Health Services Council to consider Encompass Health’s application to acquire Care Resources

PROVIDENCE – On Tuesday, the R.I. Department of Health’s Health Services Council will consider an application to change control of Riverside nursing care provider Care Resources LLC in East Providence to Encompass Health Home Health of New England LLC, which intends to purchase the company for $11.9 million.

The meeting will begin at 2 p.m. in the Department Operations Center in the lower level of the R.I. Department of Health at 3 Capitol Hill in Providence.

According to the application, Encompass Health Home Health of New England’s purchase of the nursing care provider will be made using currently available cash balances.

Encompass, headquartered in Dallas, operates 289 home health and hospice locations across 31 states.

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According to Encompass’ application, Care Resources realized a $1.6 million profit in 2018 and is projected to achieve a $1.7 million profit by 2020. The facility currently has 16.5 registered nurse positions, five licensed professional nurses, six nursing aids, 20 physical therapists and 3.5 occupational therapists.

If the sale is approved, Encompass plans to increase the physical therapists to 22 and the occupational therapists to 8.5, according to the application.

The council will also review and adopt its report on the application of WTL Health Clinic Inc. for the initial licensure of an organized ambulatory care facility at 59 Prospect Street, Suite A, Pawtucket.

Rob Borkowski is a PBN contributing writer.