Three nurse staffing firms reached a settlement with Massachusetts over rates they charged long-term care facilities, Massachusetts Attorney General Joy Campbell’s office announced Jan. 19.

All three firms allegedly charged long-term care facilities rates above the maximum allowed by Massachusetts’ Executive Office of Health and Human Services, according to the Attorney General’s office.

“Affordability continues to be a major challenge for Massachusetts residents and their loved ones seeking long-term care, and my office will continue to hold accountable those who seek to take advantage in an already fragile and high-cost system,” Campbell said in a press release.

The Attorney General’s office announced the following:

• Lawrence Recruiting Specialists will pay $200,000 under the settlement, including refunds of $75,000 and a civil penalty of approximately $125,000. Lawrence Recruiting Specialists is based in Nebraska.
• Maxim Healthcare Staffing Services Inc. will pay approximately $1,500 to affected long-term care facilities and $55,000 in penalties.
• Nursing on Demand LLC of Belmont, Massachusetts, will pay $7,388.69, including restitution.

All three firms have agreed in the settlement to comply with rate regulations in the future, according to the Attorney General’s office. Nursing on Demand will also maintain a corporate compliance program.

Maxim issued this statement: “Last year, Maxim Healthcare Staffing was notified by the Massachusetts Office of the Attorney General of an investigation related to regulatory provisions for providing health care facilities with temporary staffing. Our team fully complied with the investigation, and it was determined that Maxim had placed a handful of nurses who did not fit into the regulatory exception for fixed-term employees. This resulted in the affected facilities paying approximately $1,500 above the rate caps, in total, for those nurses.

“Maxim takes very seriously its obligations under state and federal law. The company has complied with all requirements and is paying the impacted facilities restitution in the amount of the overage. In addition, Maxim has revised its policies and procedures to more clearly align with state regulations and is providing updated and ongoing training to employees responsible for staffing Massachusetts healthcare facilities.”

SIA has also reached out to Nursing on Demand. Contact information could not be found for Lawrence Recruiting Specialists.

Campbell’s office released an advisory in March 2023 in which it claimed some nurse staffing firms had been attempting to overcharge, demand additional fees or enter misleading arrangements with long-term care facilities.