H-4376.1          _______________________________________________

                                  HOUSE BILL 2916

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State of Washington              52nd Legislature             1992 Regular Session

By Representatives Valle, Leonard, G. Cole, Brekke, Paris and J. Kohl

Read first time 01/31/92.  Referred to Committee on Health Care.Requiring nursing homes to refund deposits or minimum stay fees when not used by residents.

     AN ACT Relating to contracts for admission to nursing homes; and adding new sections to chapter 18.51 RCW.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF WASHINGTON:

NEW SECTION. Sec. 1.  A new section is added to chapter 18.51 RCW to read as follows:

     (1) A nursing home that requires payment of a deposit or minimum stay fee, by or on behalf of persons seeking admission to the nursing home, shall refund a portion of the deposit or fee if the person on whose behalf the deposit or minimum stay fee was paid does not reside in the nursing home for the number of days that the deposit or fee would pay for at the daily rate charged by the nursing home for the care of the person.  The amount of the refund shall be equal to the amount of the deposit or minimum stay fee remaining after deducting an amount equal to the number of days the person resided in the facility multiplied by the daily rate charged by the nursing home for the care of the person.

     (2) Where a nursing home requires the execution of an admission contract by or on behalf of an individual seeking admission to the facility, the terms of the contract shall be consistent with the requirements of this section.

NEW SECTION. Sec. 2.  A new section is added to chapter 18.51 RCW to read as follows:

     The failure of a nursing home to refund a portion of a deposit or minimum stay fee, or to include an admission contract term as required by section 1 of this act, is a matter affecting the public interest for the purpose of applying chapter 19.86 RCW and is not reasonable in relation to the development or preservation of business.  A violation of section 1 of this act constitutes an unfair or deceptive act or practice in trade or commerce for the purpose of applying chapter 19.86 RCW.