Continuing care contracts: retirement communities: closure.

Existing law contains provisions relating to supervision of continuing care contracts, including requirements governing continuing care communities and contracts. Existing law requires the State Department of Social Services to regulate activity relating to continuing care contracts, and requires that continuing care retirement communities maintain an environment that enhances residents' independence and self-determination and in that regard imposes various requirements on a care provider. Existing law defines various terms for purposes of those contracts and requirements, and imposes specified civil and criminal penalties for violations of those provisions. This bill would define the term "permanent closure" for purposes of those provisions, to mean prescribed events that will cause the relocation of residents. This bill would impose various requirements on a provider with respect to the permanent closure of a continuing care retirement community facility, or a portion thereof, as specified, including providing 120 days' written notice to the department, and affected residents or designated representatives of these residents of the intended date of closure of a facility. The bill would require a provider, no less than 90 days prior to the permanent closure of a continuing care retirement community facility, or a portion thereof, to provide the department, affected residents and their representatives, and the local long-term care ombudsman program, with a written closure and relocation plan for the facility, containing specified information. The bill would require the department to monitor the implementation of the closure and relocation plan, as necessary, to ensure full compliance by the provider, and would prohibit a provider from taking any action to relocate a resident or to close the facility, until the plan has been prepared and submitted to the department by the provider and provided to the affected residents of the facility, the affected residents' designated representatives, and the local long-term care ombudsman program. The bill would also require the provider, in the case of a permanent closure, to offer the resident the choice of replacement housing, monetary compensation equal to the remaining value of the contract, or an alternative arrangement mutually agreed upon by the provider and the resident. Because this bill would change the definition of a crime, it would impose a state-mandated local program. The California Constitution requires the state to reimburse local agencies and school districts for certain costs mandated by the state. Statutory provisions establish procedures for making that reimbursement. This bill would provide that no reimbursement is required by this act for a specified reason.