Connecticut General Statutes/Title 19a/Chapter 368v/Section 19a-547

CGS § 19a-547. (Formerly Sec. 19-621g). Appointment of receiver. Qualifications of receiver. Removal. Bond. Fees.

(a) The court may appoint any responsible individual or entity whose name is proposed by the Commissioner of Public Health and the Commissioner of Social Services to act as a receiver. Such individual or entity shall (1) be a nursing home facility administrator licensed pursuant to the provisions of sections 19a-511 to 19a-520, inclusive, or (2) have substantial experience in the delivery of high-quality health care services and successful management or operation of long-term care facilities, and have achieved an educational level or have such licensure as customarily is held by persons or entities managing or operating health care facilities similar to the facility or facilities subject to receivership. No state employee or owner, administrator or other person or entity with a financial interest in the nursing home facility or residential care home may serve as a receiver for that nursing home facility or residential care home. No person or entity appointed to act as a receiver shall be permitted to have a current financial interest in the nursing home facility or residential care home; nor shall such person or entity appointed as a receiver be permitted to have a financial interest in the nursing home facility or residential care home for a period of five years from the date the receivership ceases. No person who is employed by a private equity company or entity owned or controlled by a private equity company shall be appointed to act as a receiver of a nursing home facility or residential care home.

(b) The court may remove such receiver in accordance with section 52-513. A nursing home facility or residential care home receiver appointed pursuant to this section shall be entitled to a reasonable receiver's fee as determined by the court. The receiver shall be liable only in the receiver's official capacity for injury to person and property by reason of the conditions of the nursing home facility or residential care home. The receiver shall not be personally liable, except for acts or omissions constituting gross, wilful or wanton negligence.

(d) The court may require the Commissioner of Public Health to provide for the payment of any receiver's fees authorized in subsection (a) of this section upon a showing by such receiver to the satisfaction of the court that (1) the assets of the nursing home facility or residential care home are not sufficient to make such payment, and (2) no other source of payment is available, including the submission of claims in a bankruptcy proceeding. The state shall have a claim for any court-ordered fees and expenses of the receiver that shall have priority over all other claims of secured and unsecured creditors and other persons whether or not such nursing home facility or residential care home is in bankruptcy, to the extent allowed under state or federal law.

Short History

(P.A. 78-227, S. 7, 10; P.A. 84-410, S. 1, 2; P.A. 91-198; P.A. 93-381, S. 9, 39; P.A. 95-257, S. 12, 21, 58; June 30 Sp. Sess. P.A. 03-3, S. 76; P.A. 13-208, S. 52; P.A. 24-141, S. 11.)

Long History

History: Sec. 19-621g transferred to Sec. 19a-547 in 1983; P.A. 84-410 added Subsec. (c) concerning the payment of receiver's fees by the commissioner of health services under certain circumstances; P.A. 91-198 amended Subsec. (c) to provide a priority claim for the state for the fees and expenses of a receiver paid by the state whether or not the nursing home is in bankruptcy; P.A. 93-381 replaced commissioner of health services with commissioner of public health and addiction services, effective July 1, 1993; P.A. 95-257 replaced Commissioner and Department of Public Health and Addiction Services with Commissioner and Department of Public Health, effective July 1, 1995; June 30 Sp. Sess. P.A. 03-3 amended Subsec. (a) to provide that court appointed receiver shall be a responsible individual “whose name is proposed by the Commissioner of Public Health and the Commissioner of Social Services” and who is “a nursing home administrator licensed in the state of Connecticut with substantial experience in operating Connecticut nursing homes”, to specify that person appointed as receiver may not have a current financial interest in the facility nor shall such person have an interest in the facility for a period of five years from the date the receivership ceases, and to require commissioner to adopt regulations re receiver's qualifications, redesignated portion of Subsec. (a) as new Subsec. (b), redesignated existing Subsecs. (b) and (c) as new Subsecs. (c) and (d) and made technical changes, effective August 20, 2003; P.A. 13-208 amended Subsec. (a) by adding provisions re receiver for residential care home and deleting obsolete date, amended Subsecs. (b) and (d) by adding references to residential care home, and made technical and conforming changes, effective July 1, 2013; P.A. 24-141 amended Subsec. (a) by adding “or entity” throughout, deleting provisions specifying receiver qualifications for nursing home facilities and residential care homes and authorizing Commissioner of Social Services to adopt regulations governing receiver qualifications, adding Subdivs. (1) and (2) re receiver qualifications and adding provision prohibiting receiver from being private equity company or entity owned or controlled by private equity company, effective June 4, 2024.

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