Citing 'dire problems,' state seizes control of Mpls. nursing home - Insurance News | InsuranceNewsNet

InsuranceNewsNet — Your Industry. One Source.™

Sign in
  • Subscribe
  • About
  • Advertise
  • Contact
Home Now reading Newswires
Topics
    • Advisor News
    • Annuity Index
    • Annuity News
    • Companies
    • Earnings
    • Fiduciary
    • From the Field: Expert Insights
    • Health/Employee Benefits
    • Insurance & Financial Fraud
    • INN Magazine
    • Insiders Only
    • Life Insurance News
    • Newswires
    • Property and Casualty
    • Regulation News
    • Sponsored Articles
    • Washington Wire
    • Videos
    • ———
    • About
    • Advertise
    • Contact
    • Editorial Staff
    • Newsletters
  • Exclusives
  • NewsWires
  • Magazine
  • Newsletters
Sign in or register to be an INNsider.
  • AdvisorNews
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Exclusives
  • INN Magazine
  • Insurtech
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Video
  • Washington Wire
  • Life Insurance
  • Annuities
  • Advisor
  • Health/Benefits
  • Property & Casualty
  • Insurtech
  • About
  • Advertise
  • Contact
  • Editorial Staff

Get Social

  • Facebook
  • X
  • LinkedIn
Newswires
Newswires RSS Get our newsletter
Order Prints
October 31, 2015 Newswires
Share
Share
Post
Email

Citing 'dire problems,' state seizes control of Mpls. nursing home

Star Tribune (Minneapolis, MN)

Oct. 31--The Minnesota Department of Health has seized control of a Minneapolis nursing home, saying numerous health and safety violations posed "an immediate and serious threat" to the well-being of its vulnerable residents.

In a highly unusual step, state regulators on Friday took over the direct management of Camden Care Center, an 87-bed nursing home that cares for elderly and mentally ill patients, after recent inspections turned up 80 violations, many of them serious. In March, regulators found that two residents required hospitalization after accessing drugs or alcohol while under the facility's care.

The state also had concerns that Camden Care Center's financial condition had deteriorated to such an extent that caregivers might quit their jobs due to nonpayment of wages, leaving vulnerable residents without care. The home's director of nursing resigned in May, leaving only two nurses at a facility with 67 patients, according to a court petition.

This marks just the third time since 2009 that state regulators have taken control of a nursing home following reports of inadequate care.

"We took this step as a last resort because the nursing home was not keeping residents safe and was not meeting Minnesota's basic standards of care," said state Commissioner of Health Dr. Edward Ehlinger.

Steve LaForte, chief executive officer of Camden Care's management company, Seattle-based Videll Healthcare, said the home had health and safety concerns when Videll took over management of the facility in 2012. But a reduction in nursing home reimbursement rates under Medicaid, which accounted for about 80 percent of the facility's $4 million in annual revenue, "crippled the operations," he said.

"There is a genuine sense of loss," LaForte said. "I liked the facility. I liked the people that worked there. ... Without the financial issues, we could have worked through the regulatory issues."

The takeover occurred late Friday afternoon. Armed with a court order, staff with Volunteers of America, a nonprofit, arrived at Camden Care Center and ordered the acting administrator to leave. At a meeting that evening after dinner, residents of the home were told of the change.

The home has a mix of residents, including those with mental illnesses and chemical dependencies. About half of the home's residents suffer from dementia.

Gail Lundquist, 82, who has lived at Camden Care Center for 25 years, said conditions at the nursing home had become "intolerable." Earlier this year, the facility ran out of one of her medications for Parkinson's disease for seven days, causing her hands and head to shake uncontrollably, she said.

Lundquist also said the call light near her bed that she pushes to report an emergency stopped working for several weeks, just after she returned from the hospital following a hip surgery. "Imagine that you're not able to report when you're in pain," Lundquist said. "I had to yell, 'Please, come and help me! Please come!' "

LaForte said he was not aware of any reports of problems with the facility's call lights.

During an annual review in March, state inspectors cited the home for 47 violations of federal regulations, which is eight times the average number of violations found during such surveys, according to the Department of Health. The violations included a failure to intervene when a resident reported to the facility staff that she had been threatened with physical harm by another.

Two months later, state investigators did a follow-up inspection and found that the facility had failed to correct 26 of the 47 previous violations, and found five more violations. Two residents had to be hospitalized after accessing drugs or alcohol. One resident was so heavily intoxicated that the person required intubation, or the insertion of a tube into the body to remove fluids, state investigators found.

Inspectors also observed that residents were able to get out of the home and off the property without staff knowledge, among other violations.

State regulators were also concerned that Camden Care's local management company, Videll Healthcare Camden, LLC, was "not a financially sound business." The firm had stopped paying certain vendors and had discontinued payment of its employees' health insurance premiums in March.

The state warned that, if the nursing home's precarious financial condition caused employees to quit their jobs, "There would be no one to care for the residents of Camden Care Center," according to the health commissioner's court petition to place the home under receivership. "The lack of caregivers would present an immediate and serious threat to the residents' health and safety."

The nursing home's previous owner, Robert Letich, raised some eyebrows in 2011 when he became the first nursing home owner in the nation to offer residents a free cruise to the Bahamas. About 24 of the home's 86 residents went on the trip, which Letich billed as a way to make nursing home life "as normal as possible."

The Health Department is negotiating with Videll Healthcare and the building owner, Sabra Health Care REIT Inc., based in Irvine, Calif., to determine whether the facility should be closed and its residents relocated or whether to continue to operate under new management.

In 2009 the Department of Health took control of two nursing homes, and both remain open but under new management.

"The initial feedback we are getting is that staff and residents are comforted and this is a well-received change," said Scott Smith, a spokesman for the department.

State law permits regulators to place a nursing home under receivership if there is an immediate and serious threat to residents' health or safety. In 2007, former Gov. Tim Pawlenty ordered that the Department of Health monitor operations of the Minneapolis Veterans Home when three men died after neglect or medication errors.

Regulators want to avoid a situation like the one that occurred late last year in Castro Valley, Calif., where authorities found 14 sick and elderly patients abandoned at a senior home after much of the nursing staff had left. The residents, including amputees and the bedridden, were left to fend for themselves for two days.

Staff researcher John Wareham contributed to this report.

Twitter: @chrisserres

___

(c)2015 the Star Tribune (Minneapolis)

Visit the Star Tribune (Minneapolis) at www.startribune.com

Distributed by Tribune Content Agency, LLC.

Older

Five things to know about enrolling under the Affordable Care Act

Advisor News

  • Finseca and IAQFP announce merger
  • More than half of recent retirees regret how they saved
  • Tech group seeks additional context addressing AI risks in CSF 2.0 draft profile connecting frameworks
  • How to discuss higher deductibles without losing client trust
  • Take advantage of the exploding $800B IRA rollover market
More Advisor News

Annuity News

  • Somerset Re Appoints New Chief Financial Officer and Chief Legal Officer as Firm Builds on Record-Setting Year
  • Indexing the industry for IULs and annuities
  • United Heritage Life Insurance Company goes live on Equisoft’s cloud-based policy administration system
  • Court fines Cutter Financial $100,000, requires client notice of guilty verdict
  • KBRA Releases Research – Private Credit: From Acquisitions to Partnerships—Asset Managers’ Growing Role With Life/Annuity Insurers
More Annuity News

Health/Employee Benefits News

  • As ACA subsidies expire, thousands drop coverage or downgrade plans
  • Findings from Centers for Disease Control and Prevention Provides New Data about Managed Care (Association Between Health Plan Design and the Demand for Naloxone: Evidence From a Natural Experiment in New York): Managed Care
  • Medicare is experimenting with having AI review claims – a cost-saving measure that could risk denying needed care
  • CMS proposed rule impacts MA marketing and enrollment
  • HUMAN RIGHTS CAMPAIGN FOUNDATION TAKES NEXT STEP IN CLASS ACTION LITIGATION AGAINST TRUMP ADMINISTRATION, FILES COMPLAINT WITH EEOC OVER PROHIBITION ON GENDER-AFFIRMING HEALTHCARE COVERAGE FOR FEDERAL EMPLOYEES
More Health/Employee Benefits News

Life Insurance News

  • U-Haul Holding Company Reports Third Quarter Fiscal 2026 Financial Results
  • MetLife Announces Full Year and 4Q 2025 Results
  • Somerset Re Appoints New Chief Financial Officer and Chief Legal Officer as Firm Builds on Record-Setting Year
  • Indexing the industry for IULs and annuities
  • AI in life and health: Poised for a 2026 breakthrough?
Sponsor
More Life Insurance News

- Presented By -

Top Read Stories

More Top Read Stories >

NEWS INSIDE

  • Companies
  • Earnings
  • Economic News
  • INN Magazine
  • Insurtech News
  • Newswires Feed
  • Regulation News
  • Washington Wire
  • Videos

FEATURED OFFERS

Elevate Your Practice with Pacific Life
Taking your business to the next level is easier when you have experienced support.

LIMRA’s Distribution and Marketing Conference
Attend the premier event for industry sales and marketing professionals

Get up to 1,000 turning 65 leads
Access your leads, plus engagement results most agents don’t see.

What if Your FIA Cap Didn’t Reset?
CapLock™ removes annual cap resets for clearer planning and fewer surprises.

Press Releases

  • Prosperity Life Group appoints industry veteran Rona Guymon as President, Retail Life and Annuity
  • Financial Independence Group Marks 50 Years of Growth, Innovation, and Advisor Support
  • Buckner Insurance Names Greg Taylor President of Idaho
  • ePIC Services Company and WebPrez Announce Exclusive Strategic Relationship; Carter Wilcoxson Appointed President of WebPrez
  • Agent Review Announces Major AI & AIO Platform Enhancements for Consumer Trust and Agent Discovery
More Press Releases > Add Your Press Release >

How to Write For InsuranceNewsNet

Find out how you can submit content for publishing on our website.
View Guidelines

Topics

  • Advisor News
  • Annuity Index
  • Annuity News
  • Companies
  • Earnings
  • Fiduciary
  • From the Field: Expert Insights
  • Health/Employee Benefits
  • Insurance & Financial Fraud
  • INN Magazine
  • Insiders Only
  • Life Insurance News
  • Newswires
  • Property and Casualty
  • Regulation News
  • Sponsored Articles
  • Washington Wire
  • Videos
  • ———
  • About
  • Advertise
  • Contact
  • Editorial Staff
  • Newsletters

Top Sections

  • AdvisorNews
  • Annuity News
  • Health/Employee Benefits News
  • InsuranceNewsNet Magazine
  • Life Insurance News
  • Property and Casualty News
  • Washington Wire

Our Company

  • About
  • Advertise
  • Contact
  • Meet our Editorial Staff
  • Magazine Subscription
  • Write for INN

Sign up for our FREE e-Newsletter!

Get breaking news, exclusive stories, and money- making insights straight into your inbox.

select Newsletter Options
Facebook Linkedin Twitter
© 2026 InsuranceNewsNet.com, Inc. All rights reserved.
  • Terms & Conditions
  • Privacy Policy
  • InsuranceNewsNet Magazine

Sign in with your Insider Pro Account

Not registered? Become an Insider Pro.
Insurance News | InsuranceNewsNet