The proposed bill seeks to regulate the acquisition of nursing homes and assisted living facilities by private equity companies in Minnesota. It redefines "controlling person" to encompass individuals with ownership interests in privately held corporations that collect capital investments, particularly when no individual holds at least a five percent ownership interest. The bill introduces new definitions related to private equity companies and establishes requirements for notification and approval processes, mandating that private equity firms provide written notice to state authorities at least 120 days prior to any ownership transfer. The Attorney General's approval is required for such acquisitions, ensuring they do not negatively impact the health and safety of residents.

Key provisions include the Attorney General's obligation to issue conditional approvals for acquisitions and make final determinations within 90 days. If approval is withdrawn, a receiver must be appointed for the facility. The bill prohibits private equity companies from interfering with healthcare professionals' judgments and mandates that at least 75% of public funds be allocated to direct resident care. Additionally, it requires regular reporting to the Attorney General on operational aspects and the effects of ownership on resident care. The Attorney General is also tasked with investigating these acquisitions and reporting findings to legislative committees by February 15, 2026, with an appropriation included for this investigation.

Statutes affected:
Introduction: 144A.01, 144G.08