Legislature Orders Audit of Brius Healthcare Transactions

July 5, 2017
June 2017

In a 12-0 vote on June 28, 2017, the Joint Legislative Audit Committee approved an audit by the State Auditor to determine if the Department of Public Health, Department of Health Care Services and Office of Statewide Health Planning and Development are effectively regulating related-party transactions by skilled nursing facilities. The audit will focus partly on Brius Healthcare, California’s largest nursing home chain, due to expressed concerns that it is profiting at residents’ expense through related-party transactions. Senator Mike McGuire and Assemblymember Jim Wood sought the audit and spoke at the hearing about harm and deaths California nursing home residents have suffered at Brius facilities due to neglect. Shlomo Rechnitz is the principal owner of Brius Healthcare.

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