At the request of House Ways and Means Ranking Member Richard Neal (D-MA), the U.S. Government Accountability Office (GAO) conducted a study to assess the Centers for Medicare & Medicaid Services (CMS) data on private equity ownership of nursing homes and try to estimate the number of nursing homes owned by private equity. GAO determined that according to existing data, 5% of nursing homes fall into this group, but they further stated that the CMS data are inadequate and the true number is likely higher.

CMS proposed a new set of transparency and reporting rules earlier this year, raising concerns about the quality of care in nursing homes owned by private equity firms. Researchers have found that costs are higher and hospitalizations are more common in these nursing homes. LeadingAge continues to be committed to transparency.