SB 196 Delaware Senate · 153rd General Assembly (2025-2026)

AN ACT TO AMEND TITLE 16 OF THE DELAWARE CODE RELATING TO LONG-TERM CARE FACILITIES.

Summary
This Act is a substitute for Senate Bill No. 196. Like Senate Bill No. 196, this Act requires long-term care facilities to fully disclose ownership information for the facility and disclose ownership information to residents prior to the transfer of ownership of a facility. This Act differs from Senate Bill No. 196 in the following ways: 1. It changes the definition of "facility owner" to align with federal regulations. 2. It modifies the requirements for a long-term care facility to include a list of facility owners on marketing and promotional materials, instead requiring that the list of facility owners be found on the long-term care facility's website, and that any marketing or promotional materials include a statement directing recipients of the materials to the facility's website for a list of owners. 3. It amends the timeline for a long-term care facility to disclose a proposed transfer of ownership to no more than 30 calendar days after receiving approval of required modification of ownership and control paperwork from the Department. 4. It clarifies the requirements of both current and proposed new facility owners in disclosing a transfer of ownership to residents and, if applicable, authorized representatives of residents of the long-term care facility. 5. It modifies the requirement that the disclosure of disciplinary actions against the facility to be limited to those actions resulting from incidents that threatened the health, safety, or welfare of a resident. 6. It removes an explicit statement of the Department's authority to delay or deny the transfer of a license due to previous disciplinary actions. 7. It exempts nonprofit corporations from having to disclose certain information. 8. It explicitly exempts the requirements of this Act from applying to certain actions that began prior to the effective date of this Act.
Bill status signed all 5 stages cleared
Introduction
May 2026
Committee Review
Jun 2026
Senate Passage
Jun 2026
House Passage
Jun 2026
Signed into Law
Jul 2026
Introduced May 21, 2026 Signed Jul 23, 2026
Maddy AI version diff · 1 comparison

What changed between versions

SA 1 to SS 1 for SB 196 Bill Text · 11 edits
MAJOR
SB 196 was substantially expanded from a narrow amendment clarifying brochure requirements into a comprehensive act governing ownership disclosure at long-term care facilities. The final bill adds new definitions, requires ongoing public disclosure of facility owners and their controlling persons, mandates notification to residents before and after ownership transfers, and limits disciplinary action disclosures to those involving material risk to resident health, safety, or welfare.
DEFINITION

Added definition of 'affiliate' (a person who controls, is controlled by, or is under common control with an entity) and 'facility owner' (any person with 5% or more direct or indirect ownership or controlling interest), aligning the latter with federal regulations.

REQUIREMENT

New Section 1108(e) requires facilities to disclose their facility owner, including all controlling persons of entities or affiliates that are not publicly traded corporations or nonprofit corporations, and to update this disclosure within 30 calendar days of any change.

Section 1108(g) changed the brochure requirement from directing recipients to both the facility website and the Department website (using 'and') to directing them to either the facility website or the Department website (using 'or').

New Section 1108A requires proposed new owners to disclose all other licensed long-term care facilities they own, operate, or manage in any state or DC in the preceding year, plus any disciplinary actions related to material risk to resident health, safety, or welfare.

New Section 1108A(b) requires the current owner to notify each resident and authorized representative of a proposed ownership transfer within 30 days of receiving Department approval of modification paperwork.

ENFORCEMENT

New Section 1108(f) requires the Department to publish disclosed ownership information for each facility on its website.

Removed an explicit statement granting the Department authority to delay or deny a license transfer due to previous disciplinary actions against the proposed owner or affiliates.

TIMELINE

New Section 1108A(c) requires the new owner to provide a second notice to residents confirming the transfer information and effective date within 30 days of the Department issuing a new license.

SCOPE

Added exemption for nonprofit corporations from disclosing controlling persons of entities or affiliates, limiting that requirement to non-publicly-traded, non-nonprofit entities only.

Limited the disciplinary action disclosure requirement to actions related to a material risk to the health, safety, or welfare of a resident, rather than all disciplinary actions.

Added a grandfather clause exempting the Act from applying when a binding sale agreement was executed or a licensure/ownership change application was submitted before the effective date of the Act.

Floor votes · Senate Jun 11, 2026 · House Jun 23, 2026

How they voted

200
Passed · 1 other
Total votes 21
Jun 11, 2026
D Democratic15
14 Yea 1
93% Yea
R Republican6
6 Yea
100% Yea
Vote distribution
All Yea All Nay Mixed No data
Full legislative history

Actions timeline

Total actions
9
Key actions
6
Committee
2
Amendments
2
Jul 23, 2026
Signed into law
Signed by Governor
executive
Jun 23, 2026
Lower · Passed
Passed By House. Votes: 39 YES 1 NO 1 ABSENT
lower
Jun 17, 2026
Lower · Passed
Reported Out of Committee (Health & Human Development) in House with 10 On Its Merits
lower
Jun 11, 2026
Introduced
Assigned to Health & Human Development Committee in House
lower
Jun 11, 2026
Upper · Passed
Passed By Senate. Votes: 20 YES 1 ABSENT
upper
Jun 11, 2026
Upper · Passed
Amendment SA 1 to SS 1 - Passed By Senate. Votes: 20 YES 1 ABSENT
upper
Jun 10, 2026
Introduced
Amendment SA 1 to SS 1 - Introduced and Placed With Bill
upper
Jun 9, 2026
Upper · Passed
Reported Out of Committee (Health & Social Services) in Senate with 5 On Its Merits
upper
May 21, 2026
Introduced
Adopted in lieu of the original bill SB 196, and Assigned to Health & Social Services Committee in Senate
upper
5 primary · 0 co-sponsors

Sponsors