Taking Over an SNF? Check the PCREE Records Before You Close

In a skilled nursing facility change of ownership (CHOW), operators look closely at census, staffing, survey history and the building. Patient care electrical equipment testing rarely makes the checklist. But it's one of the easiest compliance gaps to inherit, and one of the easiest to fix if you catch it early.

Why PCREE Belongs in Due Diligence

When a new operator accepts assignment of the existing Medicare provider agreement, it generally takes on that agreement's compliance history and obligations, including open deficiencies. Life Safety Code surveys don't pause for a transaction. If the last PCREE testing round lapsed under the prior operator, your first survey can still cite it, and your team will be the one answering for it. Talk to your healthcare counsel about how the assignment affects your specific deal.

Turnover makes it worse. A sale often comes with a new administrator, a new maintenance director and a new set of vendors. The person who knew when testing was due may be gone, and the vendor who held the records may never hear from the new owner.

What to Request From the Seller

• The two most recent PCREE test reports, at the device level, with measured values
• The current equipment inventory, and which items are owned, leased, rented or supplied by hospice or DME vendors
• Corrective action records for any devices that failed testing
• The last two Life Safety Code survey reports (CMS-2567), with any K921 or other electrical equipment tags and the plans of correction
• The current testing vendor's name, contract terms and next scheduled visit
• The written equipment management or PCREE testing policy

Red Flags

• The latest report is older than the facility's own testing interval.
• Reports are summary letters with no device list.
• The inventory on the report doesn't match equipment actually on the floor.
• Prior K921 citations with no evidence the corrective action was kept up.
• Most equipment is leased or rented, but there are no incoming test records.

Your First 90 Days

1. Week 1–2: Assign one person to own PCREE testing, and collect every record the seller provided.
2. Week 2–4: Walk the building and reconcile the inventory against what's actually in use.
3. Within 60 days: If records are missing, incomplete or out of date, schedule a full baseline test of all PCREE so your documentation starts clean under your ownership.
4. Within 90 days: Set the annual schedule, add incoming testing to receiving for new and rental equipment, and file everything where surveyors will ask for it.

Operators taking over several buildings at once should also read our guide to PCREE compliance across a multi-facility portfolio.