San Francisco hospital failed CMS reinspection after patient abuse scandal

Laguna Honda Hospital and Rehabilitation Center received additional penalties from CMS, including payment denial for new admissions, after failing a follow-up inspection in September, reports the San Francisco Examiner.

CMS cited Laguna Honda in July after an investigation revealed 23 patients were systematically abused at the city-run hospital between 2016 and 2019. Investigators determined that poor supervision and a culture of silence contributed to the abuse.

During a follow-up visit in September, state inspectors found the hospital did not give nurses a platform to address concerns, improperly discarded medications and failed to prevent further neglect, according to CMS documents the San Francisco Examiner obtained through a Freedom of Information Act request. As a result, CMS denied payment for new admissions and implemented a daily fine, among other penalties.

Instead of halting new admissions, the hospital accepted 21 new patients during this period. Laguna Honda plans to cover about $126,000 in unreimbursed care costs for these patients, Rachael Kagan, director of communications for the city's Department of Public Health, told the San Francisco Examiner.

State inspectors returned to Laguna Honda in mid-October and found the hospital in compliance with all regulations.

To view the full report, click here.

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