Senate Bill No. 1480, effective October 1, 2025, establishes new requirements for nursing homes and hospitals in Connecticut regarding ownership interests. Specifically, the bill mandates that these facilities must be free of any new ownership interests from private equity companies or real estate investment trusts (REITs) recorded after the effective date in order to qualify for Medicaid reimbursement for healthcare services. The definitions of "nursing home," "hospital," "private equity company," and "real estate investment trust" are clarified in the bill, aligning with existing statutes and federal definitions.

Additionally, the bill may lead to potential savings for the Department of Social Services (DSS) if nursing homes and hospitals fail to comply with the new ownership requirements. The fiscal impact of this legislation is uncertain, as it depends on the ability of these facilities to meet the conditions set forth in the bill. The bill was reported favorably by the Human Services Committee, with a vote of 15 in favor and 7 against.