 |
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| 143 | 143 | | the facility and of any entrance fee, (ii) whether provisions exist for the escrowing and return of 25 |
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| 144 | 144 | | any such funds, property, or entrance fee and the manner and any conditions of return, and (iii) the 26 |
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| 145 | 145 | | manner by which the provider may adjust periodic charges or other recurring fees and any 27 |
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| 146 | 146 | | limitations on such adjustments. If the facility is already in operation, or if the provider operates 28 |
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| 147 | 147 | | one or more similar facilities within this state, there shall be included tables showing the frequency 29 |
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| 148 | 148 | | and average dollar amount of each increase in periodic rates at each facility for the previous five 30 |
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| 149 | 149 | | (5) years or such shorter period that the facility has been operated by the provider. 31 |
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| 150 | 150 | | (9) Any provisions that have been made or will be made to provide reserve funding or 32 |
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| 151 | 151 | | security to enable the provider to fully perform its obligations under continuing care contracts, 33 |
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| 152 | 152 | | including the establishment of escrow accounts, trusts, or reserve funds, together with the manner 34 |
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| 153 | 153 | | |
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| 154 | 154 | | |
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| 155 | 155 | | LC002174 - Page 5 of 11 |
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| 156 | 156 | | in which such funds will be invested and the names and experience of persons who will make the 1 |
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| 157 | 157 | | investment decisions. 2 |
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| 158 | 158 | | (10) Certified financial statements of the provider, including: (i) a balance sheet as of the 3 |
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| 159 | 159 | | end of the two (2) most recent fiscal years and (ii) income statements of the provider for the two 4 |
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| 160 | 160 | | (2) most recent fiscal years or such shorter period that the provider has been in existence. 5 |
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| 161 | 161 | | (11) A pro forma income statement for the current fiscal year. 6 |
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| 162 | 162 | | (12) If the operation of the facility or continuing care at home program has not yet 7 |
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| 163 | 163 | | commenced, a statement of the anticipated source and application of the funds used or to be used 8 |
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| 164 | 164 | | in the purchase or construction of the facility or continuing care at home program, including: 9 |
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| 165 | 165 | | (i) An estimate of the cost of purchasing or constructing and equipping the facility 10 |
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| 166 | 166 | | including such related costs as financing expense, legal expense, land costs, occupancy 11 |
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| 167 | 167 | | development costs, and all other similar costs that the provider expects to incur or become obligated 12 |
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| 168 | 168 | | for prior to the commencement of operations. 13 |
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| 169 | 169 | | (ii) A description of any mortgage loan or other long-term financing intended to be used 14 |
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| 170 | 170 | | for any purpose in the financing of the facility or continuing care at home program and of the 15 |
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| 171 | 171 | | anticipated terms and costs of the financing, including without limitation all payments of the 16 |
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| 172 | 172 | | proceeds of the financing to the provider, management, or any related person. 17 |
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| 173 | 173 | | (iii) An estimate of the percentage of entrance fees that will be used or pledged for the 18 |
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| 174 | 174 | | construction or purchase of the facility or continuing care at home program, as security for long-19 |
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| 175 | 175 | | term financing or for any other use in connection with the commencement of operation of the 20 |
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| 176 | 176 | | facility or continuing care at home program. 21 |
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| 177 | 177 | | (iv) An estimate of the total entrance fees to be received from or on behalf of residents at 22 |
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| 178 | 178 | | or prior to commencement of operation of the facility or continuing care at home program. 23 |
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| 179 | 179 | | (v) An estimate of the funds, if any, which are anticipated to be necessary to fund start-up 24 |
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| 180 | 180 | | losses and provide reserve funds to assure full performance of the obligations of the provider under 25 |
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| 181 | 181 | | continuing care contracts. 26 |
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| 182 | 182 | | (vi) A projection of estimated income from fees and charges other than entrance fees, 27 |
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| 183 | 183 | | showing individual rates presently anticipated to be charged and including a description of the 28 |
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| 184 | 184 | | assumptions used for calculating the estimated occupancy rate of the facility and the effect on the 29 |
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| 185 | 185 | | income of the facility of any government subsidies for health care services to be provided pursuant 30 |
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| 186 | 186 | | to the continuing care contracts. 31 |
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| 187 | 187 | | (vii) A projection of estimated operating expenses of the facility or continuing care at home 32 |
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| 188 | 188 | | program, including (i) a description of the assumptions used in calculating any expenses and 33 |
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| 189 | 189 | | separate allowances for the replacement of equipment and furnishings and anticipated major 34 |
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| 190 | 190 | | |
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| 191 | 191 | | |
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| 192 | 192 | | LC002174 - Page 6 of 11 |
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| 193 | 193 | | structural repairs or additions and (ii) an estimate of the percentage of occupancy required for 1 |
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| 194 | 194 | | continued operation of the facility or continuing care at home program. 2 |
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| 195 | 195 | | (viii) Identification of any assets pledged as collateral for any purpose. 3 |
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| 196 | 196 | | (ix) An estimate of annual payments of principal and interest required by the mortgage loan 4 |
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| 197 | 197 | | or other long-term financing. 5 |
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| 198 | 198 | | (13) A description of the provider’s criteria for admission of new residents. 6 |
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| 199 | 199 | | (14) A description of the provider’s policies regarding access to the facility or continuing 7 |
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| 200 | 200 | | care at home program and its services for nonresidents. 8 |
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| 201 | 201 | | (15) Any other material information concerning the facility or continuing care at home 9 |
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| 202 | 202 | | program or the provider that may be required by the department or included by the provider. 10 |
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| 203 | 203 | | (b) The disclosure statement shall state on its cover that the filing of the disclosure 11 |
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| 204 | 204 | | statement with the department does not constitute approval, recommendation, or endorsement of 12 |
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| 205 | 205 | | the facility by the department. 13 |
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| 206 | 206 | | (c) A copy of the standard form or forms for continuing care contracts used by the provider 14 |
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| 207 | 207 | | shall be attached as an exhibit to each disclosure statement. 15 |
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| 208 | 208 | | (d) If the department determines that the disclosure statement does not comply with the 16 |
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| 209 | 209 | | provisions of this chapter, it shall have the right to take action pursuant to § 23-59-16. 17 |
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| 210 | 210 | | 23-59-4. Availability of disclosure statement to prospective residents. 18 |
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| 211 | 211 | | At least three (3) days prior to the execution of a continuing care contract or the transfer of 19 |
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| 212 | 212 | | any money or other property to a provider by or on behalf of a prospective resident, whichever first 20 |
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| 213 | 213 | | occurs, the provider shall deliver to the person with whom the contract is to be entered into a copy 21 |
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| 214 | 214 | | of a disclosure statement with respect to the facility or continuing care at home program in question 22 |
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| 215 | 215 | | meeting all requirements of this chapter as of the date of its delivery. 23 |
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| 216 | 216 | | 23-59-6. Resident’s contract. 24 |
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| 217 | 217 | | (a) In addition to other provisions considered proper to effect the purpose of any continuing 25 |
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| 218 | 218 | | care contract, each contract executed on or after June 18, 1987 shall: 26 |
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| 219 | 219 | | (1) Provide for the continuing care of only one resident, or for two (2) or more persons 27 |
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| 220 | 220 | | occupying space designed for multiple occupancy, under appropriate rules established by the 28 |
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| 221 | 221 | | provider. 29 |
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| 222 | 222 | | (2) Show the value of all property transferred, including donations, subscriptions, fees, and 30 |
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| 223 | 223 | | any other amounts paid or payable by, or on behalf of, the resident or residents. 31 |
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| 224 | 224 | | (3) Specify all services which are to be provided by the provider to each resident including, 32 |
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| 225 | 225 | | in detail, all items that each resident will receive and whether the items will be provided for a 33 |
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| 226 | 226 | | designated time period or for life and the estimated current monthly cost to the provider for 34 |
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| 227 | 227 | | |
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| 228 | 228 | | |
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| 229 | 229 | | LC002174 - Page 7 of 11 |
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| 230 | 230 | | providing the care. Such items may include, but are not limited to, food, shelter, nursing care, drugs, 1 |
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| 231 | 231 | | burial, and incidentals. 2 |
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| 232 | 232 | | (4) Describe the physical and mental health and financial conditions, if any, upon which 3 |
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| 233 | 233 | | the provider may require the resident to relinquish his or her space in the designated facility or 4 |
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| 234 | 234 | | continuing care at home program. 5 |
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| 235 | 235 | | (5) Describe the physical and mental health and financial conditions required for a person 6 |
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| 236 | 236 | | to continue as a resident of the facility or continuing care at home program. 7 |
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| 237 | 237 | | (6) Describe the circumstances under which the resident will be permitted to remain in the 8 |
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| 238 | 238 | | facility or continuing care at home program in the event of financial difficulties of the resident. 9 |
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| 239 | 239 | | (7) State: 10 |
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| 240 | 240 | | (i) The current fees that would be charged if the resident marries while at the designated 11 |
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| 241 | 241 | | facility or continuing care at home program; 12 |
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| 242 | 242 | | (ii) The terms concerning the entry of a spouse to the facility or continuing care at home 13 |
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| 243 | 243 | | program; and 14 |
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| 244 | 244 | | (iii) The consequences if the spouse does not meet the requirements for entry. 15 |
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| 245 | 245 | | (8) Provide that the provider shall not cancel any continuing care contract with any resident 16 |
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| 246 | 246 | | without good cause. Good cause shall be limited to: 17 |
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| 247 | 247 | | (i) Proof that the resident is a danger to himself, herself, or others; 18 |
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| 248 | 248 | | (ii) Nonpayment by the resident of a monthly or periodic fee; 19 |
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| 249 | 249 | | (iii) Repeated conduct by the resident that interferes with other residents’ quiet enjoyment 20 |
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| 250 | 250 | | of the facility; or 21 |
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| 251 | 251 | | (iv) Persistent refusal to comply with reasonable written rules and regulations of the 22 |
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| 252 | 252 | | facility. If a provider seeks to cancel a contract and terminate a resident’s occupancy within a 23 |
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| 253 | 253 | | facility or participation in a continuing care at home program, the provider shall give the resident 24 |
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| 254 | 254 | | written notice of, and a reasonable opportunity to cure within a reasonable period, whatever conduct 25 |
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| 255 | 255 | | is alleged to warrant the cancellation of the agreement. Nothing herein shall operate to relieve the 26 |
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| 256 | 256 | | provider from duties under chapter 18 of title 34 when seeking to terminate a resident’s occupancy. 27 |
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| 257 | 257 | | (9) Provide in clear and understandable language, in print no smaller than the largest type 28 |
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| 258 | 258 | | used in the body of the contract, the terms governing the refund of any portion of the entrance fee 29 |
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| 259 | 259 | | and the terms under which entrance fees can be used by the provider. 30 |
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| 260 | 260 | | (10) State the terms under which a contract is cancelled by the death of the resident. The 31 |
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| 261 | 261 | | contract may contain a provision to the effect that, upon the death of the resident, the money paid 32 |
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| 262 | 262 | | for the continuing care of the deceased resident shall be considered earned and become the property 33 |
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| 263 | 263 | | of the provider. When more than one individual shares a residential unit, the contract shall set forth 34 |
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| 264 | 264 | | |
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| 265 | 265 | | |
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| 266 | 266 | | LC002174 - Page 8 of 11 |
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| 267 | 267 | | the effect that the death of one resident will have on the agreement between the other resident or 1 |
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| 268 | 268 | | residents and the provider. 2 |
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| 269 | 269 | | (11) Provide for at least thirty (30) days’ advance notice to the resident, before any change 3 |
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| 270 | 270 | | in fees, charges, or the scope of care or services may be effective, except for changes required by 4 |
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| 271 | 271 | | state or federal assistance programs. 5 |
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| 272 | 272 | | (12) Provide that charges for care paid in one lump sum shall not be increased or changed 6 |
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| 273 | 273 | | during the duration of the agreed upon care, except for changes required by state or federal 7 |
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| 274 | 274 | | assistance programs. 8 |
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| 275 | 275 | | (b) A resident shall have the right to rescind a continuing care contract, without penalty or 9 |
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| 276 | 276 | | forfeiture, within seven (7) days after making an initial deposit or executing the contract. A resident 10 |
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| 277 | 277 | | shall not be required to move into the facility designated in the contract before the expiration of 11 |
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| 278 | 278 | | that seven (7) day period. 12 |
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| 279 | 279 | | (c) If a resident dies before occupying the facility or beginning the continuing care at home 13 |
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| 280 | 280 | | program, or is precluded through illness, injury, or incapacity from becoming a resident under the 14 |
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| 281 | 281 | | terms of the continuing care contract, the contract is automatically rescinded, and the resident or 15 |
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| 282 | 282 | | his or her legal representative shall receive a full refund of all money paid to the provider, except 16 |
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| 283 | 283 | | those costs specifically incurred by the provider at the request of the resident and set forth in writing 17 |
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| 284 | 284 | | in a separate addendum, signed by both parties to the contract. 18 |
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| 285 | 285 | | (d) No standard continuing care contract form shall be used in this state until it has been 19 |
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| 286 | 286 | | submitted to the department. If the department determines that the contract does not comply with 20 |
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| 287 | 287 | | the provisions of this chapter, it shall have the right to take action pursuant to § 23-59-16 to prevent 21 |
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| 288 | 288 | | its use. The failure of the department to object to or disapprove of any contract shall not be evidence 22 |
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| 289 | 289 | | that the contract does or does not comply with the provisions of this chapter. However, 23 |
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| 290 | 290 | | individualized amendments to any standard form need not be filed with the department. 24 |
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| 291 | 291 | | 23-59-7. Sale or transfer of ownership or change in management. 25 |
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| 292 | 292 | | (a) No provider and no person or entity owning a provider shall sell or transfer, directly or 26 |
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| 293 | 293 | | indirectly, more than fifty percent (50%) of the ownership of the provider or of a continuing care 27 |
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| 294 | 294 | | facility or continuing care at home program without giving the department written notice of the 28 |
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| 295 | 295 | | intended sale or transfer at least thirty (30) days prior to the consummation of the sale or transfer. 29 |
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| 296 | 296 | | A series of sales or transfers to one person or entity, or one or more entities controlled by one person 30 |
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| 297 | 297 | | or entity, consummated within a six (6) month period that constitutes, in the aggregate, a sale or 31 |
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| 298 | 298 | | transfer of more than fifty percent (50%) of the ownership of a provider or of a continuing care 32 |
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| 299 | 299 | | facility or continuing care at home program shall be subject to the foregoing notice provisions. 33 |
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| 300 | 300 | | (b) A provider or continuing care facility or continuing care at home program that shall 34 |
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| 301 | 301 | | |
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| 302 | 302 | | |
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| 303 | 303 | | LC002174 - Page 9 of 11 |
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| 304 | 304 | | change its chief executive officer, or its management firm if managed under a contract with a third 1 |
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| 305 | 305 | | party, shall promptly notify the department and the residents of each change of chief executive 2 |
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| 306 | 306 | | officer or management firm. 3 |
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| 307 | 307 | | 23-59-11. Right of residents to organize — Meetings. 4 |
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| 308 | 308 | | (a) Residents shall have the right of self-organization. No retaliatory conduct shall be 5 |
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| 309 | 309 | | permitted against any resident for membership or participation in a residents’ organization. The 6 |
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| 310 | 310 | | provider shall be required to provide to the organization a copy of all submissions to the department. 7 |
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| 311 | 311 | | (b) The board of directors, its designated representative, or other such governing body of a 8 |
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| 312 | 312 | | continuing care facility or continuing care at home program shall hold meetings at least quarterly 9 |
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| 313 | 313 | | with the residents or representatives elected by the residents of the continuing care facility or 10 |
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| 314 | 314 | | continuing care at home program for the purpose of free discussion of issues relating to the facility 11 |
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| 315 | 315 | | or continuing care at home program. Such issues may include income, expenditures, and financial 12 |
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| 316 | 316 | | matters as they apply to the facility or continuing care at home program and proposed changes in 13 |
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| 317 | 317 | | policies, programs, facilities, and services. Residents shall be entitled to seven (7) days’ notice of 14 |
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| 318 | 318 | | each meeting. 15 |
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| 319 | 319 | | 23-59-12. Civil liability. 16 |
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| 320 | 320 | | (a) A person contracting with a provider for continuing care may terminate the continuing 17 |
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| 321 | 321 | | care contract, and the provider shall be liable to the person contracting for continuing care for 18 |
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| 322 | 322 | | repayment of all fees paid to the provider, facility, or person violating this chapter, together with 19 |
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| 323 | 323 | | interest thereon at the legal rate for judgments, court costs, and reasonable attorney’s fees, less the 20 |
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| 324 | 324 | | reasonable value of care and lodging provided to the resident prior to the termination of the contract 21 |
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| 325 | 325 | | and for damages if after June 18, 1987 the provider or a person acting on the provider’s behalf, 22 |
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| 326 | 326 | | with or without actual knowledge of the violation, entered into a contract with the person: 23 |
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| 327 | 327 | | (1) For continuing care at a facility or continuing care at home program which has not 24 |
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| 328 | 328 | | registered under this chapter; 25 |
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| 329 | 329 | | (2) Without having first provided to the person a disclosure statement meeting the 26 |
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| 330 | 330 | | requirements of this chapter and not omitting a material fact required to be stated therein or 27 |
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| 331 | 331 | | necessary in order to make the statements made therein not misleading, in light of the circumstances 28 |
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| 332 | 332 | | under which they are made; or 29 |
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| 333 | 333 | | (3) If the contract does not meet the requirements of § 23-59-6. 30 |
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| 334 | 334 | | (b) A person who willfully or recklessly aids or abets a provider in any act prohibited by 31 |
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| 335 | 335 | | this section shall be liable as set out in subsection (a) of this section. 32 |
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| 336 | 336 | | (c) The department shall have no jurisdiction to adjudicate controversies concerning 33 |
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| 337 | 337 | | continuing care contracts. A breach of contract shall not be deemed a violation of this chapter. 34 |
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| 338 | 338 | | |
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| 339 | 339 | | |
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| 340 | 340 | | LC002174 - Page 10 of 11 |
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| 341 | 341 | | Termination of a contract pursuant to subsection (a) shall not preclude the resident’s seeking any 1 |
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| 342 | 342 | | other remedies available under any law. 2 |
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| 343 | 343 | | SECTION 2. This act shall take effect upon passage. 3 |
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| 344 | 344 | | ======== |
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| 345 | 345 | | LC002174 |
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| 346 | 346 | | ======== |
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| 347 | 347 | | |
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| 348 | 348 | | |
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| 349 | 349 | | LC002174 - Page 11 of 11 |
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| 350 | 350 | | EXPLANATION |
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| 351 | 351 | | BY THE LEGISLATIVE COUNCIL |
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| 352 | 352 | | OF |
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| 353 | 353 | | A N A C T |
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| 354 | 354 | | RELATING TO HEALTH AND SAFETY -- CONTINUING CARE PROVIDER |
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| 355 | 355 | | REGISTRATION AND DISCLOSURE |
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| 356 | 356 | | *** |
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| 357 | 357 | | This act would allow continuing care providers to provide care in an individual’s home, 1 |
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| 358 | 358 | | subject to the same disclosures and requirements as continuing care provided in a facility. 2 |
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| 359 | 359 | | This act would take effect upon passage. 3 |
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| 360 | 360 | | ======== |
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| 361 | 361 | | LC002174 |
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| 362 | 362 | | ======== |
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| 363 | 363 | | |
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