Change of ownership/management
Arkansas Code § 20-10-203; Arkansas Code § 20-10-216; Arkansas Code § 20-10-224
(a)
- (1) If a long-term care facility intends to add, remove, or otherwise change the management company, owner, operator, or other management agent that manages the long-term care facility, the long-term care facility shall notify the Department of Human Services.
- (2) The long-term care facility shall notify the department of the change and request approval at least thirty (30) days before the change occurs.
(b)
- (1) The long-term care facility shall complete the appropriate documents and provide the department with the information required to allow the department to evaluate whether the new management company, owner, operator, or other management agent that manages the long-term care facility meets the eligibility criteria set forth in the disqualifying criteria stated in the aforementioned section.
- (2) The long-term care facility shall receive approval of the change from the department before the change occurs unless the change is required due to an emergency.
(c)
- (1) If a change occurs without prior approval from the department due to an emergency, the long-term care facility shall notify the department within ten (10) days of the change.
(2)
- (A) The department may deny a requested change based on the criteria established in subsection (b) of this section.
- (B) If the department denies a requested change, the long-term care facility may not employ or otherwise use the denied:
(i) Management company;
(ii) Owner;
(iii) Operator; or
- (iv) Other management agent.
(3) A long-term care facility is not required to notify or receive approval from the department for a change involving vendors that provide services to the long-term care facility but do not manage the facility.
- (d) Responsibilities of the seller and buyer:
- (1) The seller shall remain responsible for the operation of the facility until such time as a license is issued to the buyer;
(2) The buyer shall be subject to any plan of correction:
- (A) Submitted by the previous licensee; and
- (B) Approved by the department;
- (3) The seller shall remain liable for all penalties assessed against the facility that are imposed for violations or deficiencies occurring before the date the department issues the long-term care facility license to the buyer; and
- (4) The seller shall remain liable for all quality assurance fees and license fees that are assessed to the facility before the date that the department issues the long-term care facility license to the buyer.