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Councilman Concerned For Nursing Home Residents After $30 Million Settlement

Councilman Concerned For Nursing Home Residents After $30 Million Settlement
Posted at 6:44 PM, Jun 12, 2018
and last updated 2018-06-12 19:44:54-04

A Metro Council member wants to know if the elderly and disabled patients at a Bordeaux nursing home are safe.

The concern was raised after the company hired by the city to run the place was accused of subjecting residents to excessive and even unnecessary treatments.

It all came to light when the U.S. Department of Justice announced a $30 million settlement with Signature Healthcare for allegedly filing false and fraudulent Medicare claims. 

Nursing Home Company Accused Of Bilking Govt. Out Of $230 Million

But it's what prompted this investigation that has Councilman Jim Shulman asking questions. 

"We have to make sure that our patients are safe," Shulman said.

The Metro councilman at-large told NewsChannel 5 Investigates that his first thought was the residents at Metro's nursing home in Bordeaux when he learned that Signature Healthcare was accused of filing fraudulent Medicare claims totaling $230 million. The Louisville, Kentucky-based company did not admit to any wrongdoing, but agreed to settle the case with the U.S. Justice Department for $30 million.

The federal investigation began after two whistle blowers came forward. The women had been occupational therapists at Signature's nursing home in Columbia and were alarmed at how they say they were forced to treat residents.

"We were pressured to see them for excessive amounts of time when it wasn't clinically indicated or we were asked to not see patients because it would exceed the therapy threshold," LeeAnn Holt, one of the two whistle blowers, described.

"That's impacting patients! We have to protect our patients," Jim Shulman exclaimed. 

The reason for his concern?

According to the U.S. Attorney's Office, what the whistle blowers alleged wasn't just happening at the Columbia location, but at Signature's 115 facilities, including Bordeaux. Metro actually owns the facility and pays Signature $3.5 million a year to run the place.

"When you hear of these things, you back up and go, 'You know what? It's time for us to go back and check immediately and make sure that everything's okay,'" Shulman stated. 

Nashville Mayor David Briley wants answers too. His office told NewsChannel 5 Investigates in a statement, "Mayor Briley will be reviewing the contract with Signature in the coming weeks to make sure their relationship with the city is appropriate and protects the citizens of Davidson County. This settlement will be taken into consideration in that context."

Of course, Signature Healthcare is the same company whose CEO Joe Steier told Metro council members at a meeting three years ago that if the city would extend its contract and pay additional money each year, Signature would build a new nursing facility  in Bordeaux to replace the current aging building. The company said the project would be done by June 2018. Yet here we are, and Signature has yet to break ground or even decide on a location.

"If we're going to spend taxpayer money, we've got to hold these companies accountable," Shulman said.

He added that once he knows the residents at Bordeaux are okay, he will ask the council's audit committee and perhaps the city's auditor and legal department to go to Signature for answers and assurances.

"We have to know that the company is taking measures to make sure this doesn't happen ever again," Shulman explained.

Metro's contract with Signature to run the Bordeaux facility still has two more years. It's in effect through June of 2020.