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Feds May Yank Oakwood's $43 Million

The Centers for Medicare and Medicaid said in an Aug 9 letter to KY officials that it plans to cut off $43 million in funding for Oakwood, and now they're closing in.

From the Lexington, KY Herald-Leader:

The Centers for Medicare and Medicaid told the state last September that it would yank Oakwood's federal funding after the facility received several Type A citations for failing to protect residents in early 2005. But the federal agency agreed that it would continue funding while the state appeals the termination decision. As a condition of the appeal, residents had to remain safe.

But problems at Oakwood have continued. Since January 2005, Oakwood has received 21 Type A citations, the most serious kind. Two of those citations were related to deaths -- one resident drowned in a bathtub, another died while choking on a hot dog. This summer, eight patient aides were arrested on charges that they abused residents.

Read story: Oakwood could lose $43 million