Unauthorized Withdrawal from Resident's Fund Account
Summary
The facility failed to protect a resident's personal funds from misappropriation, affecting one resident out of six reviewed for resident funds. The resident, who had multiple sclerosis, failure to thrive, muscle weakness, and diabetes, had their account improperly accessed. The resident's funds statement showed regular deposits from pensions and social security, with withdrawals leaving only $50 each month. However, an additional unauthorized withdrawal of $1,136 was made, leaving the account with a zero balance. This withdrawal was acknowledged in email communication between the Regional Business Office Manager and the Business Office Manager, who confirmed the unauthorized transaction. The Business Office Manager admitted to withdrawing the funds under the instruction of another Regional Business Office Manager, mistakenly believing it was for an outstanding care balance. The resident was not informed, nor was there written authorization for this transaction. The facility's policy required authorization and signatures for withdrawals, and accounts were to be audited quarterly. Despite these policies, the facility could not account for the funds until surveyor intervention revealed the misappropriation. The facility's policies on resident personal funds and abuse prevention emphasized safeguarding funds and investigating misappropriations, which were not adhered to in this instance.
Penalty
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The facility failed to protect resident narcotic medications from misappropriation when an LPN handed over a medication cart’s narcotic keys to an RN without performing required narcotic counts before and after the transfer, and the cart was later found unlocked in the nurses’ station. During the subsequent shift change count, staff discovered multiple missing doses of oxycodone-acetaminophen and hydrocodone-acetaminophen prescribed PRN for pain to four residents with conditions including dementia, COPD, dysphagia, and diabetic neuropathy. Review of individual controlled drug logs showed corrected balances to account for the missing tablets, confirming that controlled substances were unaccounted for during the period of unsecured cart access and improper key control.
A resident with severe cognitive impairment and dementia had facility-managed trust funds used to purchase three Meta virtual reality headsets via Amazon. The corresponding debit was recorded in the trust account, but the devices were later found stored, largely unopened, in the activities room, with the activities director unaware of their ownership or use and unable to operate them. The resident’s representative was not informed of the purchase and believed the resident could not use such devices, while the NHA stated the items were bought as part of a Medicaid spend-down for the resident and possibly friends.
The facility failed to prevent misappropriation of resident property when an LPN removed multiple residents' medications from the facility without consent, despite a policy prohibiting such conduct and defining drug diversion as misappropriation. An anonymous caller reported finding a purse on the roadside containing a bag with multiple residents' medications, along with employment-related documents bearing the LPN's name. Review of MARs showed that all of the involved medications for eleven residents had been signed out by this LPN on the corresponding shifts, and the facility’s investigation substantiated misappropriation of property.
A resident with impaired memory and no capacity for medical decision-making had their eyeglasses lost, and the facility did not replace them or reimburse the cost in a timely manner. The RP reported the missing glasses, and the SSA stated that a theft and loss form was supposedly completed, but neither the SSA nor the DON could locate this documentation. The SSA could not specify when the glasses were lost, only that it occurred over several months, and later records showed the resident declined new glasses despite lacking decision-making capacity, with no notification to the RP. The facility’s own theft and loss policy requiring prompt investigation, documentation, and notification of the resident or representative was not followed.
A resident’s controlled medication, Lorazepam 0.5 mg, went missing from a medication cart, with the narcotic record showing 19 tablets remaining but the bubble pack unable to be located during a shift-change narcotic count by two RNs. The medication had been verified as present and correctly counted by two RNs on the prior shift, and a torn label from the missing Lorazepam bubble pack was later found in the bedside table of an empty room, but the tablets were not recovered. As a result, the resident missed two scheduled doses, and the incident constituted misappropriation of the resident’s property in violation of facility policies on controlled substances, resident rights, and investigation of theft/misappropriation.
Multiple residents experienced misappropriation and tampering of their prescribed narcotic medications when several bottles of liquid morphine, used for pain, shortness of breath, and air hunger, were found to be clear and watery instead of the usual pink and viscous solution after prior counts and administrations had confirmed the correct appearance. In a separate event, an entire card of hydrocodone-acetaminophen (Norco) ordered three times daily for a hospice resident with chronic back pain, heart failure, and dysphagia went missing and was never located, despite narcotic counts confirming its prior presence. Facility documentation and staff interviews show that these medications were altered or disappeared between routine narcotic counts, and the individual responsible was not identified, resulting in misappropriation of residents’ medications.
Failure to Secure Narcotic Medications and Maintain Key Control
Penalty
Summary
The deficiency involves the facility’s failure to protect resident medications from misappropriation on one of four medication carts, resulting in missing controlled substances for four residents. The facility’s abuse, neglect, and exploitation policy defines misappropriation of resident property as the deliberate misplacement, exploitation, or wrongful use of a resident’s belongings or money without the resident’s consent. On a specific date, during the 7:00 PM shift change narcotic count, staff identified that multiple doses of Percocet and Norco (hydrocodone-acetaminophen) were missing from the narcotic box on a single medication cart. Prior to this discovery, the assigned LPN had confirmed that the narcotic count was correct earlier in the day. The events leading to the deficiency included the LPN giving her medication cart narcotic keys to an RN while she left the area to perform a urine specimen collection. The LPN did not complete a narcotic count before or after transferring the keys, which was not in accordance with facility expectations for key control and chain of custody. When the LPN returned, she observed the medication cart in the nurses’ station and unlocked. The RN later confirmed that she had moved the cart into the nurses’ station but denied administering any medications during the time she had possession of the keys. During the subsequent 7:00 PM narcotic count, discrepancies were identified, and a search of the cart and nurses’ station did not locate the missing medications. Record review showed that four residents’ controlled medication logs required corrections to reflect missing tablets. One resident with dementia had an order for oxycodone-acetaminophen 5-325 mg every 12 hours as needed for pain; the narcotic log initially showed a remaining balance of 20 tablets after a documented administration, but was later corrected to 16 tablets to account for four missing tablets. A second resident with COPD had an order for oxycodone-acetaminophen 10-325 mg every eight hours as needed; the log was corrected from a remaining balance of five tablets to four, indicating one missing tablet. A third resident with dysphagia had an order for hydrocodone-acetaminophen 5-325 mg every 24 hours as needed; the log showed two tablets on hand after the resident returned from pass with no administrations documented, and was later corrected to zero, indicating two missing tablets. A fourth resident with type 2 diabetes mellitus with diabetic neuropathy had an order for hydrocodone-acetaminophen 7.5-325 mg every six hours as needed; the log was corrected from a remaining balance of eight tablets to seven, indicating one missing tablet. These discrepancies, combined with the unsecured cart and improper key transfer without counts, led to the determination that resident medications were not protected from misappropriation.
Misappropriation of Resident Trust Funds for Unused Virtual Reality Devices
Penalty
Summary
The facility failed to protect a resident from misappropriation of property when items were purchased with the resident’s trust account funds and not used for the resident’s benefit. The resident had severe cognitive impairment, with a BIMS score of 3/15 and diagnoses including dementia, non‑traumatic brain dysfunction, and Meniere’s disease, and the facility managed the resident’s funds through a trust account. Documentation showed that an Amazon order was placed for this resident that included three Meta virtual reality headsets at $399.99 each, and the resident’s trust account transaction history reflected a corresponding debit of $1,878.78 for Amazon purchases. Attempts to interview the resident were unsuccessful due to cognitive debilities. Surveyor observation found three Meta virtual reality headsets in their original boxes, one opened, stored in the activities storage room near the main dining room. The activities director stated she did not know who the devices belonged to, that they had been stored in the closet since February of the prior year, that the devices required internet access, and that she did not know how to use them. The resident’s responsible party reported having no knowledge of the Meta purchase and did not believe the resident would have been capable of operating the devices. The NHA stated that the resident was obligated to spend down the trust account as a Medicaid requirement and that three Meta virtual reality headsets were ordered for the resident and possibly some friends to use.
Misappropriation of Resident Medications by LPN
Penalty
Summary
The facility failed to protect residents from misappropriation of property when an LPN removed multiple resident medications from the facility without consent. Facility policy on identifying exploitation, theft, and misappropriation of resident property, dated 9/1/25, defines misappropriation as the deliberate misplacement, exploitation, or wrongful, temporary, or permanent use of a resident's belongings or money without the resident's consent, and specifically lists drug diversion as an example. Despite this policy, an anonymous male caller notified the center supervisor that he had found a purse on the side of the road containing multiple medication cards for several residents of the facility. When the DON and Administrator went to the police station, they were shown a pink bag containing multiple medications, a Tuberculin employment skin testing record, and an orientation sheet, both bearing the name of LPN Employee E1. The bag contained eleven residents' medications in individual dispense bags, with no controlled substances identified. The medication dates and assignment areas matched LPN E1's work assignments on the relevant days and shifts, and the MARs for all residents on those assignments showed that all medications were signed out by this LPN. The facility’s investigation substantiated misappropriation of property for 11 of 49 residents (R1, R2, R12, R13, R14, R15, R16, R17, R18, R19, and R20). During an interview, the Nursing Home Administrator and Interim DON confirmed that the facility failed to ensure residents were free from misappropriation of property.
Failure to Replace Lost Eyeglasses and Notify Resident Representative
Penalty
Summary
The facility failed to protect a resident’s personal belongings when the resident’s eyeglasses were lost and not replaced in a timely manner. The resident was admitted in late 2025 with a diagnosis that included a brain disease impairing memory, and an Order Summary Report dated 9/17/25 documented that the resident did not have capacity to make medical decisions. The resident’s responsible party (RP) reported that the facility had lost the resident’s glasses and had neither replaced them nor reimbursed the cost of replacement. The Social Service Assistant (SSA) stated that the usual process for a lost item was to complete a theft and loss form, communicate with family, and have the facility pay for the lost item if it was not located, with a copy of the form kept in the social services office. During interviews and record review, the SSA recalled that the RP had reported the glasses missing and that the facility had met with the RP to discuss the loss, and she stated that a theft and loss form had been completed. However, the SSA and DON were unable to locate any theft and loss form for the lost glasses, and the SSA could not identify the exact date the glasses were lost, only that it occurred sometime between September and December 2025. An eye exam form dated 1/22/26 showed the resident declined new eyeglasses after the exam, but the SSA confirmed the resident lacked capacity to make medical decisions and that the RP should have been notified, which did not occur. The SSA confirmed that nothing further had been done to replace the glasses and acknowledged that glasses were important to help residents see. The facility’s policy on investigating incidents of theft and loss required prompt and thorough investigation of theft or misappropriation, prompt response to complaints, and notification of the resident and/or representative of investigation results and corrective action, which was not demonstrated in this case.
Misappropriation of Resident’s Controlled Lorazepam and Resulting Missed Doses
Penalty
Summary
The deficiency involves the facility’s failure to protect a resident from misappropriation of property when a controlled medication, Lorazepam 0.5 mg, went missing from the medication cart, resulting in missed doses. During a narcotic count at shift change on 11/30/25, RN A and the night shift nurse (RN B) were unable to locate the resident’s Lorazepam bubble pack, which should have contained 19 tablets according to the narcotic record. RN A reported that three medication carts and 48 resident rooms were checked, but the medication could not be found, and confirmed that the resident missed two scheduled doses on 11/30/25 and 12/1/25. The facility’s controlled substances policy required controlled medications to be reconciled upon receipt, administration, disposition, and at the end of each shift, with incoming and outgoing nurses jointly determining the count. Interviews and record review established that the Lorazepam had been present and accounted for at the end of the prior shift. RN B stated that at the start of her night shift on 11/29/25 all narcotics were accounted for, and at the end of her shift RN A discovered the Lorazepam bubble pack was missing, despite the narcotic record book indicating 19 tablets remained. RN C, who worked the evening shift before RN B, confirmed that all narcotics, including the resident’s Lorazepam, were accounted for during the count with RN B, and both signed the narcotic book indicating no discrepancies. The MDS Coordinator later found a torn medication label from the missing Lorazepam bubble pack in the bottom drawer of a bedside table in an empty room, but the 19 tablets were not recovered. The DON confirmed that the medication had been accounted for on 11/29/25, was missing during RN B’s night shift, and that the torn label matched the missing Lorazepam, constituting misappropriation of the resident’s property in violation of the facility’s resident rights and misappropriation policies.
Misappropriation and Tampering of Residents’ Narcotic Medications
Penalty
Summary
The deficiency involves the facility’s failure to protect multiple residents from misappropriation of their prescribed narcotic medications. On one occasion, a nurse identified that several bottles of liquid morphine intended for residents were discolored and had a different consistency than usual. Facility documentation and staff interviews state that morphine in seven bottles, associated with four residents, appeared clear and watery instead of the usual pink and more viscous solution. Narcotic counts conducted around shift changes did not initially show discrepancies, and staff verified that the morphine had been the correct pink color when administered on prior shifts, indicating that the contents were switched to a clear liquid sometime after the last accurate count. The affected residents were receiving morphine for significant pain and symptom management. One resident had an order for concentrated morphine sulfate 20 mg/mL, 0.25 mL by mouth every hour as needed for pain or shortness of breath and had a diagnosis of polyneuropathy. Another resident was ordered morphine sulfate 10 mg/5 mL, 0.25 mL every two hours as needed for pain or shortness of breath, with diagnoses including partial intestinal obstruction and palliative care. A third resident had an order for morphine sulfate 20 mg/5 mL, 0.25 mL every two hours as needed for severe pain or air hunger and a diagnosis of compression fracture of the thoracic vertebra. A fourth resident was ordered concentrated morphine sulfate 100 mg/5 mL, 0.25 mL every hour as needed for pain, with diagnoses including diabetic neuropathy and a history of healed traumatic fracture. Staff interviews and facility reports confirm that the morphine for these residents had been altered and that the liquid in the bottles did not match the expected color and viscosity. A separate incident involved misappropriation of a different resident’s hydrocodone-acetaminophen (Norco). This resident, who had chronic back pain, was on hospice for heart failure and dysphagia and had an order for hydrocodone-acetaminophen 10-325 mg, one tablet by mouth three times daily for pain, not to exceed 4 g/day. Facility documentation and staff interviews state that an entire card of 60 hydrocodone tablets for this resident went missing over a period of days. Narcotic counts before and after the disappearance confirmed that the card had been present during one count and was no longer present at a subsequent count, and the card was never located. In both the morphine and hydrocodone incidents, the facility’s own reports and staff statements confirm that residents’ prescribed narcotic medications were either altered or missing and that the responsible individual was not identified, resulting in misappropriation of residents’ personal property in the form of their medications.
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