Joint statement on developments related to Laguna Honda Hospital & Rehabilitation Center

Joint statement by the Centers for Medicare & Medicare Services (CMS), the California Department of Public Health (CDPH), and the City and County of San Francisco (City)

SAN FRANCISCO (October 12, 2022) — Statement Released Jointly by the federal Centers for Medicare & Medicare Services (CMS), the California Department of Public Health (CDPH), and the City and County of San Francisco (City) on developments related to Laguna Honda Hospital & Rehabilitation Center (Laguna Honda):

City Attorney David Chiu and Mayor London Breed speak at press conference regarding Laguna Honda Hospital

“All parties are committed to ensuring that, regardless of income, people living in nursing homes are receiving safe, high-quality services and support. We are all focused on resident wellbeing while Laguna Honda continues to provide critically needed health care services for hundreds of residents.

“CMS, the City, and the California Department of Public Health have reached an agreement in principle to settle ongoing administrative proceedings and federal court litigation. This settlement will allow Laguna Honda to continue to receive Medicare and Medicaid payments while addressing the quality improvements needed to ensure resident health and safety.

“As part of the settlement, CMS will extend Medicare and Medicaid payment for services through November 13, 2023, contingent on Laguna Honda meeting requirements aimed at making health and safety improvements at the facility. During this period, Laguna Honda will continue to work on quality improvement efforts while aiming to reapply to participate in Medicare and/or Medicaid. Additionally, transfers and discharges of current residents will remain paused until February 2, 2023, with a possibility of a further extension if Laguna Honda complies with its obligations under the settlement agreement.

“The City will be submitting the settlement agreement in principle to the Health Commission and Board of Supervisors of the City and County of San Francisco shortly, and the parties look forward to executing and implementing the agreement once Board and Mayoral approval has been secured.

“CMS, CDPH, and the City will work together as Laguna Honda continues to provide critical services for vulnerable residents in San Francisco.”

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