CBC Sues in Federal Court, 9/7/01

Agency fights loss of contract

Nursing home group sues, claims retaliation

September 7, 2001

BY WENDY WENDLAND-BOWYER
FREE PRESS STAFF WRITER

Citizens for Better Care, Michigan's watchdog for nursing home residents, filed a lawsuit Thursday in federal court seeking to overturn a decision that ends its 30-year status as the state's long-term care ombudsman.

CBC's bid on the $433,000-per-year contract was not considered by the Michigan Office of Services to the Aging during this summer's bidding process because CBC refused to collect the Social Security numbers of nursing home residents who file complaints about care.

The contract was then awarded to the only other bidder, Elder Law of Michigan Inc. The new contract is to take effect Oct. 1.

Thursday's lawsuit, filed in U.S. District Court in Detroit, alleges that the state is violating federal law by requiring the collection of Social Security numbers. The suit says collecting the numbers would make residents reluctant to complain for fear of retaliation. The suit also alleges that Lynn Alexander, director of the Office of Services to the Aging, solicited and helped Elder Law prepare its grant bid because she wanted to get rid of CBC to retaliate for the agency's "vigorous advocacy" for nursing home residents.

The lawsuit is against Alexander; Elwin Johnson, chairman of the Michigan Commission on Services to the Aging; and Elder Law of Michigan. It seeks a preliminary injunction and temporary restraining order to block the contract from taking effect Oct. 1.

Geralyn Lasher, spokeswoman for the Michigan Department of Community Health, which oversees the aging office, said the suit is meritless.

"Their complaints are bogus," said Lasher. "I can not stress enough that these are the actions of a disgruntled bidder."

Michigan's state long-term care ombudsman works as an advocate for nursing home residents, informing them of their rights, helping resolve problems and investigating complaints.

CBC has never collected Social Security numbers and even uses a paper shredder to destroy potentially identifying documents when cases are closed, said Nida Donar, CBC's acting state long-term care ombudsman.

Most state ombudsman offices nationally do not collect Social Security numbers, and there is a reason for that, said Robert Sedler, one of CBC's attorneys.

"These are frail, vulnerable, fearful people and their Social Security number has nothing to do with their complaint," Sedler said.

Kate White, executive director of Elder Law of Michigan Inc., couldn't be reached Thursday afternoon for comment. Lasher said the state wants the numbers so it can better track, for planning purposes, what services seniors receive.

The loss of the $433,000 contract is devastating, CBC officials said. CBC used most of that money to pay staff and related costs at a network of local ombudsman offices throughout the state. Without the money, CBC so far has had to cut a position in Marquette and another in Lansing and trim a staff person's hours in Traverse City.

Elder Law has said it will set up a state hot line to take ombudsman calls and develop a network of volunteers, among other things. But Donar said CBC already has a network of volunteers and a hot line. Only about 10 percent of the cases come in through the hot line, she said. The rest come from relationships developed by local ombudsmen going out into the nursing homes.

Contact WENDY WENDLAND-BOWYER at 313-223-4792 or wendland@freepress.com.