Skilled Nursing Must-Reads: ManorCare’s Reprieve, Generator Battle

Between the American Health Care Association’s annual conference and expo in Las Vegas and another update in the ongoing drama between a major provider and its landlord, it’s been a busy week in the world of skilled nursing. Check out our weekly roundup of must-reads to get you caught up:

QCP Extends ManorCare Deadline

Quality Care Properties, Inc. (NYSE: QCP) this week granted another extension to its troubled tenant, HCR ManorCare: The provider now has until November 1 to respond to the real estate investment trust’s (REIT) legal request for receivership. The Bethesda, Md.-based QCP initially filed for receivership in August, seeking the ability to appoint a third-party overseer after ManorCare missed several rent payments in the spring and summer.

QCP extended the original deadline to October 18 before allowing this second reprieve. The REIT says it’s discussing the option of either selling or leasing its existing ManorCare-occupied properties to new tenants.

Florida Generator Rule Upheld

Skilled nursing industry groups in Florida hit a snag this week when a state court threw out requests to review a controversial emergency-generator rule, the Associated Press reported Thursday.

Florida Gov. Rick Scott issued the emergency rule in the wake of Hurricane Irma — and the 14 deaths at a Hollywood, Fla. nursing home — but LeadingAge Florida and other advocates insisted that the 60-day turnaround time was not feasible.

The 1st District Court of Appeal’s three judges issued a split 2-1 decision in favor of Scott and the state government, according to the AP. Florida’s rule would require all skilled nursing and assisted living facilities to install a backup generator and maintain enough fuel to last 96 hours; operators that fail to comply by the December 1 deadline could face fines of up to $1,000 per day and the loss of their licenses.

Senate Passes Budget Blueprint with $1T in Medicaid Cuts

The U.S. Senate this week passed a budget blueprint for fiscal 2018 that includes $1 trillion in cuts to Medicaid and $470 billion to Medicare over the next decade, the New York Times reported.

The plan remains simply a sketch, with no firm legislation behind it, but it could represent the opening salvo in yet another fight over Medicaid and other entitlements: As multiple industry players have pointed out, Congressional Republicans’ attempts at slashing federal health care funding may not necessarily be over just because the Obamacare repeal-and-replace fight ended with a whimper earlier this fall.

SNN Highlights 

It was a packed week of coverage from AHCA’s summit in Las Vegas, where industry leaders spoke on a variety of key topics, from important tips on how to handle the new SNF survey process, why operators might need to branch into other service to survive, and ways that SNFs can break down barriers between themselves and other members of the care continuum.

Written by Alex Spanko

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Alex Spanko
Assistant Editor at Aging Media Network
Alex covers the skilled nursing and reverse mortgage industries for Aging Media. Outside of work, he reads nonfiction, yells at Mets games from his couch, and enjoys pretty much any type of whiskey or scotch — often all at once.

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