The largest nursing home operator in Texas has filed for Chapter 11 bankruptcy protection amid debt of more than $100 million, according to The Dallas Morning News.
Dallas-based Senior Care Centers operates more than 100 care facilities in Texas and Louisiana, including 17 in the Dallas-Fort Worth area.
The company said the Dec. 4 filing allows it "to address its burdensome debt levels and expensive leases, thereby improving the financial resources available for the communities."
Senior Care Centers is committed "to continue caring for residents while the company works to transition certain communities to new operators," the operator said, adding that residents of all its communities would continue to receive high-level care regardless of the operator.
The centers' approximately 11,000 employees "will continue to be paid without interruption" as will vendors for all goods and services provided during the bankruptcy process, officials said.
The bankruptcy news comes about a year after state regulators announced an investigation into Senior Care Centers for a series of alleged care lapses that occurred during Hurricane Harvey.
As part of the investigation, the state cited two Senior Care facilities in Port Arthur, Texas, for not keeping residents safe during and after the hurricane, according to the report.
The state reportedly proposed penalties of more than $100,000 against each of the facilities — Cypress Glen and Lake Arthur Place — in October.
The Morning News reported that bankruptcy judges may appoint patient-care ombudsmen to monitor care during the case.
Access the full Morning News report here.
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