Randy Fearnow, Jaya White Share Perspective on Potential Impact of Supreme Court Case on Publicly Owned Nursing Facilities
In an article for McKnight’s Long-Term Care News, Quarles partners Randy Fearnow and Jaya White wrote about the possible implications for publicly owned skilled nursing facilities of a case for which the U.S. Supreme Court recently heard oral arguments.
Health & Hospital Corp. of Marion County v. Talevski challenges a Seventh Circuit Court of Appeals ruling regarding claims made by the Talevski family to enforce certain aspects of the Federal Nursing Home Reform Act of 1987. Fearnow and White, both Chicago-based members of the firm’s Health and & Life Sciences Practice Group, explained that if the Seventh Circuit decision is upheld, it could have a significant impact on states most reliant on public ownership of nursing facilities.
In an excerpt from the article, they wrote:
If the Seventh Circuit ruling is left undisturbed, the decision will disproportionately impact states most dependent on public ownership of nursing facilities, with the greatest impact on Indiana. Indiana facilities owned by county hospitals receive additional reimbursement through supplemental payments. This applies to approximately 90% of Indiana’s skilled nursing facilities, which constitutes approximately half of the government-owned nursing facilities in the entire country.
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If the Court leaves the Talevski decision intact, a resident of a state-owned facility will have access to the federal courts on claims that Nursing Home Reform Act rights were violated, even if state administrative proceedings remain pending or have not been fully exhausted.
In this case, experts predict liability insurance will become significantly more expensive for publicly owned facilities in Indiana. Such a development may require major changes to Indiana’s unusual configuration of publicly-owned nursing facilities.