Fla. Stat. 651.043
Approval of change in management


(1)

A contract with a management company entered into after July 1, 2019, must be in writing and include a provision that the contract will be canceled upon issuance of an order by the office pursuant to this section and without the application of a cancellation fee or penalty. If a provider contracts with a management company, a separate written contract is not required for the individual manager employed by the management company or contractor hired by the management company to oversee a facility. If a management company executes a contract with an individual manager or contractor, the contract is not required to be submitted to the office unless requested by the office.

(2)

A provider shall notify the office, in writing or electronically, of any change in management within 10 business days. For each new management company or manager not employed by a management company, the provider shall submit to the office the information required by s. 651.022(2) and a copy of the written management contract, if applicable.

(3)

For a provider that is found to be impaired or that has a regulatory action level event pending, the office may disapprove new management and order the provider to remove the new management after reviewing the information required under subsection (2).

(4)

For a provider other than that specified in subsection (3), the office may disapprove new management and order the provider to remove the new management after receiving the required information under subsection (2), if the office:Finds that the new management is incompetent or untrustworthy;Finds that the new management is so lacking in managerial experience as to make the proposed operation hazardous to the residents or potential residents;Finds that the new management is so lacking in experience, ability, and standing as to jeopardize the reasonable promise of successful operation; orHas good reason to believe that the new management is affiliated directly or indirectly through ownership, control, or business relations with any person or persons whose business operations are or have been marked by manipulation of assets or accounts or by bad faith, to the detriment of residents, stockholders, investors, creditors, or the public.

(a)

Finds that the new management is incompetent or untrustworthy;

(b)

Finds that the new management is so lacking in managerial experience as to make the proposed operation hazardous to the residents or potential residents;

(c)

Finds that the new management is so lacking in experience, ability, and standing as to jeopardize the reasonable promise of successful operation; or

(d)

Has good reason to believe that the new management is affiliated directly or indirectly through ownership, control, or business relations with any person or persons whose business operations are or have been marked by manipulation of assets or accounts or by bad faith, to the detriment of residents, stockholders, investors, creditors, or the public.

(5)

The office shall complete its review as required under subsections (3) and (4) and, if applicable, issue notice of disapproval of the new management within 30 business days after the filing is deemed complete. A filing is deemed complete upon the office’s receipt of all requested information and the provider’s correction of any error or omission for which the provider was timely notified. If the office does not issue notice of disapproval of the new management within 30 business days after the filing is deemed complete, the new management is deemed approved.

(6)

Management disapproved by the office must be removed within 30 days after receipt by the provider of notice of such disapproval.

(7)

The office may revoke, suspend, or take other administrative action against the certificate of authority of the provider if the provider:Fails to timely remove management disapproved by the office;Fails to timely notify the office of a change in management;Appoints new management without a written contract when a written contract is required under this section; orRepeatedly appoints management that was previously disapproved by the office or that is not approvable under subsection (4).

(a)

Fails to timely remove management disapproved by the office;

(b)

Fails to timely notify the office of a change in management;

(c)

Appoints new management without a written contract when a written contract is required under this section; or

(d)

Repeatedly appoints management that was previously disapproved by the office or that is not approvable under subsection (4).

(8)

The provider shall remove any management immediately upon discovery of either of the following conditions, if the conditions were not disclosed in the notice to the office required under subsection (2):That a manager has been found guilty of, or has pled guilty or no contest to, a felony charge, or has been held liable or has been enjoined in a civil action by final judgment, if the felony or civil action involved fraud, embezzlement, fraudulent conversion, or misappropriation of property.That a manager is now, or was in the past, affiliated, directly or indirectly, through ownership interest of 10 percent or more in, or control of, any business, corporation, or other entity that has been found guilty of or has pled guilty or no contest to a felony charge, or has been held liable or has been enjoined in a civil action by final judgment, if the felony or civil action involved fraud, embezzlement, fraudulent conversion, or misappropriation of property.

The failure to remove such management is grounds for revocation or suspension of the provider’s certificate of authority.

(a)

That a manager has been found guilty of, or has pled guilty or no contest to, a felony charge, or has been held liable or has been enjoined in a civil action by final judgment, if the felony or civil action involved fraud, embezzlement, fraudulent conversion, or misappropriation of property.

(b)

That a manager is now, or was in the past, affiliated, directly or indirectly, through ownership interest of 10 percent or more in, or control of, any business, corporation, or other entity that has been found guilty of or has pled guilty or no contest to a felony charge, or has been held liable or has been enjoined in a civil action by final judgment, if the felony or civil action involved fraud, embezzlement, fraudulent conversion, or misappropriation of property.

Source: Section 651.043 — Approval of change in management, https://www.­flsenate.­gov/Laws/Statutes/2024/0651.­043 (accessed Aug. 7, 2025).

651.011
Definitions
651.012
Exempted facility
651.13
Civil action
651.013
Chapter exclusive
651.014
Insurance business not authorized
651.015
Administration
651.018
Administrative supervision
651.019
New financing, additional financing, or refinancing
651.021
Certificate of authority required
651.022
Provisional certificate of authority
651.023
Certificate of authority
651.024
Acquisition
651.026
Annual reports
651.028
Accredited facilities
651.033
Escrow accounts
651.034
Financial and operating requirements for providers
651.035
Minimum liquid reserve requirements
651.043
Approval of change in management
651.051
Maintenance of assets and records in state
651.055
Continuing care contracts
651.057
Continuing care at-home contracts
651.061
Dismissal or discharge of resident
651.065
Waiver of statutory protection
651.071
Contracts as preferred claims on liquidation or receivership
651.081
Residents’ council
651.083
Residents’ rights
651.085
Quarterly meetings between residents and the governing body of the provider
651.091
Availability, distribution, and posting of reports and records
651.095
Advertisements
651.105
Examination
651.106
Grounds for discretionary refusal, suspension, or revocation of certificate of authority
651.107
Duration of suspension
651.108
Administrative fines
651.111
Requests for inspections
651.114
Delinquency proceedings
651.116
Delinquency proceedings
651.117
Order of liquidation
651.118
Agency for Health Care Administration
651.119
Assistance to persons affected by closure due to liquidation or pending liquidation
651.121
Continuing Care Advisory Council
651.123
Alternative dispute resolution
651.125
Criminal penalties
651.131
Actions under prior law
651.132
Amendment or renewal of existing contracts
651.134
Investigatory records
651.0215
Consolidated application for a provisional certificate of authority and a certificate of authority
651.0235
Validity of provisional certificates of authority and certificates of authority
651.0245
Application for the simultaneous acquisition of a facility and issuance of a certificate of authority
651.0246
Expansions
651.0261
Quarterly and monthly statements
651.1065
Soliciting or accepting new continuing care contracts by impaired or insolvent facilities or providers
651.1081
Remedies available in cases of unlawful sale
651.1141
Immediate final orders
651.1151
Administrative, vendor, and management contracts

Current through Fall 2025

§ 651.043. Approval of change in management's source at flsenate​.gov