Health Law Alert: CMS Provides Guidance on the Elder Justice Act's Reporting Requirements

On June 17, 2011, CMS issued guidance [PDF] on the Elder Justice Act’s reporting requirements for long-term care facilities, promulgated over a year ago in section 6703(b)(3) of the Affordable Care Act (ACA). This serves as welcome news for the long-term care community, which has patiently struggled to comply with the law’s manifold vagaries while operating under the threat of its harsh penalties. On August 12, 2011, CMS’s guidance memorandum was supplemented to include a question and answer (Q&A) section.

Elder Justice Act (EJA, or the “Act”) section 6703(b)(3), which adds section 1150B to Title XI of the Social Security Act, imposes notification and reporting requirements that broadly apply to long-term care facilities receiving at least $10,000 in annual federal funds during the prior year. Each covered individual— defined as an owner, operator, employee, manager, agent or contractor of a longterm care facility—must report to the U.S. Department of Health and Human Services (HHS) and local law enforcement, “any reasonable suspicion of a crime . . . against any individual who is a resident of, or is receiving care from, the facility.” In addition, owners and operators of facilities must annually notify covered individuals of their reporting obligations and must post a sign describing employee rights under the EJA. Finally, facilities are prohibited from retaliating against employees who report under the Act.