Court Affirms Ruling that New York Nursing Homes Must Spend 70% of Revenue on Direct Resident Care and Limit Profits to 5% - Metro Justice

Court Affirms Ruling that New York Nursing Homes Must Spend 70% of Revenue on Direct Resident Care and Limit Profits to 5%

The nursing home industry hoped to block the important law (PHL 2828) through litigation. However, like the lawsuit to block the minimum staffing law, the state appellate court has just ruled against them. It is because of advocates including Elder Justice Committee of Metro Justice that these laws were enacted.   

According to the Center for Medicare Advocacy on 7/3/24, in Grand South Point, LLC v. Bassett, the State Appellate Court affirmed the trial court’s decision upholding the constitutionality of Public Health Law §2828, entitled “Residential health care facilities; minimum direct resident care spending,” which requires nursing facilities to spend at least 70% of their revenue on direct resident care (including 40% on resident-facing staff) and caps profits at 5% of total operating and non-operating expenses.

Elder Justice Committee of Metro Justice continues to fight to make sure the Minimum Staffing and Use of Revenue Laws and other important nursing home laws are enacted and fully implemented and enforced by New York State.  

Elder Justice Committee invites all Metro Justice members to join us in our mission for long-term care which is safe, humane and ensures the rights and dignity of all. If you want to hear more about Elder Justice Committee or join us at our hybrid monthly meetings on the third Thursday of the month, email us at: [email protected]  

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  • Alice Carli
    published this page in What's new? 2024-07-06 17:15:40 -0400

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