The bill amends Section 23-17-65 of the General Laws in Chapter 23-17, titled "Licensing of Healthcare Facilities," to enhance transparency of ownership in healthcare facilities. It mandates that operators of nursing facilities file detailed ownership information with the Department of Health, including the names, addresses, and descriptions of interests held by individuals or entities with any direct or indirect beneficial ownership in the facility's land, building, mortgages, leases, and the ultimate actual owners. The bill specifies the information required for different types of ownership entities, such as partnerships, limited liability companies, and various types of corporations. Additionally, the bill provides that the Department of Health shall make this information available to the public upon request.

The bill also introduces penalties for operators who fail to file the required ownership information or who knowingly file false or incorrect information. Such operators may face penalties as outlined in §§ 23-17-8 and 23-17-8.1, including the possibility of a financial audit at the operator's expense and a fine of up to one million dollars or the amount of facility assets diverted to undisclosed interest holders. Furthermore, a new section, 23-17-12.12, is added to the chapter, which restricts nursing facilities from withdrawing equity or transferring assets exceeding three percent of the facility's total reported annual revenue for patient care services without prior approval from the director. The director must approve or disapprove such requests within sixty days of receipt. The act will take effect upon passage.

Statutes affected:
7819: 23-17-65