17-001920 Agency For Health Care Administration vs. Scg Harbourwood, Llc, D/B/A Harbourwood Health And Rehabilitation Center Status: Closed Settled and/or Dismissed prior to entry of RO/FO on Friday, July 28, 2017.

3. The Administrative Complaint seeking license revocation and the Notice of Intent to Deny

the license renewal application are withdrawn in accordance with the tenns of the Settlement Agreement.

ORDERED in Tallahassee, Florida, on this ___1_.2_ day 2020.

, Deputy Secretary

h Care Administration

NOTICE OF RIGHT TO JUDICIAL REVIEW

A party that is adversely affected by this Final Order is entitled to seek judicial review which shall be

instituted by filing one copy of a notice of appeal with the agency clerk of AHCA, and a second copy,

along with filing fee as prescribed by law, with the District Court of Appeal in the appellate district where

the agency maintains its headquarters or where a party resides. Review of proceedings shall be conducted

in accordance with the Florida appellate rules. The notice of appeal must be filed within 30 days of

rendition of the order to be reviewed.

CERTIFICATE OF SERVICE

I HEREBY CERTIFY a true and Finamer served on the below-

named persons by the method designated on this J1!!:_ day of , 2020.

'

Ric . Shoop, gency Clerk

Agency for Health Care Administration

2727 Mahan Drive, Mail Stop 3

Tallahassee, Florida 32308

Telephone [phone]

Jan Mills Central Intake Unit,

Facilities Intake Unit Agency for Health Care Administration

Agency for Health Care Administration (Electronic Mail)

(Electronic Mail)

Bernard Hudson, Unit Manager Pat Caufinan, Field Office Manager

Long Term Care Unit Local Field Office- Region 05 and 06

Agency for Health Care Administration Agency for Health Care Administration

(Electronic Mail) (Electronic Mail)

Katrina Derico-Hanis Andrew Sheeran, Chief Litigation Counsel

Medicaid Accounts Receivable Office of the General Counsel

Agency for Health Care Administration Agency for Health Care Administration

(Electronic Mail) (Electronic Mail)

Andrew Thomquest, Assistant General Counsel Michelle Vaughn, President

Office of the General Counsel Senior Care Group, Inc.

Agency for Health Care Administration 1240 Marbella Plaza Drive

(Electronic Mail) Tampa, Florida 33619

(U.S. Mail)

Thomas M. Hoeler, ChiefFacilities Counsel Steven A. Grigas, Esq.

Office of the General Counsel AkermanLLP

Agency for Health Care Administration Counsel for The Home Association

(Electronic Mail) [e-mail]

(Electronic Mail)

STATE OF FLORIDA

AGENCY FOR HEALTH CARE ADMINISTRATION

STATE OF FLORIDA, AGENCY FOR

HEALTH CARE ADMINISTRATION,

Petitioner,

vs. ACHA No.: 2016008295

License No.: 12400962

THE BRIDGES NURSING AND, File No.: 62936

REHABILITATION, LLC d/b/a THE HOME, Provider Type: Nursing Home

ASSOCIATION

Respondent.

ADMINISTRATIVE COMPLAINT

COMES NOW the Agency for Health Care Administration (hereinafter ··Agency"), by

and through the undersigned counsel, and files this Administrative Complaint against The Bridges

Nursing and Rehabilitation, LLC d/b/a The Home Association (hereinafter '·Respondent""),

pursuant to §§120.569 and 120.57 Florida Statutes, and alleges:

NATURE OF THE ACTION

This is an action to revoke the Respondent's license to operate a skilled nursing facility.

PARTIES

1. The Agency is the licensing and regulatory authority that oversees skilled nursing

facilities (also called nursing homes) and enforces the state statutes and rules governing such

facilities. Ch. 408, Part II, Ch. 400, Part II, Fla. Stat.; Ch. 59A-4, Fla. Admin. Code. The Agency

is authorized to deny, suspend, or revoke a license, and impose administrative fines pursuant to

sections 400.121, and 400.23, Florida Statutes, assign a conditional license pursuant to subsection

400.23(7), Florida Statutes, and assess costs related to the investigation and prosecution of this

case pursuant to section 400.121, Florida Statutes

EXH\\B\\T 1

2. The Respondent was issued a license by the Agency to operate a skil1ed nursing

facility located at 1203 East 22nd Avenue, Tampa, Florida 33605, and was at all times material

required to comply with the applicable statutes and rules.

COUNT I

Failure to Timely Pay Quality Assessment Fines

3. Under Florida law, the agency may seek any of the following remedies for failure

of any nursing homes facility provider to pay its assessments timely: ... (b) suspension or

revocation of the nursing home facility license. § 409.9082(7), Fla. Stat. (2015).

4. Pursuant to Florida law,

( 4) Providers are subject to the following monetary fines pursuant

to Section 409.9082(7), F.S., for failure to timely pay a quality

assessment:

(a) For a facility's first offense, a fine of $500 per day shall be

imposed until the quality assessment is paid in full, but in no event

shall the fine exceed the amount of the quality assessment.

(b) For any offense subsequent to a first offense, a fine of$1 ,000 per

day shall be imposed until the quality assessment is paid in full, but

in no event shall the fine exceed the amount of the quality

assessment. A subsequent offense is defined as any offense within a

period of five years preceding the most recent quality assessment

due date.

(c) An offense is defined as one month's quality assessment

payment not received by the 20th day of the next succeeding

calendar month.

(d) In the event that a provider fails to report their total number of

resident days as defined in Section 409.9082( 1 )(c), F.S., by the 20th

day of the next succeeding calendar month, the fines in paragraphs

(a)-( c) apply and the maximum amount of the fines shall be equal to

their last submitted quality assessment amount but in no event shall

the total fine exceed the amount of the quality assessment.

(5) In addition to the aforementioned fines, providers are also

subject to the non-monetary remedies enumerated in Section

409.9082(7), F.S. Imposition of the non-monetary remedies by

AHCA will be as follows:

(a) For a third subsequent offense, AHCA will withhold any medical

assistance reimbursement payments until the assessment is

recovered.

(b) For a fourth or greater subsequent offense, AHCA will seek

suspension or revocation of the facility's license.

Rule 590-6.010(4) & (5), F.A.C., (2016). (emphasis added).

5. Respondent's tacility has been assessed Quality Assessment Fees, but has not been

paying them in a timely manner starting in April 2015.

6. Respondent has failed to pay these fees by the 20 1 h of the succeeding calendar

month four or more times.

WHEREFORE, the Petitioner, State of Florida, Agency for Health Care Administration,

seeks to revoke Respondent's license to operate a skilled nursing facility

COUNT II

Termination from Medicaid Program

7. Under Florida law, in addition to the grounds provided in authorizing statutes,

grounds that may be used by the agency for denying and revoking a license or change of ownership

application include any of the following actions by a controlling interest: . .. (e) the applicant,

licensee, or controlling interest has been or is currendy excluded, suspended, or terminated from

participation in the state Medicaid program, the Medicaid program of any other state, or the

Medicare program. § 408.815(I)(e), Fla. Stat. (2015). (emphasis added).

8. Pursuant to Florida law, in addition to any other remedies provided by law, the

agency may deny each application or suspend or revoke each license, registration, or certificate of

entities regulated or licensed by it: if the applicant, licensee, or a licensee subject to this part which

shares a common controlling interest with the applicant has failed to pay all outstanding fines,

liens, or overpayments assessed by final order of the agency or final order of the Centers for

Medicare and Medicaid Services ("CMS''), not subject to further appeal, unless a repayment plan

is approved by the agency.§ Fla. Stat. (2015).

9. Under Section 400.121, Florida Statutes, in pertinent "the agency may deny

an application, revoke or suspend a license, and impose an administrative fine, not to exceed $500

per violation per day for the violation of any provision of this part, part II of chapter 408, or

applicable rules, against any app1icant or licensee for the following violations by the applicant,

licensee, or other controlling interest: ... (b) an adverse action by a regulatory agency against any

other licensed facility that has a common controlling interest with the licensee or applicant against

whom the action under this section is being brought. If the adverse action involves solely the

management company, the applicant or licensee shall be given 30 days to remedy before final

action is taken. If the adverse action is based solely on the actions of a controlling interest, the

applicant or licensee may present factors in mitigation of any proposed penalty based upon a

showing that such penalty is inappropriate under the circumstances." § 400.121 ( 1 )(b), Fla. Stat.

(2015).

10. Under Florida law, "controlling interest is defined as '"(a) The applicant or licensee;

(b) A person or entity that serves as an officer of, is on the board of directors of, or has a 5-percent

or greater ownership interest in the applicant or licensee; (c) A person or entity that serves as an

officer of, is on the board of directors of, or has a 5-percent or greater ownership interest in the

management company or other entity, related or unrelated, with which the applicant or licensee

contracts to the man·age the provider. The term does not include a voluntary board member.'' §

408.803(7), Fla. Stat. (20 15).

11. On or about May 4, 2016, Maplewood Care Center, a nursing home facility located

in Tulsa, Oklahoma, has its Medicaid provider agreement terminated for cause by CMS.

12. Additionally, the Oklahoma Health Care Authority terminated Maplewood Care

Center's SoonerCare General Provider Agreement.

13. Senior Care Group, Inc. is listed as a controlling interest of Maplewood Care

Center.

14. Senior Care Group, Inc. is also listed as a controlling interest of The Bridges

Nursing and Rehabilitation, LLC.

WHEREFORE, the Petitioner, State of Florida, Agency for Health Care Administration,

seeks to revoke Respondent's license to operate a skilled nursing facility.

CLAIM FOR RELIEF

WHEREFORE, the Petitioner, State of Florida, Agency for Health Care Administration,

seeks to enter a final order that:

I. Renders findings of fact and conclusions of law as set forth above.

2. Grants the relief set forth above.

Respectfully Submitted,

Andrew B. Thomquest, Assistant General Counsel

Florida Bar No. 0104832

Office of the General Counsel

Agency for Health Care Administration

2727 Mahan Drive, MS #3

Tallahassee, Florida 32303

Telephone:

Facsimile: 850-922-9634

[e-mail]

NOTICE OF RIGHTS

Pursuant to Section 120.569, F.S., any party has the right to request an administrative

hearing by filing a request with the Agency Clerk. In order to obtain a formal hearing before

the Division of Administrative Hearings under Section 120.57(1), F.S., however, a party must

file a request for an administrative hearing that complies with the requirements of Rule 28-

106.2015, Florida Administrative Code. Specific options for administrative action are set

out in the attached EJection of Rights form.

The Election of Rights form or request for hearing must be filed with the Agency Clerk for

the Agency for Health Care Administration within 21 days of the day the Administrative

Complaint was received. If the Election of Rights form or request for hearing is not timely

received by the Agency Clerk by 5:00 p.m. Eastern Time on the 21st day, the right to a

hearing will be waived. A copy of the Election of Rights form or request for hearing must

also be sent to the attorney who issued the Administrative Complaint at his or her address.

The Election of Rights form shall be addressed to: Agency Clerk, Agency for Health Care

Administration, 2727 Mahan Drive, Mail Stop 3, Tallahassee, FL 32308; Telephone (850)

412-3630, Facsimile [phone].

Any party who appears in any agency proceeding has the right, at his or her own expense, to

be accompanied, represented, and advised by counsel or other qualified representative.

Mediation under Section 120.573, F.S., is available if the Agency agrees, and if available, the

pursuit of mediation will not adversely affect the right to administrative proceedings in the

event mediation does not result in a settlement.

CERTIFICATE OF SERVICE

I HEREBY CERTIFY that a true and correct copy of the Administrative Complaint and

Election of Rights form were served to the below named persons/entities by the method designated

on this 13th day of September, 2016.

Andrew B. Thornquest, Assistant General Counsel

Florida Bar No. 0104832

Office of the General Counsel

Agency for Health Care Administration

2727 Mahan Drive, MS #3

Tallahassee, Florida 32308

Telephone: [phone]

Facsimile: 850-922-9634

andrew. [e-mail]. com

Pat Caufman, Field Office Manager Steven A. Grigas, Respondent's Counsel

Local Field Office- Region 6 Akerman LLP

Agency for Health Care Administration 106 E. College A venue, Suite 1200

(Electronic Mail) Tallahassee, Florida 32301

(Electronic Mail )

Bernard Hudson, Unit Manager

Long Term Care Unit

Agency for Health Care Administration

(Electronic Mail)

STATE OF FLORIDA

AGENCY FOR HEALTH CARE ADMINISTRATION

Re: The Bridges Nursing and Rehabilitation, LLC ACHA No. 2016008295

d/b/a The Home Association

ELECTION OF RIGHTS

This Election of Rights form is attached to an Administrative Complaint. It may be returned

by mail or facsimile transmission, but must be received by the Agency Clerk within 21 days,

by 5:00 pm. Eastern Time, of the day you received the Administrative Complaint. If your

Election of Rights form or request for hearing is not received by the Agency Clerk within 21

days of the day you received the Administrative Complaint, you will have waived your right

to contest the proposed agency action and a Final Order will be issued imposing the sanction

alleged in the Administrative Complaint.

(Please use this fonn unless you, your attorney or your representative prefer to reply according to

Chapterl20, Florida Statutes, and Chapter 28, Florida Administrative Code.)

Please return your Election of Rights fonn to this address:

Agency for Health Care Administration

Attention: Agency Clerk

2727 Mahan Drive, Mail Stop #3

Tallahassee, Florida 32308

Telephone: [phone] Facsimile: 850-921-0158

PLEASE SELECT ONLY 1 OF THESE 3 OPTIONS

OPTION ONE (1) I admit to the allegations offact and conclusions oflaw alleged

in the Administrative Complaint and waive my right to object and to have a hearing. 1

understand that by giving up the right to object and have a hearing, a Final Order will be issued

that adopts the allegations of fact and conclusions oflaw alleged in the Administrative Complaint

and imposes the sanction alleged in the Administrative Complaint.

OPTION TWO (2) I admit to the allegations of fact alleged in the Administrative

Complaint, but wish to be heard at an informal proceeding (pursuant to Section 120.57(2),

Florida Statutes) where I may submit testimony and written evidence to the Agency to show that

the proposed agency action is too severe or that the sanction should be reduced.

OPTION THREE (3) I dispute the allegations of fact alleged in the Administrative

Complaint and request a formal hearing (pursuant to Section 120.57(1), Florida Statutes) before

an Administrative Law Judge appointed by the Division of Administrative Hearings.

PLEASE NOTE: Choosing OPTION THREE (3), by itself, is NOT sufficient to obtain a

formal hearing. You also must file a written petition in order to obtain a formal hearing before

the Division of Administrative Hearings under Section 120.57(1 ), Florida Statutes. It must be

received by the Agency Clerk at the address above within 21 days of your receipt of this proposed

agency action. The request for fonnal hearing must confonn to the requirements of Rule 28-

1 06.2015, Florida Administrative Code, which requires that it contain:

1. The name, address, telephone number, and facsimile number (if any) of the Respondent.

2. The name, address, telephone number and facsimile number of the attorney or qualified

representative of the Respondent (if any) upon whom service of pleadings and other papers shall

be made.

3. A statement requesting an administrative hearing identifying those material facts that are in

dispute. Iftherc are none, the petition must so indicate.

4. A statement ofwhen the respondent received notice of the administrative complaint.

5. A statement including the file number to the administrative complaint.

Mediation under Section 120.573, Florida Statutes, may be available in this matter if the Agency

agrees.

Licensee Name:

Contact Person: Title:

Address:------------------------------

Number and Street City Zip Code

Telephone No.------------- Fax No.-------------

E-Mail (optional)------

I hereby certify that I am duly authorized to submit this Election of Rights fonn to the Agency for

Health Care Administration on behalf of the licensee referred to above.

Signed:------·----------- Date:--------

Printed Name:--------- _______ Title: ________ _

RICK SCOTT

GOVERNOR

JUSTIN M. SENIOR

SECRETARY

february 16, 20 17 CERTIFIED

SENOfAS RECORD

Warren Keene, Adminis1ralor File Numbl·r: 62936

Home The License Number; 12400962

1203 E 22nd Ave Provider Type: Nurl'ing Home

Tampa. FL 33605

RE: Complaint Number 20170018241203 E 22nd Ave, T;ampa

Notice Of Intent To Deny for Renewal

It is the decision of this Agency that the Home Association renewal application for the Nursing Home

license be DENIED.

The Specific Basis for this determination is:

Due to Senior Care Group, Inc.'s from the Medicaid program of Oklahoma, and for failure to

timely pay quality assessment fines for a fourth or greater time. The stutulory references related to the

rt:'. voutti(ln action are the following: Srcrions 408.815( I )(e), 408.831 {i )(a), and 409.9082(7),

StaiUies (2016), and Rule 59G-6,010(4) & (5), Florida Administrative Code (2016).

EXPLANATION OF RIGHTS

Pursuant to Sec·tiun 120.569, F.S., you have the right to request an administrative hearing. In order to

obtain a formal procer::ding before rhe Division of Administrative Hearings under Section 120.57( 1), F.S.,

your request for an administrative hearing must conform to the requirements in Section 28-106.20 l,

Florida Administrative Code (F.A.C), and must state the material facts you dispute.

SEE ATTACHED ELECTION AND EXPLANATION OF RIGHTS FORMS.

If you have any questions or need further assistance, please call Kathleen Munn at (850} 412-4427 ore-

mail at

Long Term Care Unit

Agency for Health Care Administration

cc: Legal Intake Unit, MS# 3

2727 Mahan Drive • MS#33 Facebook.com/AHCAFiorida Youtube.com/AHCAFiorlda

Tallahassee, FL 32308 EXHIBIT 2 Twitter.com/AHCA_FL

AHCA.MyFiorlda.com SlldeShare.net/AHCAFiorida

Horne

16,2017

STATE OF FLORIDA

AGENCY .FOR HEALTH CARE ADJ\ NISTRATION

RE: Homt-' Assnciulinn, The

Number: 2017001824

.ELECTION OF RIGHTS

This l:.h:ction of form is Hltadu:>d to a proposed Notice of Intent to Deern Incomplete and Withdraw from

Further Review of the for Health Care Administration fAHCAJ. The title may be Notice of Intent to

Deem lm:oml>lt·tc and Withdraw from .Furthn RL•\\i(•w or some other notice of action by AHCA.

An Election of must he returned by mail or by fax within 21 duys of the da\\' you receive the attached

Notice of Intent to Deem lncomplell' and Withdraw from Furthl'r Review or any other proposed action IJ)'

AHCA.

Jf an Eh.·ctinn of Rights with your selected option is not n•ct•h·cd by AHC A within twenty-one (21) days from

the date you received this notice of proposed you will have given up your right to contest the Agc-ncy'.o,

action and a final order be isstu:d.

(PI<_·;n reply="" usji1!!="" you,="" yom="" youj="" prcft:r="">

ac.-ording to and Rul(; n. Florida Admini:Matin: Code.)

Agency for Health Care Administration

Allention: Agency Clerk

2727 Mahan Drive, Mail Stop #3

Tallahassee, florida 32308

Phone: [phone] Fax: [phone]

OPTION ONE (I) __ I admit to the allegations of facts and Jaw contained in the Notice of Intent to Deem

Incomplete and Withdraw from .Further or other notice of intended action by AHCA and I waive

my right to object and have a hearing. 1 understand that by giving up my right to a hearing. a final order will

be issued that the proposed agency action and imposes the proposed penalty, fine or action.

OPTJON TWO (2) __ I admit to the allegations of facts l'Ontained in the Notirl' of Intent to Deem

Incomplete and Withdra" from J

heard at an informal proceeding to Section I 20.57(2), Horidu where I may submit

testimony and written evidence to the Agency to show that the propoi.ed administmtive action is too severe or that

the fine should be

OPTION THREE (3) __ I dispute the allegations of fact contained in the Notice of Intent to Deem

lncomplcf(• and \\\\'ithdraw from Further Rcl-'iew or other proposed action by AHCA, and I request a

formal hearing lpunuant to Section 120.:)7( 1). Florida Statutes} before an Administrative Law Judge appointed

by the Division of Administrative Hearing:-;.

Home Association. The

February 16. 20 J 7

Page #2

PLEASE NOTE: Choosing OPTION THREE 0), by itself, is NOT sufficient tu obtain a formal hearing.

You also must file a written petition in onkr In ohtain a formul hearinp. heforL' the of Administrative

llearings unun Suhscction 120.57( I). Florid;\\ Stillutes. It must he received hy the Ag.;ncy Clerk at the

ahO\\e within 21 nf receipt of lhi..; proposeJ udministrative action. The request for formul hearing must

conform to the rcquircmems of Rule 28-I06.20l, FJoriJa Administrative Code, which that it contain:

I. The name anJ <..hjdress of="" t•ach="" agency="" affected="" and="" each="" agency's="" file="" or="" identification="" number.="">

known;

2. Your name, address, and telephonL' number, and the rwmc, address, and telephone number or your

reprt!selllntive or lawyer. if any:

An explana!ion of how your 'itlbstantinl interests will he affected hy the Agency's proposed

action;

4. A statement of when amJ how you recci ved notir:c of the Agency's proposed action;

5. A stakl1ll!l1t of all disputed issues of nwterial fal.'t. If there nrc none, you must state rhat there are

none:

fJ. A concise statement of the ultimate facts

reversal or modification nf the Agency's proposed action;

7. A statement of the rules or statutes you claim rcyuire rcwrsal or nlodification of

Agency's proposed act ion; and

g. A sl-actly w·hat action you wish the Agency to take

with respect to its proposed action.

t :-.'kdiat ion undt•r Sect inn l20 .. "i7J, Florida Statutes, nu y he 11 v;!i lahk in 1 his matter if the Agency agrees. l

Type: Nursing Horne License Number: 12400962

Licensee Name: Home A!-.!'ociation, The

Contact Person:

Name Tirlc

/ I • ,r : ' I

City

Telephone Nhr.: Fax Nbr.:

I herehy that I am duly authorized to :-.ubmit this Notice of Election of Rights 10 the Agt!ncy lor Health

Care Administration on behalf of the referred to above.

Signed.:..:------------------ Date:

Prinl :lc·:

AGENCY HEALTH CARE ADMINISTRATION

STATE OF FLORIDA, AGENCY FOR

HEAL TII CARE ADM1NIS1RATION,

Petitioner,

v. AHCA Nos.: 2016008295

2020012273

THE BRIDGES NURSING AND

REHABILITATION, LLC dlb/a THE HOME Lice.nse No.: 12400962

ASSOCIATION,

File No.: 62936

Respondent.

TilE BRIDGES NURSING AND

REHABILITATION, LLC d/b/a Tim HOl\
E

ASSOCIATION,

Petitioner,

v. AHCA No.: 2017001824

STATE OF FLORIDA, AGENCY FOR

HEALTH CARE ADMINISTRATION,

Respondent

SETTLEM};NT AGREEMENT

State of Florida, Agency for Health Care Administration ("the Agency"). and The Bridges

Nursing and Rehabilitation, LLC dlbla The Home Association ( .. the Home Association"), pursuant

to Section 120.57(4), Florida Statutes, enter into this Settlement Agreement ("Agreement") and

agree as follows:

WHEREAS, the Horne Association is a Killed nursing facility, commonly referred to as

a nursing home, was licensed pursuant to Chapter 408, Part ill and Chapter 400, Part IL Florida

Statutes, and Chapter 59A-4, Florida Administrative Code; and

EX:HJBil" 3

WHEREAS, the Agency has jurisdiction by virtue of being the licensing and reguJatocy

authority over the Home Association; and

WHEREAS, the Agency issued an Administrative Complaint (AHCA #2016008295)

alleging two (2) licensure violations on September 13, 2016. The first violation aHeged was that

the Home Association had been assessed Quality Assessment Fees, but had not been making timely

payments starting in APril of 2015 and continued for more than four successive payments. The

second v.iolation alleged was that the Home Association's one hundred percent (100%) contro1ling

interest, Senior Care Group, Inc. was the one hundred percent (1 00%) controlling interest of an

entity that was terminated from the Medicaid pmgram of another state. The Agency sought to

revoke the Home Associations license to operate ll skilled nursing facility due to the two allege

licensure violations; and

WHEREAS, The Home Association has continued to timely submit renewal applications

to renew its license to operate a nursing home facility; and

WHEREAS, the Agency subsequently sent the Home Association a Notice of Intent to

Deny for Renewal ("NOI,.) letter (ABCA #2017001824) on February 16, 2017 based on the

allegation that its controlling interest Senior Care Group, Inc. had been the controlling interest of

an entity that was terminated for cause from the Medicaid pl'Ogt'8nt. of Oklahoma, and had failed

to timely pay quality assessment fmes for a fourth or greater time; and

WHEREAS, the Agency conducted a life safety equipment survey on or about November

7, 2018 and is prepared to issue an AdministratiVe Complaint (AHCA #2020012273) alleging

three (3) uncorrected Class ill violations in the areas of Sprinkler System - Maintenance and

Testing, Corridor- Doors, and Communicating openings in dividing fire barriers. AJ! together, the

action could have resulted in the imposition of three thousand dollm ($3,000.00) in fines; and

Page2of8

requested li formal hearing for both tbe

administrative complaint and the NOJ letter by filing an election ofrights form and a petition for

a fOIIIllil hearing pursuant to § 120.57(1), Fla. Stat.; and

WHEREAS, the Home Association filed a petition for relief under Chapter 1l of the

Bankruptcy Code, pending in the Unjted States Bankruptcy Court for the Middle District of Florida

(the "Bankruptcy Com·es); and

WHEREAS, the Home Association has filed a Chapter 11 Plan of Reorganization

("Plan"), pursuant to which SeaCaost Elite Management, Znc. ("SeaCoast'') is providing financial

support for the Home Association, and is obtaining the right to designate the board members of

Senior Care GJ'oUp 1 such that the members of the Vaughan family shall have no control of Senim·

Carr:; Group or its the Association;

\\VHEREAS, the parties have agreed that a fair, efficient, and cost effective resolution of

this dispute would avoid the expenditure of substantial sums to litigate the dispute; and

WHEREAS, the patties stipulate to the adequacy of considerations exchanged; and

the parties have negotiated in good faith and agreed that the best interest of

all the parties will be served by a settlement of this prooeeding; and

NOW THEREFORE, in consideration of the mutual promises and recitals herein, the

parties intending to be legally bound, agree as follows:

1. All recitals herein are true and correct and are expressly incorporated herein.

2. All parties agree that the above ''whereas" clauses incorporated herein are binding

findings of the parties.

3. Upon full execution of this Agreement, the Home Association agrees to waive any

and ali appeals and proceedings to which it may be entitled including, but not limited to, an

informal proceeding under Subsection 120.57(2), Florida Statutes, a formal proceeding under

Page3 oft!

Subsection 120.57(1), Florida Statutes, appeals under Section 120.68. Florida Statutes; and

declaratory and all writs of relief in any court or quasi-court of competent jurisdiction; and agrees

to waive compliance with the form of the Final Order (findings of fact: and conclusions of law) to

which it may be provided, however, that this agreement shall not be deemed a waiver by

either party of its right to judicial enforcement of this Agreement.

4. Upon full execution of this Agreement, the Parties stipulate as follows:

11. Upon entry of a Final Order of the Agency referenced in paragraph 7 below, the

Home Association agrees to pay the Agency the sum of one million

hundred seventy thousand seven hundred ninety-eight dollars and forty--eight

cents($! ,870,798.48) in full settlement of obligations to the Agency

on

bankruptcy Plan in the amount of one million dollars ($l,OOOJOOO.OO), and by

thereafter making quarterly payments of ninety thousand dollars ($9{),000.00)

until the Agency has received the sum total owed.

b. Upon the issuance of a Final Order a.doptillg this agreement the Agency shall

withdraw its revocation actions in its administrative complaint; and withdraw

its NOI letter.

c. Upon the issuance of a Final Order adopting this agreement, the Agency shall

promptly resume its review of the Home Association's two (2) renewal

applications. If the renewal applications are and in compliance of all

the requirements of Florida Statutes and Agency the license shall be

issued. If there are still any outstanding legal issues. the Agency shall promptly

notify the Provider of the issues. Nothing in this Agreement shall prohibit the

Agency from again denying the application based upon any statute or rule, and

Pfl2e4 of8

applicable, an unsatisfactory licensure survey, Should the application

denied, the Home Association shall afforded aU rights under Florida law to

contest the denial.

d. Nothing in this Agreement shall be interpreted as a derogation or expansion of

the Agency's licensure responsibilities law. No provision of this

Agreement shall be interpreted as a commitment by either party to enter into an

agreement for the transfer of the Home Association's licensure to a third party

or a commitment of the Agency to grant licensure or recommend certification

to any such change of ownership applicant.

e. The failure to comply this Agreement shaH constitute grounds for the

of s.ny fiJttnr

increase, or otherwise) filed by the Home Association or any change of

ownership applicant

f. A Federal bankruptcy court order confirming the Home Association•s Plan,

with tenns consistent wi1h the financial treatment contained herein, and

approving this Agreement is a condition precedent to the entirety of paragraph

4 ofthis Agreement Should this condition not be met, this Agreement becomes

null and void and tbe Agency's NOI and complaint prosecution actions shaH

proceed in due course, and the Home Association's election of rights will

preswne to stand, wjthout any waiver of i1s due process rights.

S. Vonue for any action brought to intetpret, enforce or chailenge the terms of this

Agreement and its corresponding Final Order shall lie solely in the Circuit Court of Florida, in and

for Leon County) Florida.

6. By executing this Agreement, the Home Association does not admit the facts and

PageS of8

legal conclusions raised in the administrative complaints and the NOI referenced and the

Agency asserts the validity thereof. The Agency is not precluded from using the subject events for

any puipose within the jurisdiction of the Agency other than the actions aJready sought in the

administrative complaint and NOL Further, the Home Association acknowledges and agrees that

this Agreement shall not preclude or estop any other federal, state or local agency or office from

pursuing any cause of action or taking any action, even on or arising from, in whole or in

part 1 the facts raised in the administrative complaint or NOL

7. Upon full execution of this Agreement, the Agency shall enter a Final Order

adopting and incorporating the terms of this Agreement and closing the above-styled case.

8. Each party shall bear its o·wn costs and attorney's

9. OJ

successors, transferees, attorneys, heil's, and executors or administrators, discharges the State of

Florida, Agency for Health Care Administration, and its agents, representatives, and attorneys, of

and ft"Om all claims, demands, actions, causes of action, suits, damages, losses, and expenses, of

any and every nature whatsoever, arising out of or in any way related to this matter and the

Agency's actions, including, but not limited to, any claims that were or may be asserted in any

federaJ or state court or administrative forum, including any claims arising out of this agreement.

by or on behalf of the Home Association or its related or resulting organizations.

10. This Agreement is binding upon all parties and those persons and entities that are

identified in the above paragraph.

11. · In the event that the Home Association was a Medicaid provider at the time of the

occurrences alleged in the administrative complaint and NOI letter, this Agreement does not

prevent the Agency from seeking Medicaid ove.tpayments not inctuded in the original charging

documents related to the subject issues or from imposing any further sanctiol18 pursuant to Rule

Page6 of8

590-9.070, Florida Administrative Code. l11is Agreement does not settle any pending or potential

Federal agaiMt Agreement not the Agency from

taking any action regarding the Home Association' Medicaid provider status, conditions)

requirements or contract, if appLicable.

12. The Home Association agrees that if any funds to be paid under this Agreement tn

the Agency are not timely paid as set forth in this Agreement 1 the Agency may dednct the amounts

assessed against the Home Association in the Final Order, or any portion thereof, owed by the

Home Association to the Agency from any present o1· futut-e fund.s owed to the Home Association

by the Agency, and that the Agency shaH bold a lien against present and future funds owed to the

Home Association by the Agency said amounts until paid.

understand thir-; llllthority

to bind their respective principals to it The Home Association, through its representatives, has the

legal capacity to execute this Agreement The Home Association understands that it has the right

to consult with jts own independent oounseJ and has knowingly and freely entered into this

Agreement The Home Association understands that Agency counsel repl'esents only the Agency

and that Agency counsel has not provlded any legal advice to, or the Home

Association, or its representatives in their decision to enter into this Agreement

14. This Agreement contains the entire understandings and agreements of the parties.

This Agreement supersedes any prior oral or written agreements between the parties. This

Agreement may not be amended except in writing. Any attempted assignment of this Agreement

shall be void.

15. All parties agree that a facsimile signatrue suffices for an original signature.

16. The following representatives acknowledge that they are duly authorized to enter

into this Agreement.

Page7of8

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Jffice ofthe f'Jellcral ('.ounse

Agency for Health C.are Adm · ntslratir

2717 1\\ia.han Drivf., MS #7

lttllaha · florida, 32' 0