C.R.S. Section 25-3-108
Receivership


(1)

It is the purpose of this section to establish a receivership mechanism that will be available as a remedy for such violations of applicable laws and regulations by a licensee of a long-term health-care facility that require facility closure by the department of public health and environment in order to safeguard against potential transfer trauma resulting from relocation of its residents as a result of closure of the facility.

(2)

The department of public health and environment, the licensee or owner of a long-term health-care facility, or the lessee of such facility with the approval of the owner may apply to the district court for the appointment of a receiver to operate the long-term health-care facility when:

(a)

The department of public health and environment has refused to issue a renewal license or has revoked the license of such facility and the action of the department is final; or

(b)

The department of public health and environment, through the executive director thereof, has taken summary action to suspend the license of any such facility in accordance with the provisions of section 24-4-104 (4), C.R.S.

(3)

The action of the department of public health and environment with respect to nonrenewal or revocation of a license and recommendation for certification for medicaid participation shall not be final for the purposes of paragraph (a) of subsection (2) of this section until all administrative hearings and judicial appeals sought by a licensee of a long-term health-care facility have been exhausted or the time permitted for the same has expired and until the decisions resulting from any such appeals, if any, sustain the action of said department.

(4)

Application for the appointment of a receiver pursuant to this section shall be to the district court for the county where the long-term health-care facility is located. No hearing on such application shall be held sooner than seventy-two hours after the licensee of such facility has been served with notice thereof, as provided in the Colorado rules of civil procedure; except that when the department exercises its summary powers, an emergency receiver may be appointed upon agreement in writing between the department and licensee, with the approval of the owner, until a hearing for appointment of a receiver as provided in this section. Notice shall also be served upon any owner and any lessee of a long-term health-care facility and any holder of a security interest of record in said facility. An application for appointment of a receiver pursuant to this section shall have precedence and priority over any civil or criminal case pending in the district court wherein the application is filed.

(5)

For the purposes of this section the action of the department of public health and environment exercised pursuant to subsection (2) of this section shall become effective upon appointment of the receiver of the court.

(6)

Prior to ordering the appointment of a receiver for the operation of a long-term health-care facility, the district court must find:

(a)

That grounds for the appointment of a receiver exist as provided in subsection (2) of this section; and

(b)

That proper notice as required by subsection (4) of this section has been served; and

(c)

That there is a necessity to continue care on a temporary basis at the facility to avoid potential transfer trauma which would serve the best interests of the residents of the facility pending arrangements for the lease, sale, or closure of the facility.

(7)

The department of public health and environment shall grant the receiver a license pursuant to section 25-3-102 and shall recommend certification for medicaid participation, and the department of health care policy and financing shall reimburse the receiver for the long-term health-care facility’s medicaid residents pursuant to section 25.5-6-204, C.R.S.

(8)

The appointment of the receiver shall be in accordance with and governed by the provisions of rule 66 of the Colorado rules of civil procedure. The court shall enter an order of appointment and fix the fees and expenses of the receiver. The receiver shall be a licensed nursing home administrator and shall post a bond with adequate sureties as determined by the court, and the receiver may be sued upon the same in the name of the people of the state of Colorado at the instance and for the use of any party injured. The receiver shall perform duties, assume responsibilities, and preserve the long-term health-care facility property in accordance with established principles of law for receivers of real property. Such duties and responsibilities shall be determined by the court following a hearing, at which time the parties may appear and be heard. The court shall specify the duties and responsibilities of the receiver in the order of appointment. No security interest in any real or personal property comprising said facility or contained within the facility nor any fixture of the facility shall be impaired or diminished by the receiver, but the receiver shall comply with the standards of the department of public health and environment in providing health care to patients.

(9)

Nothing in this section shall prevent the court from altering or amending the terms and conditions of the receivership or the receiver’s responsibilities and duties following a hearing, at which time the parties may appear and be heard; and nothing in this section shall prohibit the parties from stipulating to the terms and conditions of the receivership and the responsibilities and duties of the receiver, including the duration thereof, and such stipulation shall be submitted to the court for approval.

(10)

A receivership established pursuant to this section may be terminated by the court upon application therefor by the licensee of a long-term health-care facility, the department of public health and environment, or the receiver. The receivership may be terminated upon a finding by the court that the receivership is no longer necessary, but in no case shall the receivership continue for longer than one hundred eighty days from the date of the initial appointment of the receiver unless extended by written agreement of the parties as provided in subsection (9) of this section.

(11)

Upon termination of the receivership, the court shall order a final accounting and finally fix the fees and expenses of the receiver following a hearing, at which time the parties may appear and be heard.

Source: Section 25-3-108 — Receivership, https://leg.­colorado.­gov/sites/default/files/images/olls/crs2023-title-25.­pdf (accessed Oct. 20, 2023).

25‑3‑100.5
Definitions
25‑3‑101
Hospitals - health facilities - licensed - definitions
25‑3‑102
License - application - issuance - certificate of compliance required - rules
25‑3‑102.1
Deemed status for certain facilities
25‑3‑102.5
Nursing facilities - consumer satisfaction survey - pilot survey
25‑3‑103
License denial or revocation - provisional license - rules
25‑3‑103.1
Health facilities general licensure cash fund
25‑3‑103.5
Nondiscrimination - hospital surgical privileges - hospital rules and regulations
25‑3‑103.7
Employment of physicians - when permissible - conditions - definitions - repeal
25‑3‑104
Reports
25‑3‑105
License - fee - rules - performance incentive system - penalty
25‑3‑106
Unincorporated associations
25‑3‑107
Disciplinary actions reported to Colorado medical board or podiatry board
25‑3‑108
Receivership
25‑3‑109
Quality management functions - confidentiality and immunity
25‑3‑110
Emergency contraception - definitions
25‑3‑111
Authentication of verbal orders - hospital policies or bylaws
25‑3‑113
Health-care facility stakeholder forum - creation - membership - duties
25‑3‑115
Stroke advisory board - creation - membership - duties - report - definition - repeal
25‑3‑116
Department recognition of national certification - suspension or revocation of recognition
25‑3‑117
Heart attack database - hospitals to report data on heart attack care
25‑3‑118
Hospital off-campus location - obtain and use unique NPI - definitions
25‑3‑119
Freestanding emergency departments - required notices - disclosures - rules - definitions
25‑3‑120
Regulation of surgical smoke - requirement to adopt a policy - definitions - applicability
25‑3‑121
Health-care facilities - emergency and nonemergency services - required disclosures - balance billing - deceptive trade practice - rules - definitions
25‑3‑122
Out-of-network facilities - emergency medical services - billing - payment - deceptive trade practice
25‑3‑123
Mental health facility pilot program - establishment - rules - definitions
25‑3‑124
Food donations to nonprofit organizations encouraged
25‑3‑125
Visitation rights - hospital patients - residents in nursing care facilities or assisted living residences - limitations - definitions - short title
25‑3‑126
Health facilities - requirements related to labor and childbirth - rules - definitions
25‑3‑127
Emergency room intake data - marijuana use - annual report
25‑3‑128
Hospitals - nurses, nurse aides, and EMS providers - staffing requirements - enforcement - waiver - rules - definitions
25‑3‑129
Office of saving people money on health care - study - report
25‑3‑130
Intimate examination of sedated or unconscious patient - informed consent required - rules - definitions
25‑3‑301
Establishment of public hospital
25‑3‑302
Board of trustees
25‑3‑303
Organization of trustees
25‑3‑304
Trustees - powers and duties
25‑3‑304.5
Hospital collaborative agreements - additional powers
25‑3‑305
Vacancies - removal for cause
25‑3‑306
Right of eminent domain
25‑3‑307
Building requirements
25‑3‑308
Improvements, operations, or enlargements
25‑3‑309
Hospital fees
25‑3‑310
Rules and regulations
25‑3‑311
Donations permitted
25‑3‑312
Training school for nurses
25‑3‑313
Lease of hospital
25‑3‑314
Charge for professional services
25‑3‑315
Records of hospital
25‑3‑401
Department to administer plan
25‑3‑403
Department to administer federal mental health construction funds
25‑3‑601
Definitions
25‑3‑602
Health facility reports - advisory committee - creation - duties
25‑3‑603
Department reports
25‑3‑604
Privacy
25‑3‑605
Confidentiality
25‑3‑606
Penalties
25‑3‑607
Regulatory oversight
25‑3‑701
Short title
25‑3‑703
Hospital report card - rules - exemption
25‑3‑704
Fees
25‑3‑705
Health-care charge transparency - hospital charge report - definitions
Green check means up to date. Up to date

Current through Fall 2024

§ 25-3-108’s source at colorado​.gov