Aged care provider PresCare is continuing operations as usual for now after the Presbyterian Church of Queensland was placed into receivership for being unable to pay its debts.
In August last year PresCare announced plans to sell its seven aged care homes and exit the residential aged care sector due to the significant capital investment required to remain.
In addition to PresCare, the Presbyterian Church of Queensland (PCQ) operates its congregations, the Queensland Theological College and Toowoomba school Fairholme College.
The Supreme Court of Queensland appointed Michael Owen and Phil Carter from PwC Australia as receivers of PCQ’s legal entity on 12 May.
Mr Owen said their priority was to work closely with PCQ and its stakeholders while they investigated organisation’s situation.
“We plan to continue to operate the services that PCQ provides across the community on a ‘business as usual’ basis while we conduct this review, and we will update stakeholders further once this initial assessment has been completed,” Mr Owen said.
It is expected that the aged care receivership will have minimal impact on the operations of QTC and Fairholme College.
PCQ moderator Reverend Dr Philip Strong said receivership was necessary to ensure the organisation could provide services in the long-term.
“Unfortunately, contractual arrangements entered into in previous years, coupled with a very difficult aged care environment have proved to be a barrier to continued operations,” Reverend Dr Strong said.
“While our team has worked hard for more than a year to restructure the operations, historical contractual arrangements have made this extremely challenging. While making the decision to appoint a receiver is a difficult one, we believe it is the best next step.”
PresCare exchanged contracts last month with fellow aged care provider Apollo Care for the sale of three facilities, Alexandra Gardens in Rockhampton and Groundwater Lodge and Yaralla Place in Maryborough.
Apollo Care CEO Stephen Becsi said Apollo Care would provide full continuity of resident care and accommodation and employment to all staff at these facilities, which continue to operate under the PresCare name.
“We have made a commitment to the residents, their families and PresCare staff in Rockhampton and Maryborough – and we don’t intend to let them down.”
PresCare’s remaining facilities, Vela in Carina, Protea in Townsville and WRB in Cordina, are subject to offers but have not yet been contracted.