The General Assembly Raised Bill No. 125 aims to restrict private equity ownership of nursing homes by implementing new reporting and compliance requirements for nursing homes with ownership entities. Effective October 1, 2026, nursing homes will be required to provide the Commissioner of Social Services with detailed information about their ownership entities, including names, business addresses, financial statements, and documentation related to ownership agreements and financing. Additionally, nursing homes must demonstrate that they have secured a performance bond or similar security equal to ninety days of operating costs at the time of application for or renewal of their licenses.

Furthermore, the bill stipulates that any person or entity acquiring ownership of real property on which a licensed nursing home operates cannot sell or transfer that property within five years of acquisition without written approval from the Commissioner of Public Health. This approval will only be granted if it can be shown that the sale will benefit resident care or improve operational stability. The bill includes provisions for civil penalties for non-compliance, emphasizing the importance of transparency and accountability in nursing home ownership.