Assisted living referral agencies disclose fees and let residents end services

Referral agencies give prospective residents or their representatives written, electronic, or oral information about the agency’s ties and referral fee. The notice goes to a prospective resident or representative seeking a referral to an assisted living facility or home. The notice includes any listed business, ownership, financial, management, or family ties with the homes referred to. It states the fee amount or a good-faith estimate, as a dollar amount or a share of the first month’s rent and care charges. The agency gives the notice at or before making each referral. After first giving it, the agency asks the person or representative to confirm receipt in the same format.

A prospective resident may end a referral agency’s services, including its use of the person’s personal information, by written or electronic notice. This applies to a prospective resident receiving an agency’s referral services for assisted living. After notice, the agency generally cannot collect a fee for a later move-in. A fee may still be due if, before notice, the agency evaluated the person’s profile and requests and specifically referred the home chosen within twelve months, or if the agency documents that the person contacted it for referral services before admission. The fee rule applies to move-ins after the agency receives the termination notice. One exception covers a home chosen within twelve months after that notice.

Contracted assisted living homes report admissions, and referral agencies keep records, meet screening rules, and carry insurance. These duties apply to referral agencies and assisted living facilities and homes; the screening rule covers specified new agency employees. The home reports an admission only if it has a contract with the agency, and cannot pay a referral fee until it receives the person’s disclosure and acknowledgment. The agency must document that the referral agent is not on the adult protective services registry or provide for annual criminal-history checks by a nationally accredited provider for new employees who directly contact consumers or enter homes to make referrals. The agency must carry general and professional liability insurance of at least $1 million per occurrence and $3 million total. A violation may bring a civil penalty of up to $1,000. A contracted home notifies the agency within fourteen days after admission. The agency sends the records within fourteen days after receiving notice and keeps them for one year; the home keeps the disclosure while the resident stays there.