Is it unreasonable for an assisted living facility to raise the rent by $700 per month during a national crisis that we are in?

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Is it unreasonable for an assisted living facility to raise the rent by $700 per month during a national crisis that we are in?

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My 94 year mother is in an assisted living facility and I just got the bill for a shocking $700 per month increase starting May 1. This is a 19% increase. How can I argue with them? I know that they are doing more work taking temperatures and swabs of each resident daily I believe, delivering meals to each resident to prevent communal dining, but is this reasonable? Have their costs gone up 19%? Has anyone else had a similar experience? Maybe someone who works inside an assisted living facility?

Assisted Living Paying for Care Senior Housing

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What reason does the ALF give for the 19% increase?

I think you'll probably find that most of the increase was decided on several months ago. Did you receive no advance notice of it?

How long has your mother been resident there, and what does it say about rent increases in her contract?

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I am having a phone conference call with the director and head of nursing on Monday. They did switch her level of care from a B to a C. A level jump is $300 more, so where is the other $400? There was no advance notice. They only give you 10 days to sign the papers. My Mom has been there 3 months and there is no contract. I can take her out any time, but of course I am not going to do that. The current rent is $3700 per month which I know is a good rate, not too high.

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3500/month (if my calculations are correct) is VERY LOW for assisted living. So her rate has been increased to $4200/month? As the other poster stated, the decision to increase rates was probably made months ago in order to keep up with going rates in your area. As a comparison, My mom's rate for a single room fancy assisted living started out at $4500/month five years ago here in the Denver area.
Can you consider other options for her such as a shared room? Have her needs gone up? Some facilities have "add-on" rates for a lot of services, such as assistance to the dining room, adult diapers, and laundry. Perhaps you can have a discussion with management and attempt a negotiation since I'm assuming this is a private-pay facility. It would probably be quite a hassle to move her at this time; look around at other comparable facilities in her area. Is this new rate the norm for her city? My mom's memory care facility rent was only raised once in the three years she was there, and it was about a 10-15% increase. They were in-line with other private pay memory care facilities in the area, and still reasonably priced.

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My Mom's needs have increased. She went from a Level B to a Level C, which is $300, so that does not explain the rest of the increase. The current rent is $3700. I will shop around. They have not given me their guidelines for the two levels, which I have asked for. Not very transparent! I will try to negotiate on Monday with the director and head of nursing. Mom has only been there 3 months and this increase is a huge shocker.

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Sometimes these rates are negotiable. Look around and see if any other assisted living facilities near you have openings, just for bargaining purposes. I know you don't want to move your mom, especially now. The facility probably knows that too.

If the $700 increase brings them in line with other assisted living places in your area, I'd pay it. If it does not, I'd bargain.

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Your profile says you are living in the same home that mom is. Are you in the same unit? Or the same facility?

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I am living in my own house, just 10 minutes from the where Mom is at the assisted living.

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An acquaintance of mine had her dad in one of the large AL facilities located in a large urban area. It cost $5000/month about 6 years ago. I'm sure it costs more now. Another acquaintance's BIL was placed in a nursing home 2 hours away in a less expensive area, and that cost $2800/month. So costs do vary wildly. Perhaps you should check around.

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I will be doing that as soon as this virus crisis is over. I have already started.

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Sounds like a Bait and Switch sales technique. Bring that up during the conference; it's worth a shot. It's an unethical sales technique that involves attracting a sale at one price, then quickly increasing the price or changing the product dramatically. Think about used cars and appliance "sales". That's kind of what it sounds like. Also, they might be leveraging your interest in staying due to the outbreak at this time; you could call their bluff and tell them you are ready to move her if the rate is increased that much. You can't afford that much of an increase with so little notice. I bet you can at least find some middle ground with them; perhaps agree at the last minute to a maximum 350/month increase, but don't immediately give in at the early stages of negotiation.

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It is definitely an unethical sales technique. In fact, at the beginning, as an incentive they told me that after Dec. 31, 2019, there would be $1000/month increase. That is why I took Mom in on Dec. 31, 2019.
The increased rent is effective on May 1, which is 30 days, however, I have to sign the papers within 10 days.

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Great answers here already.

I noticed your reply to Countrymouse: '..they only give you 10 days to sign the papers.'; '..she's been there 3 months; there is no contract; and you can take her out any time.' This may be a blessing in disguise or a hidden downfall by not having a signed lease.

Others may disagree, but if you don't sign any lease for her apartment for the price agreed to, you risk not being protected from outrageous gouging or worse, unwarranted eviction. They can still go up on care needs if those increased significantly, but only with proper notice, and in line with the signed agreement between you and them. I'd get all in writing, a lease for protection for the base rent and 'extra care charges,' with all charges and care levels outlined specifically.

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There is no contract, no signed agreement. I have asked in writing for a description of the extra services, they would only tell me over the phone.

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Neverending, the rest of the extra cost could be that the Staff is serving meals to the residents in their individual rooms.

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Yes, but still -- the staff are only putting an extra few minutes in per resident and they'll charge an hour's worth of "service." I saw it happen on my parent's bill. I watched how the meal distribution was done (several years ago). From putting food in foam container, to on the cart, down the halls, to the door, knock, knock. Then a circuit to pick up any servers if used. They are not cleaning dining rooms, so this is not an additional chore even at this time to just package and deliver. Fee for service should be evened up to this "new normal."

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May I ask where this is at? They may be having to pay hazard pay? Is this a temporary or a permanent raise. Have they made this a raise in level of care, or in room rates due to cleaning. I know that their cleaning costs and their costs for food and delivery is likely up, but this is an enormous raise. Have you looked at the things you signed when she entered? At my bro's facility it says may be raised 3% to 5% a year, and I am certain we will see the 5%. Have you spoken to them. I think many will be taking seniors home simply because they are afraid to leave them in care, but wow. Where is Mom's facility located, and if not too intrusive, what were her rates before this happened and is this a raise for ALL residents with the explanation it is due to covid? You may be the canary in the coalmine to warn some of us? I am certain many seniors could not afford this raise.

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It is located in Wickliffe, OH. I believe there is some basic increase to all residents, but I have no way of knowing how much. $300/month increase is due to an increase in level of care for my Mom, however, the executive director told me the other $400/month was a "billing error". I do not believe they could make such a huge billing error. Of course their letter makes no mention of the Corona virus, when we all know that that is exactly what it is - totally opportunistic,exploitative price gouging. They know they got you.

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So, Neverending, How did the negotiations go with your conference today? What happened? Will you keep Mom there, and did you get them to come down on the price? Thanks for updating us.

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No luck with that. They said there was a "billing error" of $400/month for Jan./Feb/March/April. I find that very difficult to believe and do not buy at all. It certainly is price gouging, opportunistic. We are not stupid and we know it is due to the Corona virus, because they had to hire more staff, have more work to do, but probably for legal reasons they do not mention Corona virus in their letter. The other $300/month was an increase in her level of care.

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A loved one went into AL two months ago. She didn’t want to mingle so she took all meals in her room. At the end of the month, her bill was $600 more for thirty days of three meals a day in her room. She started going to the dining room for meals.

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They all charge to deliver meals.... I notice a couple on my moms bill from time to time and I remind her that if she isn't sick that she needs to go to the dining room.

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Price Gouging. Just another way to get money during a crisis. After it is over, check into this more.

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I friend of mine has her ex husband in a facility and they only charge $1430 a month. The rent dropped $30 last month for some reason. I told her to keep all the receipts from the facility and to ask questions if something seems fishy. Also check your contract to see if there are any special clauses that they may be charging for. If they are using swaps for testing or any other medical supplies they should be charged to the patients health insurance and not to the patient

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Was her husband a war veteran? Deceased? I was able to secure $1100/month towards my moms AL. I needed a bunch of paperwork but did get it. Only for AL or nursing home.

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Is it rent or an additional service she might now need? That is usually where the big increases come from.

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Yes, this is an important distinction. However, if the extra services were imposed and the resident did not agree, not sure it is enforceable.
In addition to all the local media, I would send a copy to Fox news to address with the CV task force during national broadcast. I suggest Fox, cuz it's the only one Trump will take seriously.
We will all be watching.

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Probably their investors want to gage their loses in the market and still pay bonuses. Cynical, yep. As has been reported in this forum more than once, most of these livings centers for seniors are privately run investor-driven properties. Last year - January 2019 -- my mother's LTC jumped $500 (we've since changed facilities), without so much as a letter saying "thank you, but...". It's not a though these increased funds are going to pay the CNAs a living wage -- this I would support.

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I'd call that a price gouge, if USA, report them to the State Attorney General & DOI.

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I would call the director of the facility and demand that they freeze any price hikes or you will be calling your local news station. That is criminal and I am pretty sure they have to give you a certain amount of notice before they have an increase.

They know folks are stuck right now....we can't get into the facilities to handle the tasks that we once did for our family member and we can't move them anywhere. If they have increased expenses, they need to get on board with the other businesses and take advantage of some of the bail outs the government is offering.

I know my mom doesn't have an extra $700 per month. What are they going to do if your mom doesn't have an extra $700 a month....kick her out?

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I believe they call that Covid-19 profiteering, and it's illegal. Strange, too, in what's essentially a viral greenhouse...

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Someone is profiting unjustly, like an unscrupulous administrator or the company. I'd get an attorney. Unfortunately, there isn't much guidance when it comes to assisted living... only skilled nursing.

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Check with the state. In Florida you need to be notified in writing of a rate increase. I believe it is 60 days.

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My guess would be they are taking advantage of the ability to charge extra for meals delivered to rooms.

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IDK if this is legal or warranted. However . . .

1. Make many copies of the letter. Preserve the original in a safe place.

2. Send the copies to local newspaper, TV and your elected officials. U.S. Representative, Senate, state Rep and Senate, city or county council, state agency on aging/elderly affairs.

3. Do not have any meetings with home administration without recording or a witness.

This may seem harsh, but while I am not a lawyer, this smacks of price gouging to me. If is not, that it was a planned increase or otherwise legitimate, the care home can document that. I hope this all works out.

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I wonder how the meeting went. I’d suggest checking with the long term care ombudsman. They may also know of low or no cost legal services in your area. 10 days notice of an increase sounds like not enough. Typically it would be 30 or 60 days prior to the change. This is a good reason to have a contract.

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I doubt that they are using all that extra income to hire new staff, unfortunately, or to raise the wages of the aides. This is probably an opportunistic price hike. I like the idea of the writer who told you to send copies to all the papers, etc. and to contact the ombudsman in your county, also state agencies. What a dirty trick. Good luck with this.

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They're all a bunch of dirty rats. Worse than that, they're stinkweeds

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Ask now for email, website, whatever link you can have for correspondence to residents and business policy. My parent had a note tucked under her door. She just tossed it on the table and then screamed bloody murder ( to me)when the billing increased. I had to get ( with a POA) the "expanded" version of the billing. Even that was vague. Saying "due to increased costs" is not enough. I did notice that an entire new A/C system was being installed. Aren't companies supposed to have coverage and warranties for taking care of breakdowns? I had to request more info from a staff person and even that was vague. With this current virus situation, the company should be getting $ from the business funding bill passed. And, clarify with them if it is a temporary raise in fees due to virus expenses.

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Sorry, no this business should not be getting money.

That is for businesses that have been impacted by the shutdown, facilities are still getting paid, they are not having to pay for employees to stay home because they have no work or the ability to do their work.

These facilities have clients who are still getting their government paycheck with no interruption whatsoever. This is them having fits and being greedy because they have to do what they already get paid to do.

I would not be surprised if this isn't considered price gouging when everything shakes out.

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This issue highlights the need for Family Councils in long-term care homes, so that families have a way of communicating with each other, comparing experiences to see which complaints may be prevalent and which are specific to one resident. And, it's a way for families to present concerns and need to management in a unified way. This is what these facilities fear, and why they dig their heels in on this issue of family groups. I wold love it if this forum could be an avenue to establish these groups, but I think AC may be sponsored by the long-term care industry. We need to push for this with our county ombudsmen. I was able to use this leverage to get a council started.

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You are right, AC is here because it makes money sending people to LTC. A Place for mom is a service that gets huge commissions when one of it's referrals moves in and they are the owner of this forum.

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Are you sure that's a rent increase and not a "Level of Care" increase (in our area, $700 is roughly the increment between care levels)?

Unrelated to the pandemic, has your mom started needing more care? That's something that is tracked and evaluated usually monthly.

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Have you gone over the Plan Of Care? Are you the Power Of Attorney? Typically if the Plan of Care changes, the Person Served and/or POA need to sign off on the additional charges — if you have questions or concerns, this is the time to speak up about them.

If you haven’t had that conversation with the AL admins, then going to news stations, etc. will do no good. You MUST do your due diligence — be firm, speak up and get to the bottom of the increase. If they’re unwilling to have the conversation, then by all means take another route.

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What does your contract say on your increase rate a year

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Is it unreasonable for an assisted living facility to raise the rent by $700 per month during a national crisis that we are in?

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