Connecticut HB 5512: AN ACT CONCERNING A STUDY OF STATE REVENUE COLLECTIONS.

Bill Text

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General Assembly Raised Bill No. 5512
February Session, 2026 LCO No. 2310

Referred to Committee on PUBLIC HEALTH

Introduced by:
(PH)

AN ACT CONCERNING THE DEPARTMENT OF PUBLIC HEALTH'S
RECOMMENDATIONS REGARDING REAL PROPERTY CHANGE OF
OWNERSHIP.
Be it enacted by the Senate and House of Representatives in General
Assembly convened:

Section 1. Subsection (c) of section 19a-493 of the 2026 supplement to 1
the general statutes is repealed and the following is substituted in lieu 2
thereof (Effective October 1, 2026): 3
(c) (1) (A) For the purposes of this subsection, (i) "a person related by 4
blood or marriage" means a parent, spouse, child, brother, sister, aunt, 5
uncle, niece or nephew, (ii) "business entity" means a corporation, 6
association, trust, estate, partnership, limited partnership, limited 7
liability partnership, limited liability company, sole proprietorship, joint 8
stock company, nonstock corporation or other legal entity, (iii) 9
"institution" has the same meaning as provided in section 19a-490, and 10
(iv) "organizational chart" means a graphical representation of an 11
organization, including, but not limited to, the relationships between 12
such organization's ownership interests. 13
(B) For the purposes of this subsection, (i) a change in the legal form 14

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of the licensee, including, but not limited to, changes from a corporation 15
to a limited liability company, a partnership to a limited liability 16
partnership, a sole proprietorship to a corporation and similar changes, 17
shall not be considered a change in ownership if the beneficial 18
ownership remains unchanged and the owner provides such 19
information regarding the change to the department as may be required 20
by the commissioner to properly identify the current status of 21
ownership and beneficial ownership of the facility or institution, (ii) a 22
public offering of the stock of any corporation that owns, conducts, 23
operates or maintains any facility or institution shall not be considered 24
a change in ownership or beneficial ownership of such facility or 25
institution if the licensee and the officers and directors of such 26
corporation remain unchanged, such public offering cannot result in an 27
individual or entity owning ten per cent or more of the stock of such 28
corporation, and the owner provides such information to the 29
department as may be required by the department in order to properly 30
identify the current status of ownership and beneficial ownership of the 31
facility or institution, and (iii) a change of ownership of, or to, a business 32
entity recognized as a nonprofit organization under Section 501(c)(3) of 33
the Internal Revenue Code of 1986, or any subsequent corresponding 34
internal revenue code of the United States, as amended from time to 35
time, that is licensed as a hospital pursuant to this chapter resulting in 36
the transfer of ownership which is exempt from review required under 37
subsection (a) of section 19a-486a shall not be considered a change in 38
ownership provided the owner provides such information regarding 39
the change to the department as may be required by the commissioner 40
to properly identify the current status of ownership. 41
(C) For the purposes of this subsection, "serious risk to the life, safety 42
or quality of care of patients or residents" includes, but is not limited to, 43
any deficiency in state licensure or federal certification requirements, 44
including the provisions of 42 CFR 488.400 et seq., resulting in: 45
(i) An action by a state or federal agency to ban, curtail or temporarily 46
suspend admissions to a facility or to suspend or revoke a facility's 47
license; 48

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(ii) A decertification, termination or exclusion from Medicaid or 49
Medicare participation, including denial of payment for new 50
admissions resulting solely due to the provider's failure to correct 51
deficiencies or noncompliance with regulatory requirements, imposed 52
by the Department of Public Health or by the Centers for Medicare and 53
Medicaid Services, as a result of noncompliance with Medicaid or 54
Medicare conditions of participation; 55
(iii) A citation of any deficiency that constitutes a pattern or 56
widespread scope of actual harm or immediate jeopardy, or any 57
deficiency causing widespread actual harm, as described in 42 CFR 488; 58
(iv) A determination that the provider is a "poor performer" as 59
defined by the Centers for Medicare and Medicaid Services on the basis 60
of a finding of substandard quality of care or immediate jeopardy, as 61
described in 42 CFR 488, on the current survey and on a survey during 62
one of the two preceding years. For the purposes of this subparagraph, 63
"substandard quality of care" means the failure to meet one or more 64
requirements of 42 CFR 483.13, 42 CFR 483.15 or 42 CFR 483.25, that 65
constitute either immediate jeopardy