The bill amends Section 135C.7A of the Iowa Code to prohibit the Department of Inspections, Appeals, and Licensing (DIAL) from approving changes in ownership of previously licensed nursing facilities under certain conditions. Specifically, it disallows ownership transfers to individuals or entities that are private equity funds, majority-owned by private equity funds, affiliates of private equity funds, real estate investment trusts (REITs), majority-owned by REITs, or affiliates of REITs.

This legislative change aims to restrict the influence of private equity and real estate investment trusts in the ownership of nursing facilities, potentially addressing concerns about the quality of care and management in these facilities. The bill reflects a growing trend to regulate ownership structures in the healthcare sector to ensure that facilities prioritize patient care over profit motives.

Statutes affected:
Introduced: 135C.7A