House Bill No. 5512 seeks to amend the regulations governing the change of ownership of facilities licensed by the Department of Public Health (DPH) in Connecticut. The bill introduces new definitions clarifying that certain legal changes, such as a change in the legal form of a licensee or a public stock offering, will not be deemed a change in ownership if the beneficial ownership remains unchanged. It also specifies that changes involving nonprofit hospitals recognized under Section 501(c)(3) will not be classified as a change in ownership, provided the necessary information is submitted to DPH. The bill establishes a requirement for prior approval from DPH for any ownership changes, mandating a detailed application process that must be submitted at least 120 days before the proposed change, including information about the facility and ownership structure.
Additionally, the bill enhances scrutiny of ownership changes by requiring applicants to disclose detailed information about any licensed health care facilities owned or managed by proposed new owners over the past five years, including any pending complaints or regulatory issues. It allows DPH to deny ownership changes based on the compliance history of the applicants and provides waivers for certain ownership changes, such as those involving family members or minor stakes. The bill also expands DPH's authority to waive disclosure requirements under specific conditions, particularly for nursing homes where the property owner is not involved in management. The effective date for these changes is set for October 1, 2026.