HARRISBURG, Pa. (EYT) — Attorney General Bruce R. Beemer announced Tuesday the Office of Attorney General has reached a settlement with a chain of nursing homes accused of misleading consumers by failing to provide basic services to elderly and vulnerable residents.
The settlement with Reliant Senior Care Holdings, Inc. and related companies requires a $2 million payment to the Office of Attorney General and a series of changes devised to make sure that staffing levels and care within facilities owned or operated by Reliant match the representations made in marketing materials, care plans and bills.
Reliant operates Evergreen Nursing and Rehabilitation in Butler County and White Cliff Health and Rehabilitation Center in Mercer County.
The settlement was the result of an investigation conducted by the Office of Attorney General’s Health Care Section.
The investigation revealed that Reliant allegedly violated the Commonwealth’s Unfair Trade Practices and Consumer Protection Law when it misled consumers through advertising and marketing materials, resident assessments and care plans.
Reliant promised to provide basic care to residents in its facilities, as alleged by the Commonwealth, but failed to do so by leaving its facilities understaffed.
“Reliant facilities failed to deliver on the promise to provide personalized services to meet residents’ individual needs,” Attorney General Beemer said. “The settlement reached today will help us achieve greater accountability while ensuring that residents receive the quality of care they expect. A facility that makes these promises has to follow through.”
Beemer announced the settlement at a news conference in the Capitol Media Center, where he was joined by state Department of Health Secretary Dr. Karen Murphy and Secretary of Aging Teresa Osborne.
Of the $2 million being paid under the terms of the settlement, $1.25 million will immediately go to the Department of Health. Those funds will be used to fund the Department of Health’s plan to address Pennsylvania’s regulatory oversight of nursing homes.
The Attorney General’s investigation showed that Reliant operated 22 skilled nursing facilities throughout the Commonwealth between 2012 and the present. The facilities were operated in the following counties: Blair, Butler, Chester, Columbia, Delaware, Lackawanna, Lancaster, Lawrence, Lebanon, Luzerne, Mercer, Montgomery, Northampton, Washington and Westmoreland.
During the time period in question, it is alleged that Reliant limited the numbers of certified nurse aides at its facilities, rendering the facilities incapable of delivering the basic care that residents were promised and needed.
This basic care includes activities such as eating and drinking, incontinence care, transfer from a bed to a chair, repositioning in a bed, dressing, showering, range of motion exercises and daily hygiene.
The terms of the settlement require Reliant to staff in a manner that fully accounts for resident acuity and individual needs.
The Office of Attorney General’s investigation of this matter included interviews with former employees of Reliant facilities and a review of survey results reported by the Department of Health.
The Attorney General’s office also reviewed documents and information provide by Reliant, which cooperated with the office’s investigation.
The settlement, which requires court approval, was filed in the form of a stipulated final judgment and consent decree in the Dauphin County Court of Common Pleas.
This matter was handled on behalf of the Commonwealth by Chief Deputy Attorney General Thomas Devlin and Deputy Attorney General Patrick Greene of the Office of Attorney General’s Health Care Section.
The section is tasked with protecting the public from unfair health care business practices.
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