Cold Spring Hills Center Nursing & Rehabilitation will close its doors as early as May unless its new operator comes to an agreement with the facility’s labor union, according to recent reports in Newsday.
The facility went to bankruptcy court on Jan. 28 to sell the facility to Elizer Zelman for $10. The nursing home originally filed for bankruptcy Jan. 2 after receiving a temporary restraining order from the state in December. Cold Spring Acquisition, LLC filed for Chapter 11 bankruptcy protection, which allows the debtor to continue operating its business while reorganizing finances and paying off its debts.
According to reports in Newsday, court documents filed Feb. 3 indicated that Zelman was approved by the state Health Department to act as the facility’s temporary receiver. Zelman was affiliated with three nursing homes in New York as of November: Achieve Rehab and Nursing Facility, Buena Vida Rehab and Nursing Center and New York Congregational Nursing Center, according to nursinghomedatabase.com.
However, court documents show that Zelman will not move forward with the $10 offer and receivership unless he receives a modified agreement with 1199SEIU United Healthcare Workers East, which represents many Cold Spring Hills employees, according to Newsday.
Records show that if a new agreement is not reached, the nursing center will close in May and relocate its patients to different facilities, according to Newsday. Newsday said the union’s president, George Gresham, said the group is working towards an agreement.
The Woodbury facility has 588 beds and a 56% occupancy rate, according to the state Health Department. With approximately 320 residents, 26 residents are dependent on ventilators, according to the state.
Cold Spring Hills’ resident population is well above the state average, which is about 163, according to the Medicare website.
Troubles for the Cold Spring Hills site arose in 2022, when state Attorney General Letitia James sued the facility for abuse and neglect. The suit said the center diverted over $22 million in Medicaid and Medicare funds, leading to resident neglect.
“Cold Spring Hills’ owners put profits over patient care and left vulnerable New Yorkers to live in heartbreaking and inhumane conditions,” James said in a 2022 press release.
In December, the center announced it would close its operations on New Year’s Eve, with plans to begin layoffs on Dec. 23. The center planned to evacuate its approximately 320 residents, many of whom are elderly and disabled, within the weeklong time frame during the holidays.
On Dec. 20, the state issued a temporary restraining order to keep staff and residents in place and maintain payroll obligations until Jan. 6.
Local representatives said the state’s intervention was needed to keep the residents in place.
“The State Health Department must take all steps necessary to keep the doors of this critical healthcare facility open for its residents. Anything less is unacceptable,” said Town of Oyster Bay Supervisor Joseph Saladino.
“The current state of the Cold Spring Hills nursing home is deeply distressing, and I have profound concerns about the well-being of its residents – many of whom are among our county’s most vulnerable people,” said Arnold Drucker, Nassau County Legislature deputy minority leader.