18 - Nursing Home Collection CasesItem No. 18
TO: City Council
Grayson Path, City Manager
FROM: Stephanie H. Harris, City Attorney
SUBJECT: NURSING HOME COLLECTION CASES
DATE: January 25, 2021
BACKGROUND: Over the past two or three years, 4 local nursing homes have failed to pay EMS
bills related to transports for which insurance and Medicare do not provide coverage, namely,
instances when the providers called EMS because there was no driver on duty at the facility. At
this time, the following nursing homes are in arrears by the following amounts:
• Brentwood Terrace Healthcare & Rehabilitation Center $ 7,008.00
• Heritage House of Paris $14,014.00
• Legend Healthcare & Rehabilitation $ 1,433.00
• Stillhouse Rehabilitation & Healthcare Center $ 9,310.00
STATUS OF ISSUE: I have written demand letters to each facility, and I have had varying degrees
of success in obtaining cooperation, but to date, none of the facilities has paid these bills. The
purpose of this item is to obtain authorization from City Council to file collections suits on these
facilities, if necessary, in order to obtain payment.
BUDGET: Filing suit on each entity, will result in filing fees and service fees in an amount of
about $1,000.00 which should be recoverable upon a favorable judgment. It is not necessary to
hire outside council. Recovery of the entire balances from all facilities would be in the total
amount of $31,765.00.
RECOMMENDATION: Authorize the City Attorney to file suit for collection of the following
debts to the City:
• Brentwood Terrace Healthcare & Rehabilitation Center $ 7,008.00
• Heritage House of Paris $14,014.00
• Legend Healthcare & Rehabilitation $ 1,433.00
• Stillhouse Rehabilitation & Healthcare Center $ 9,310.00