Advocates and analysts are still wondering how Joseph Schwartz's empire was allowed to grow so large so quickly without authorities sounding alarm bells.
NEW BEDFORD, Mass. — Once a week for two years, police Lt. Jeannine Pettiford had visited the nearby nursing home where her 52-year-old cousin with cerebral palsy lived. But on their daily phone call in early May, her cousin had bad news.In disbelief, Pettiford asked to speak with a nurse, who told her there were rumors of closure. Her alarm rose when she visited the facility and saw nurses crying. The nursing home's owner, Skyline Healthcare, had told its staff there was no more money.
It also shows the failure of state and federal authorities to keep up with just who owns and runs America's nursing home facilities, which house 1.3 million elderly and disabled Americans — about three-quarters of them in beds paid for by taxpayers via Medicare and Medicaid.
Joseph Schwartz listed a tiny office above this New Jersey pizzeria in Wood Ridge, New Jersey, as the location where he ran over 100 nursing homes nationwide.He started with a half dozen homes, but after creating Skyline Healthcare he began expanding rapidly in November 2015 with the purchase of 17 homes.
Joseph Schwartz speaking to lawyers during a sworn deposition in June 2017 for a neglect case he settled. He told the lawyers, "All our facilities are very, very, very, very compliant with all clients. They all have every program that's necessary for patient care."With more than 100 facilities, experts estimate Schwartz would have been juggling a few hundred million dollars a year in taxpayer money from Medicare and Medicaid.
Certified nursing assistants were reduced from five to three, according to ex-employees. Staff were told that disposable briefs would be rationed to two per patient per shift, instead of as needed, meaning patients were left to languish in their own body waste. One former head of nursing told NBC News that management offered giveaways to smooth over the changes.
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