Troubled New England Nursing Home Chain Gets Last Chance to Stay Alive

The owner of seven New England nursing homes facing takeover by the state and possible closure is getting now second chance, reports the Maine Sun Journal. 

Penobscot Nursing Home, in addition to six other nursing homes owned by Eagle Landing Residential Care Maine LLC, was taken into state receivership in 2008 following alleged mismanagement and poor care to the 197 residents in the communities the company owns, according to the Sun Journal report. 

Now, however, the company is getting a second chance to get its operations and management back on track via Sandy River Group, which is managing the company during receivership. The company will have 18 months to prove it is financially viable—an outcome supported by the community and state. 

Advertisement

The Sun Journal reports

Penobscot Nursing Home, as well as six other nursing homes operated by Connecticut-based Eagle Landing Residential Care Maine LLC, was taken into state receivership in 2008 amid allegations of financial mismanagement and poor residential care. In total, the seven facilities are home to 197 residents.

The Department of Health and Human Services took over the facilities and a court-appointed emergency receiver was named to manage the day-to-day operations. The 2008 move effectively locked Eagle Landing and its president, Sifwat Ali, out of the companies. The current receiver is Michael Tyler of Portland-based Sandy River Group.

Advertisement

“They’re saying that if given the chance, they can make a go of these facilities and make them financially viable while still offering quality care,” said Bonnie Smith, deputy commissioner of DHHS, on Wednesday. “This gives them an opportunity to show us.”

The receiver has been paid by Eagle Landing through fees collected at its seven facilities. While the firms have been in receivership, the state has forgone collections of taxes and MaineCare settlement payments, according to DHHS spokesman John Martins.

Martins said that ELR Care Maine owes the state at least $2.8 million. If the company can show it is viable, the agreement with the state allows for a payment schedule for money owed to DHHS and Maine Revenue Services….

Recommended SHN+ Exclusives

Read the full article.  

Written by Elizabeth Ecker

Companies featured in this article:

, ,