For Profits and Private Investor Nursing Homes Have More Deficiencies

The Government Accountability Office, examining whether the quality of care in a nursing home suffers after an acquisition, found that nursing homes owned by private investors and other types of for-profit operators had more total deficiencies than homes run by public companies.

The report found that on average,ξ
  • privately owned and for-profit nursing homes had more total deficiencies than nonprofit homes both before and after acquisition.
  • PI-acquired homes also were more likely to have been cited for a serious deficiency than nonprofit homes before, but not after, an acquisition.
The GAO also found that total nurse staffing ratios were lower in PI homes, but the staffing mix was different. According to the report, äóìRN ratios increased more from 2003 to 2009 in PI homes than in other homes, while CNA ratios increased more in other homes than in PI homes.Œæ
Of course deficiency impacts quality and that is why I advise people to look into the ownership structure of providers they are considering for care. This is not the first report to paint for-profits in a bad light.