Wednesday, February 25, 2009

Bush's Nursing Home Rule Change Benefits Carlyle Group

President Bush designated nursing home state inspectors and Medicare/Medicaid contractors as federal employees. That gives them liability coverage, courtesy of Uncle Sam. It also makes it more difficult to get information from state officials.

The same President Bush approved The Carlyle Group's purchase of ManorCare in December 2007. ManorCare has 500 facilities, most are nursing homes. WaPo reported:

The new rule, which was issued in September, generally prohibits state health departments and contractors from participating in private lawsuits involving facilities that are in the federal assistance program without approval by the head of the Department of Health and Human Services.

Does it also provide Federal Tort Claims Liability Act coverage? That's sweet corporafornication, either way.

Did Tom Scully lobby for the Bush rule change? Scully lobbies for the long term health care industry in his Alston & Bird role. He's also a fellow PEU, private equity underwriter at Welsh, Carson, Anderson & Stowe. Tom was once Bush's Medicare/Medicaid chief. Hmmmm....