My mother's assisted living facility MORE THAN DOUBLED her MONTHLY CARE FEE. She had just had an assessment done and needed no new services. Is that legal? It seems like there should be some laws as to how much these places can increase your bill- especially when no new services are needed. Most elderly people are living on a fixed income and can't afford an increase like this. I have spoken to them and they just said they had to increase their costs in order to be competitive in the market.
Is there a provision that speaks to this?
Check her contract, but private pay ALs can pretty much do as they please w regard to costs. My folks spent about $400k in a 7 year period which means they depleted their life savings .... nobody can manage on just a monthly fixed income in AL! Unless that income is astronomical, savings must be tapped into.
I'm surprised they can more than double care fees and there are no regulations on this. If you lived in an apartment and they told you that they were going to more than double your rent I think a lot of people would move out. Not so easy when you are dealing with the elderly population.
Having a new owner of a facility can be tricky and nerve racking. The rates most always go up because they will find something that was hidden from them during the initial buying inspection (new roof needed or industrial dish washer broke the day of signing!) or some improvements really need to be made (new kitchen and better grease traps). I would suggest new contracts (which, after COVID, will rarely go for more than 1 year) be reviewed by and certified elder care attorney.
Good Luck and keep up advised of how this works out
Read your initial contract you signed.
My research -
Assisted Living Facilities:
1) How are assisted living facilities regulated in the United States?
The Centers for Medicare and Medicaid Services (CMS) regulates skilled nursing facilities and rehabilitation homes that receive funds from Medicaid or Medicare. One or more state agencies regulate assisted living throughout the United States.
2) http://canhr.org/factsheets/rcfe_fs/html/rcfe_fs.overview.htm
In reading this one, please note:
Is There a Limit on How Much Facilities Can Raise Private Pay Rates?
No. Since residential care is a private business, providers will charge what the market will bear. However, facilities must issue 60–day notices to increase rates, but can raise charges for level of care changes immediately and provide notice within 2 working days. (HSC 1569.655, 1569.657; see also CANHR’s factsheet on Admission Agreements)
Nursing Homes:
1) HHS' Centers for Medicare and Medicaid Services (CMS) has an essential, ongoing responsibility to oversee nursing homes and shares with State agencies the responsibility for ensuring that nursing homes meet Federal requirements for quality and safety.
2) The California Department of Public Health, Licensing and Certification Program (CDPH, L&C) is the California state agency that licenses and regulates health facilities such as a nursing home.
Gena / Touch Matters
This is a generalization, but for the most part in terms of "senior" housing/medical facilities, government regulations only come into play when the facility is accepting government funds (aka Medicare/Medicaid). This gets most ALs off the radar because they so rarely accept Medicaid and Medicare, being a health insurance, does not pay for room and board. ALs that accept Medicaid usually severely limit the number of beds they reserve for Medicaid because the Medicaid payment is so low compared to what they can get for private pay residents. So you need to be very careful listening to the marketing speech that says " oh, when your Mom runs out of money, we accept Medicaid" because what may not be said is "if we have a dedicated Medicaid bed available at that time". If they don't have the bed.... out you go!
LTCs do accept Medicare/Medicaid (federal funds) so the government at least looks at what they charge but if they can provide spreadsheets and invoices during their audits (which are not as thorough or as frequent as I would like but that is another story as the government can't get experienced accountants because the government can't match the salaries of accounting firms) they may get a bit more in Medicaid funding but it will never match private pay. Medicare is going to pay the approved sum for approved skilled nursing/rehab (also less than private pay).
In all honesty, their costs probably have increased dramatically as everything has gone up. When eggs when from $2.00 per dz. to $4.89/dz many of us simply decreased our use of eggs but you can't do that in an AL or LTC so you can imagine what that kind of increase on the level of feeding 80 people can do. Now they have (supposedly) increased the amount they pay to try to attract LPNs and RNs although in NJ ALs do not have to have an RN on site as long as they have 24 access to one but they have to pay her (or her agency) something for the access. I have yet to see them increase the amount of money they pay CNAs who do the real "grunt" work (changing diapers, feeding, doing laundry) or the kitchen staff. So yes............. they remain incredibly understaffed in some key positions because the income that doesn't flow to the owners goes to administration, marketing and maintaining the beautiful buildings. I don't deny the owners a profit.... I just would like to see the profit a bit more evenly distributed.
Aside: I am attempting to start a "caring community" in my area, where people striving to care for themselves healthfully, also strive to help each other - with information, sharing equipment, helping as they can, developing relationships with a nursing agency and other helpers, etc. I see this as a model that could be useful for many of us entering our last laps.
In most instances they can do raises as they deem appropriate and necessary, and the resident has to decide whether to stay or to move to another facility.
POA may request a meeting with administration to discuss any raises; this may help.
I would try to find out from other local facilities what their rate is. Generally a geographic area tends to have rates that are somewhat comparable. Rates tend to be higher in areas that are closer to more major cities with rates lower in more rural areas.
Perhaps if you choose to investigate this you ideally might find a facility with availability that has a lower rate. Of course you would have to feel positive about that place.
I moved my mother last September to a preferable place when there was an open bed. She just passed the end of April. This facility had not yet been completed when I began my search before we officially moved here. The cost was higher but not greatly so and there was a great difference in personnel, food and cleanliness both in attending to her and her clothing but also how the room was kept.
I hope you might find some solutions. I know how difficult it is in general to have someone in a facility especially when there are factors that seem unfair or prove to be a difficult fit.