The Amsterdam at Harborside
Residents of the financially troubled The Harborside are asking that Gov. Kathy Hochul instate a facilitator to oversee a new sale of the bankrupt retirement home as threats to shut down the facility threaten the status of their homes.
The proposal asks for a two-pronged process to take place where the sale application to LCS is re-opened, and applications from third parties are solicited to potentially facilitate a sale.
The facilitator requested would oversee the application process for a potential sale, mediate discussions with potential buyers, Harborside stakeholders and the health department, and assess facility funding requirements over the period before a sale is finalized.
Residents ask that the facilitator provide regular reports about the sale’s progress.
“Additional communications about significant developments will occur at random intervals as the need and circumstances warrant, but in any event, the Residents must be kept informed about what progress is being made continuously throughout the process and in a timely fashion,” the proposal states.
The residents also asked that the state Department of Health re-open the prior sale application for LCS, which the company previously revoked.
The sale of the financially unstable community was awarded to Life Care Services, otherwise known as LCS, in late December after the Des Moines-based company won an auction for the 329-unit development earlier in the year.
The deal was then revoked by LCS in August, according to Newsday, due to prolonged waiting for approvals from the state Health Department and Department of Financial Services.
The state Health Department rejected their application in October
Residents also asked the health department to provide information on why the prior application was denied and a complete list of information required for the application.
Gordon Tepper, Hochul’s Long Island Press Secretary, said “the LCS application was rejected because they failed to meet the state’s basic requirements” and that “If LCS, or any other entity, would like to submit a new application and the required documentation, then the DOH will review it.”
Tepper did not respond to questions about whether a facilitator would be instated or whether Hochul would accept the proposal.
For new applications, the resident proposal requests that they be expedited within 180 days.
The Port Washington retirement home has filed for bankruptcy three times in the past decade and has nearly 200 residents in fear of losing their homes. The average age of its residents is 90.
Last week, The Harborside came to an agreement with their food service provider Sodexo to provide meals to residents through Nov. 30. The agreement provides the option for the service to be extended afterward on a month-to-month basis.
Nassau County Legislature Minority Leader Delia DeRiggi-Whitton (D–Glen Cove) wrote a letter to state Attorney General Letitia James asking her to conduct a forensic audit of the retirement community. She said there may be “more than gross mismanagement at play” and questioned whether it was a Ponzi scheme.
Multiple residents have expressed fear of potential eviction, especially couples who live in separate facilities at the Harborside due to medical needs.