VirginiaSB2472026 Regular SessionSenateWALLET

Nursing homes; application to Commissioner of Health for change of operator license, civil penalty.

Sponsored By: Barbara A. Favola (Democratic)

Became Law

Summary

Nursing homes; change of operator; application to Commissioner of Health for change of operator license; civil penalty. Requires a person taking over the daily operations and management of a nursing home when change of ownership or control occurs to apply to the Commissioner of Health for a change of operator license. The bill establishes the requirements for the application for and for the granting of such license and establishes a civil penalty for failing to provide the Commissioner with information or documentation, effectuating a change of operator without applying for a change of operator license, or providing fraudulent information on an application for a change of operator license. This bill is identical to HB 717.

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Bill Overview

Analyzed Economic Effects

4 provisions identified: 0 benefits, 1 costs, 3 mixed.

Heavy fines for unapproved operator changes

If someone changes the operator without filing the application, or files false information, they owe $2,000 for each day after the change. If they still do not apply within 60 days after the Commissioner learns of it, the state starts revoking the nursing home’s license. New operators must correct any application errors right away, report changes within 30 days after the effective date, and answer the Commissioner’s questions truthfully. Failure to notify or provide information can bring a $2,000 civil penalty.

Big bond to protect nursing home residents

The new operator or property owner must post a bond equal to $10,000 per licensed bed. They must keep it for five years. The bond is waived if the operator, or a person who owns at least 50% of the operator, directly or indirectly owns at least 50% of the nursing home and its assets. If the bond lapses, the Commissioner gives notice and can revoke the license after 30 days. The state can use the bond to cover costs from closure, bankruptcy, receivership, license suspension, denial or revocation, a later change of operator without a new bond, or a CMS Special Focus listing during the five years.

Stricter vetting for new nursing home operators

Applicants must list anyone who owns 5% or more of the operator, the property, bed rights, or related service companies. They must disclose past nursing home ownership and any bad events in the last five years, like closures, bankruptcy, license actions, or court cases. The person in charge must have at least five years of experience. Applicants must attest to a quality and risk plan, required liability insurance, and enough qualified staff. The Commissioner denies a license if these rules are not met, or when a 25% owner or property buyer previously had 50% control during an involuntary closure, a bankruptcy or receivership not dismissed within 60 days, or a license suspension, denial, or revocation.

New license steps for nursing home operators

A new operator must get a state license before taking over a nursing home. They must file the form and pay the fee 45 days before the start, or 90 days if residents will move. The Commissioner can waive these deadlines in an emergency. After all rules are met, the Commissioner issues a notice of intent to grant the license. After a license is issued, the state Medicaid agency screens the provider before Medicare or Medicaid participation. If the license is denied, the applicant can appeal under the Virginia Administrative Process Act. The Board of Health sets the rules to carry out this law, and the first set of rules is exempt from the usual process.

Sponsors & Cosponsors

Sponsor

  • Barbara A. Favola

    Democratic • Senate

Cosponsors

There are no cosponsors for this bill.

Roll Call Votes

All Roll Calls

Yes: 268 • No: 0

House vote 2/24/2026

Passed House Block Vote

Yes: 98 • No: 0

House vote 2/19/2026

Reported from Health and Human Services

Yes: 21 • No: 0

Senate vote 2/10/2026

Engrossed by Senate Block Vote (Voice Vote)

Yes: 0 • No: 0

Senate vote 2/10/2026

Constitutional reading dispensed Block Vote (on 3rd reading)

Yes: 40 • No: 0

Senate vote 2/10/2026

Read third time and passed Senate Block Vote

Yes: 40 • No: 0

Senate vote 2/9/2026

Constitutional reading dispensed Block Vote (on 1st reading)

Yes: 40 • No: 0

Senate vote 2/9/2026

Passed by for the day Block Vote (Voice Vote)

Yes: 0 • No: 0

Senate vote 2/5/2026

Reported from Finance and Appropriations

Yes: 15 • No: 0

Senate vote 1/22/2026

Reported from Education and Health and rereferred to Finance and Appropriations

Yes: 14 • No: 0

Actions Timeline

  1. Acts of Assembly Chapter text (CHAP0415)

    4/8/2026Governor
  2. Approved by Governor-Chapter 415 (effective 7/1/2026)

    4/8/2026Governor
  3. Governor's Action Deadline 11:59 p.m., April 13, 2026

    3/10/2026Governor
  4. Enrolled Bill communicated to Governor on March 10, 2026

    3/10/2026Senate
  5. Fiscal Impact Statement from Department of Planning and Budget (SB247)

    2/26/2026Senate
  6. Bill text as passed Senate and House (SB247ER)

    2/26/2026Senate
  7. Enrolled

    2/26/2026Senate
  8. Signed by President

    2/26/2026Senate
  9. Signed by Speaker

    2/26/2026House
  10. Passed House Block Vote (98-Y 0-N 0-A)

    2/24/2026House
  11. Read third time

    2/24/2026House
  12. Read second time

    2/23/2026House
  13. Reported from Health and Human Services (21-Y 0-N)

    2/19/2026House
  14. Read first time

    2/13/2026House
  15. Referred to Committee on Health and Human Services

    2/13/2026House
  16. Placed on Calendar

    2/13/2026House
  17. Read third time and passed Senate Block Vote (40-Y 0-N 0-A)

    2/10/2026Senate
  18. Constitutional reading dispensed Block Vote (on 3rd reading) (40-Y 0-N 0-A)

    2/10/2026Senate
  19. Engrossed by Senate Block Vote (Voice Vote)

    2/10/2026Senate
  20. Rules suspended

    2/10/2026Senate
  21. Read second time

    2/10/2026Senate
  22. Passed by for the day Block Vote (Voice Vote)

    2/9/2026Senate
  23. Constitutional reading dispensed Block Vote (on 1st reading) (40-Y 0-N 0-A)

    2/9/2026Senate
  24. Passed by for the day

    2/9/2026Senate
  25. Rules suspended

    2/9/2026Senate

Bill Text

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