A new sense of optimism is fueling the senior living sector these days.
Many operators are genuinely excited about the post-pandemic rebound. One where occupancy levels rise and COVID-19 headaches recede.
Along these lines, we hear more and more about the rise of innovative corporate structures. It’s a concept that can have many advantages. Unfortunately, it also has its drawbacks.
Put another way, it can be a very thin line separating legitimate business practices from questionable hoaxes. A new report from Kaiser Health News strongly suggests that some operators work on both sides of the street.
The gist of the KHN article is that multiple community owners in New York redirected money that was supposed to be used for resident or patient care into their pockets.
Specifically, the article claimed that extravagant payments flowed to real estate, management, and staffing firms financially linked to owners of nursing homes across the state during the height of COVID-19. I’m here. The work implies that New York was not the only place where such activity took place.
“Even in New York’s worst year of the pandemic, homes were understaffed and thousands of residents died, while some owners came out millions of dollars ahead. Albany, NY think tank Public Policy states:
The narrative continues to report what to expect. Resident families complain about inadequate staffing and care, countered by pro-industry claims that all is well.
I hate to say this, but frankly, the evidence here against the industry is, at least, a little embarrassing. Some of the things that are happening do little to illuminate this area in a good light.
my advice? Proceed cautiously when considering which organizations you want to associate your name with. Not just next year or his two years, but in the long run.
John O’Connor is McKnights Senior Living and its sister media brands, McKnight Nursing Newsfocused on skilled nursing, McKnights Home CareRead more of his column here.