A SUFFOLK SUPERIOR COURT judge granted an emergency petition on Wednesday to place the Benjamin Healthcare Center in Boston in receivership, a move designed to stabilize the care of the 71 residents of the nursing home.
State health officials argued on Tuesday that receivership was necessary because of the Mission Hill nursing home’s deteriorating finances. “Benjamin Healthcare’s inability to meet payroll, which the Department confirmed has led to staff checks not clearing as of March 30, presents an unacceptable risk of dangerous understaffing and an imminent danger of death or serious physical harm to patients,” said an affidavit filed by Stephen Davis, the director of the Department of Public Health’s division of health care facility licensure and certification.
The receivership order still leaves the door open to a potential closure if the Department of Public Health approves a closure plan filed by the facility in February. The department has held two public hearings on closing the facility over the past month, during which employees, family members, and residents facing lengthy waits for beds at nearby nursing homes called for the state to keep the nursing home open.
Still, the approval of the receivership by Judge Katie Rayburn represented a marked shift. Up until last week, the Department of Public Health did not consider receivership of the nursing home necessary. And the department did not pursue receivership of four nursing homes in western Massachusetts in 2023, despite calls from advocates.
The receivership order said a “temporary receiver” is necessary “to protect the immediate health and safety of the Facility residents by ensuring that they receive the care and support they need.”
The temporary receiver will be Joseph D. Feaster, Jr. of commercial real estate firm Dain, Torpy, Le Ray, Wiest & Garner P.C. The receivership gives Feaster the power to pay employees and keep the facility running.
“During the pendency of the receivership, the Receiver shall consult with the Department of Public Health and with the Attorney General in executing the plans if closure of the facility is approved,” said the receivership order. “The Receive shall not close the facility without leave of the court.”
The nursing home’s CEO, Tony Francis, did not immediately respond to a request for comment left with his spokesperson.
Lawyers for Civil Rights, which filed for the receivership on behalf of the families of residents at the Benjamin, took to social media to praise the judge’s order: “This is a community win! Grateful for the support of allies and community partners.”
The Benjamin’s finances have been strained for some time. In December 2023, MassHealth loaned the nursing home $300,000 to help it make payroll. But in January, Boston 25 reported that paychecks bounced. Employees provided the news outlet with copies of bounced paychecks, and workers said they ended up having to wait days to get paid.
On March 4, the attorney general’s office cited the Benjamin nursing home for failing to timely pay workers $190,000 – and assessed $15,000 in penalties. Then on March 29, the Benjamin nursing home told MassHealth that “it would not be able to fund payroll imminently, and that staff may walk out as a result of unpaid wages,” according to the Davis affidavit.
As of March 29, the Benjamin nursing home still owes MassHealth $194,850, according to an affidavit filed by MassHealth.
DPH officials say the department changed its stance on receivership after learning about the March 29 payroll issue. The Davis affidavit said the agency had received payroll complaints in the past but had not been able to verify them.
“Through various site visits conducted by the Department, interviews with patients and staff, and other investigatory tools utilized over the past few months, the Department was of the view, until late last week, that there was no danger to patient health or safety that necessitated the appointment of a receiver,” said the Davis affidavit.
Meanwhile, Attorney General Andrea Campbell said in a statement that her office is investigating allegations of fiscal mismanagement.
“New details about Edgar Benjamin Healthcare’s inability to pay its workers present a serious and imminent risk to resident care,” Campbell said. “We supported residents in securing this receivership to help protect resident safety and ensure employees are getting paid. At the same time, my office will continue to look into allegations of the facility’s financial mismanagement and non-compliance with its nonprofit filing obligations.”