Article 9. Continuing Care Retirement Community Closures of California Health And Safety Code >> Division 2. >> Chapter 10. >> Article 9.
(a) Notwithstanding any other provisions of law, a
provider regulated under this chapter shall, no less than 120 days
prior to the intended date of the permanent closure of a continuing
care retirement community facility, as defined in paragraph (3) of
subdivision (p) of Section 1771, provide written notice to the
department and to the affected residents and their designated
representatives. The notice shall contain the following statement of
residents' rights under this article, in no less than 12-point type:
"This facility is planned for permanent closure on or after [state
date of closure] that will require you to vacate your living unit.
Residents of continuing care retirement communities in California
have certain rights and continuing care community providers have
certain responsibilities when a continuing care community closes.
Those rights include, but are not limited to, the following:
Prior to closing, the provider shall provide a permanent
closure plan to the Continuing Care Contracts Branch of the State
Department of Social Services that describes the options available to
residents for relocating to another part of the facility, or another
facility or the compensation to be provided to residents.
No action can be taken to relocate any resident or to close the
facility until the permanent closure and relocation plan has been
prepared and provided to the department, the affected residents of
the facility and their designated representatives, and to the local
long-term care ombudsman program."
(b) Upon service of the closure notice when closure is planned for
all units in a facility, the provider is prohibited from accepting
new residents or entering into new continuing care contracts at the
facility being closed.
No less than 90 days prior to the permanent closure of the
continuing care retirement community facility, as defined in
paragraph (3) of subdivision (p) of Section 1771, the provider shall
provide to the department, the affected residents of the facility and
their designated representatives, and to the local long-term care
ombudsman program, a written closure and relocation plan. The plan
shall contain all of the following information:
(a) The number of affected residents at each level of care in the
continuing care retirement community facility.
(b) Assessment of unique service and care needs, if applicable,
for all of the following:
(1) Affected residents in skilled nursing and special care.
(2) Affected residents in assisted living units.
(3) Affected residents in the residential living units who require
assistance with three or more activities of daily living, and other
residents upon request.
(c) An explanation on how comparable care, if applicable, and
comparable replacement housing will be provided.
(d) A detailed description of the services the provider will
provide to residents to assist them in relocating, including, but not
limited to, reasonable costs of moving, storage, if applicable, and
transportation that shall be arranged by the provider in consultation
with the resident and his or her designated representative, and paid
for directly by the provider.
(e) The names and addresses of other continuing care retirement
communities operated by the provider and whether there are openings
available to the residents.
(f) The names and addresses of other continuing care retirement
communities within 30 miles of the closing continuing care retirement
community facility that provide comparable replacement housing and
care, if applicable, to those offered at the facility that is
scheduled for closure, and whether the facilities have immediate
openings available to residents of the closing facility.
(g) A description of how the facility will comply with the
requirements of Section 1793.82. The plan shall describe or identify
the replacement facility or facilities and the procedure by which a
resident can select a replacement facility. In no case shall the plan
for replacement housing require a resident to pay more than he or
she is presently paying for comparable housing and care, other than
normal rate increases. Any proposed monetary compensation shall be
fair and reasonable and shall represent the estimated cost to the
resident of securing comparable replacement housing and care under
terms similar to the contract between resident and provider.
(h) A statement regarding the availability of a licensed medical
or geriatric professional to advise the resident, the resident's
representative, and the provider regarding the transfer of the
resident. Upon request by the resident or the resident's
representative, the provider shall make available the services of a
licensed medical or geriatric professional to advise the resident,
the resident's representative, and the provider regarding the
transfer of the resident. The provider may place a reasonable limit
on the cost of the services of the medical or geriatric professional.
(a) In the case of a permanent closure, the provider shall
offer the resident the choice of the following four options, the
terms of which shall not be less than the terms of the continuing
care contract entered into between the resident and the provider as
if that contract had been fully performed:
(1) Relocation to another continuing care facility owned or
operated by the provider, if available.
(2) Relocation to a continuing care facility that is not owned by
(3) Monetary compensation equal to the value of the remainder of
the contract as if the contract had been fully performed.
(4) An alternative arrangement that is mutually agreed upon by the
provider and the resident or his or her representative.
(b) Replacement housing offered pursuant to paragraph (1) or (2)
of subdivision (a) shall be housing that is, overall, comparable in
cost, size, services, features, and amenities to the unit being
vacated. If the resident chooses either of the replacement housing
options in paragraph (1) or (2) of subdivision (a), the provider
shall provide the reasonable costs of moving, storage, if applicable,
(c) Notwithstanding subdivision (a), for a resident under a life
care contract, the provider shall secure replacement housing and care
at a comparable facility for the resident at no additional cost to
the resident. The replacement housing and care shall comply with
subdivision (l) of Section 1771 and subdivision (b) of Section 1788.
(d) The provider may provide relocation pursuant to paragraph (2)
of subdivision (a) on a month-to-month basis, provided that the terms
are otherwise consistent with subdivision (a). After 120 days, a
resident selecting a facility not owned by the provider may not seek
monetary compensation pursuant to paragraph (3) of subdivision (a).
(a) When there is a permanent closure, as defined in
paragraph (3) of subdivision (p) of Section 1771, within 30 days of
submitting the relocation plan to the department, the provider shall
fund a reserve, set up a trust fund, or secure a performance bond to
ensure the fulfillment of the obligations and commitments associated
with the relocation plan. The amount of the reserve trust fund or
performance bond shall be equal to or greater than the estimated
costs of relocating residents and the costs associated with the
relocation options pursuant to Section 1793.81 and subdivision (a) of
(b) The reserve, trust fund, or performance bond shall be funded
with qualifying assets enumerated in paragraphs (1) to (5),
inclusive, of subdivision (a) of Section 1792.2 and shall not be
subject to any liens, judgments, garnishments, or creditor's claims.
(a) The provider shall submit monthly progress reports to
the department detailing the progress and problems associated with
the permanent closure, as defined in paragraph (3) of subdivision (p)
of Section 1771, until all affected residents are relocated and all
required payments to, or on behalf of, affected residents are made.
(b) The department shall monitor the implementation of the
permanent closure as defined in paragraph (3) of subdivision (p) of
Section 1771 and relocation plan as necessary to ensure full
compliance by the provider. If the department determines that a
provider is closing a facility in violation of this article or is
doing so in a manner that endangers the health or safety of
residents, it shall exercise its powers under Article 7 (commencing
with Section 1793.5).
(c) No action shall be taken by the provider to relocate any
resident or to close the facility until the relocation plan required
by Section 1793.81 has been prepared and provided to the department,
the affected residents of the facility and their designated
representatives, and to the local long-term ombudsman program.