Office of the Vermont Attorney General

Receiver Appointed to Manage Pillsbury Group Residential Care Homes

November 9, 2018

Contact: Clayton Clark, Director of the Division of Licensing and Protection
Department of Disabilities, Aging and Independent Living
802-241-0345

MONTPELIER, Vt., Nov. 9, 2018 – Washington County Superior Court has assigned a temporary receiver to take over management of three Vermont residential care homes. The temporary receiver was put in place after the Vermont Attorney General’s Office (AGO) filed an action for the appointment of a receiver with the Court on behalf of the Vermont Department of Disabilities, Aging and Independent Living (DAIL). The residential care homes are located in South Burlington and St. Albans.

Both AGO and DAIL, as well as the Vermont Long Term Care Ombudsman, have received complaints from staff, residents, and their family members over the past several months regarding the business practices of these homes. Attempts at correcting the practices through the standard regulatory process were unsuccessful.

Complaints received involved the homes’ failure to deposit residents’ rent checks or to return deposits, concerns about adequate staffing, and food insecurity. During an unannounced inspection this week, it became clear that the need to intervene was urgent, prompting the joint motion to appoint a receiver. The State and the temporary receiver are now working to ensure adequate service delivery to protect the health and safety of residents.

The residential care homes involved are Allenwood at Pillsbury Manor in South Burlington, Homestead at Pillsbury in St. Albans, and Pillsbury Manor South in South Burlington. All are owned by East Lake Capital Management and Andrew White. Across the three properties there are 102 residents receiving residential care home level of care and another 69 living independently. Harborview, an independent living facility operated by the same company, is not covered under this court action.

The temporary receiver put in place, Douglas Wolinsky, Esq., has experience managing estates and is a member of Turnaround Management Association. He will work to stabilize the business practices at all three homes and limit interruptions to residents and their families. The State expects that the homes will continue to provide services to our community for the foreseeable future. All regulatory rights and requirements will remain in place while the receiver performs this function. The receiver will be in place temporarily until the homes are satisfactorily stabilized.

“I want staff, residents, and their families to know that the State has confidence in the receiver promptly getting management of these homes back on track,” said Attorney General T.J. Donovan.

Monica Hutt, Commissioner at the Department of Disabilities, Aging and Independent Living stated, “Our highest priority is the health and safety of residents in these facilities. Stabilizing the operations of this organization is a way to ensure that health and safety.”

Meetings with residents and staff to discuss the specifics of receivership and expectations going forward took place yesterday at all three facilities and more meetings are scheduled for today.

A copy of the Court’s order, by Judge Mary Miles Teachout, can be found here. A hearing on the merits and to argue for appointment of a permanent receiver is scheduled for Wednesday, November 14.

Last modified: November 9, 2018