Are Iowa Care Centers Skirting the Law?
Jefferson Point Assisted Living Center in North Liberty, Iowa and Dubuque Retirement Community in Dubuque, Iowa are assisted living centers in Iowa that may soon be skirting the law and operating without any oversight. Both facilities plan to give up their licenses and separate health services from the housing, which will enable them to bypass state regulations that were designed to protect vulnerable, elderly residents. Both facilities plan to become only "landlords" and provide only housing to its residents. Health care services will be offered through a separate home health company.
One concerned nursing home and assisted living owner, Ed Osby, stated, "So there won't be any oversight there at all. You've got a renegade facility there that's doing an endrun around the regulations." According to an Assisted Living Concepts executive, the lack of oversight will not have any negative effect on care and will allow some residents to remain in their apartments without being sent to a nursing home when their health deteriorates.
Unfortunately, both facilities have had problems meeting minimum care standards in the past. The Dubuque Retirement Community was fined $16,500 in the past 18 months and Jefferson Pointe has been fined $10,000.
Interestingly, Jefferson Point was constructed with $7.2 million in federal assistance in the form of state approved loans and tax credits through the Iowa Finance Authority and Iowa Department of Economic Development. Jefferson Pointe intends to forfeit its assisted living license to attract more residents and both governmental agencies have granted approval.
The Center for Medicare Advocacy had contacted government officials concerning the imminent switchover. The Center for Medicare Advocacy is also objecting to Assisted Living Concepts' practice of evicting residents once their savings are depleted and they are dependent on Medicaid. Federal law prevents this practice in nursing home facilities but does not prevent it in assisted living facilities.
Bureau Chief for the Iowa Department of Inspections and Appeals Ann Martin has stated that while the actions to appear to be legal, they are unprecedented. "There will be no oversight at all. It's unheard of," she said.


