Entrance Fees to Continuing Care Retirement Communities

Entrance Fees to Continuing Care Retirement Communities A. Continuing Care Retirement Communities (CCRC) or life care communities provide a range of living arrangements from independent living assistance to skilled nursing care. 1. Some CCRC’s include Medicaid certified nursing facilities while others do not participate in Medicaid. 2. An individual or couple may be required to pay substantial entrance fees and sign detailed contracts before moving into the CCRC. 3. The entrance fee paid to a CCRC is treated as a resource under certain circumstances for the purpose of determining Medicaid eligibility. B. The entrance fee paid to a CCRC is a countable resource if all of the following conditions are met: 1. The entrance fee can be used to pay for care under the terms of the entrance contract if other resources of the individual become insufficient. If only a portion of the fee is refundable, this condition is met. 2. The entrance fee is refundable when the individual dies or terminates the contract and leaves the CCRC. If the individual is eligible for a refund of any remaining entrance fee, this condition is met. 3. The entrance fee does not confer an ownership interest in the CCRC.