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(Rick Miller/Olean Star) Kelly Reed, Cattaraugus County administrator and acting nursing homes director, said outdated reporting policies led to $148,000 in fines at the county-owned Pines Healthcare and Rehabilitation Center in Machias. Policies have since been updated and state inspectors found them corrected.

County fined $148,000 over reporting time of altercation between nursing home residents

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By RICK MILLER

Olean Star

An altercation between two dementia patients at the Machias Pines Healthcare and Rehabilitation Center in November 2024 has resulted in $148,000 in fines and a downgrading of the five-star facility.

Nursing home staff who reported the incident to the state two days later were unaware that allegations of staff abuse or altercations between patients that result in injuries need to be reported within two hours.

The fines were imposed by the New York State Department of Health and the federal government. The Machias nursing home was downgrades to a two-star facility — below average — as a result. Both nursing homes are owned and operated by Cattaraugus County.

County Administrator Kelly Reed, who has also been serving as acting nursing homes director for the past several years, told the Olean Star on Wednesday that the incident last November was triggered by a nursing home resident going into someone else’s room.

The man who occupied the room responded by 

Striking the man who came through his door with his walker, causing lacerations on his cheek and nose.

No staff abuse was involved, Reed emphasized. The man was treated by staff, but the incident was not reported to the state for two days. 

The incident between the two residents “was not reported in the state’s time frame,” Reed said. It was a miscommunication, she said. “We thought we were reporting on time.” Staff was working under a two-day reporting policy in cases like this, not two hours.

During a subsequent state survey at the nursing home in February, state inspectors found 10 of 12 items had not been reported in a timely manner as required, Reed said. The state fine was $24,000, while the federal fine was $124,370.

The reporting policies hadn’t been updated saince 2015 and was not in compliance with current rules. Nursing home administrators have updated reporting policies and procedures. As part of its correction plan, the county hired a health consultant to help establish ways to ensure future compliance with all state and federal regulations.

The state did not notify nursing home staff that they were not reporting incidents in a timely manner until after the survey in February, Reed said.

The Machias Pines, which has expended its reserves, is receiving supplemental funding from the Olean Pines, a four-star facility which has limited reserves.

Reed said she considers both facilities to be five-star nursing homes. It will take time for Machias to get back to its five-star rating, she said. 

The ratings affect the facilities’ recruitment and reputation. The ratings will improve over time with good surveys.

The Olean Pines saw its rating drop after an incident several years ago in which a resident left the facility without staff knowledge because an alarm did not sound.

“It’s unfortunate, because both of our facilities are top-notch, and they are definitely better than what is portrayed on paper,” Reed said. 

The downgrading “hasn’t affected the list of people looking to get into our facilities,” she added.

The nursing homes are operated financially as enterprise funds, and are not supported from county taxpayers.

Reed said the county remains committed to operating the two nursing homes, but it gets more difficult because Medicaid reimbursement rates do not cover costs.

Many counties have gotten out of the nursing home business, but there have been no discussions at this time for Cattaraugus County to follow suit, Reed said. 

“There has not been an appetite to date to do that, but that’s a decision that lies with the policy-making body, and there’s no discussion at this point of doing that,” she said.

The Machias Pines has 115 beds and the Olean Pines has 120 beds. Each employs about 150 people.

The county nursing homes “are both five-star facilities, regardless of what the state says,” Reed said. “All we are looking to do is to get reimbursed for the cost of care. We’re looking to break even.”

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