SB 1043 - Continuing Care Communities

• Requires continuing care facility providers to permit residents to establish a resident council to communicate concerns and issues to the provider.

• Reduces financial disclosure requirements by eliminating the need for five-year actuarial present value calculations and instead requiring three-year pro forma cash flow statements with projection assumptions.

• Changes reserve fund escrow requirements from twelve months to six months of debt service and operating costs, and allows providers to use funds from mortgage loans or bond indentures to satisfy reserve requirements.

• Simplifies construction approval process by removing the financial feasibility demonstration requirement for staged construction projects and eliminating the commissioner's written approval notice process.

• Requires providers to file revised disclosure statements annually and maintain an escrow agreement with a bank or trust company in the state, with all changes effective July 1, 2015.