Central Texas Nursing Homes File for Bankruptcy
News 10 is reporting that the parent company of dozens of Central Texas nursing homes is filing for bankruptcy
Senior Care Centers, LLC is seeking for Chapter 11 bankruptcy protection.
The nursing home company has almost 10,000 patients in elderly care homes across Texas and Louisiana. Despite the bad news, Senior Care Center says that they expect to keep all nursing homes up and running as normal.
“All communities are expected to continue serving our residents with high-level care, no matter who the operator is. After careful analysis, we determined that the protections afforded by the Chapter 11 process are the best way to address the Company's debt and costly leases while allowing us to continue to provide all the top-level care and support our residents deserve," said Kevin O'Halloran, the chief restructuring officer for the company.
The bankruptcy filing will create more concern over the lack of funding across Texas for nursing homes.
“Chronic underfunding of long-term care has become the norm in Texas. Seventy-five percent of Texas nursing homes report the state’s reimbursement does not cover the cost of care. Funding challenges are making it difficult for nursing homes to compete in the job market, leading to annual staff turnover rates that exceed 90 percent,” said Texas Health Care Association CEO Kevin Warren.