HOUGHTON, N.Y. — Houghton Rehabilitation & Nursing Center, a 100-bed nursing home in Allegany County, has been fined more than $75,000 by state and federal regulators after being cited for failing to protect residents from abuse, according to records updated by the New York State Health Department and the U.S. Centers for Medicare and Medicaid Services.
What Happened
The fines stem from an incident on April 27, 2024, when staff members observed two residents engaged in sexual physical contact, though neither resident had the cognitive capacity to consent to such activity, according to state inspection records reported by the Buffalo News. One of the two residents had a documented history of sexually inappropriate behaviors toward staff in the six months leading up to the incident.
The New York State Health Department imposed a $50,000 penalty following an inspection completed on October 5, according to state records filed last month. Federal regulators separately levied an additional $25,052 fine, according to CMS records.
The incident was reported to the New York State Police, according to state records. A state police investigator reviewed the case with the county district attorney's office, but the matter was not prosecuted criminally due to the cognitive state of the two residents involved, as reported by the Buffalo News.
Facility Response and Corrective Actions
During the state investigation, the facility's medical director acknowledged to investigators that the incident "would be considered abusive behavior," according to inspection records cited by the Buffalo News. However, in a telephone interview on October 5, the nursing home's administrator told state investigators there was no physical evidence the incident occurred and maintained the facility had kept the residents safe.
The state marked the issue as corrected on November 29, according to regulatory filings. Following the incident, the resident with a history of sexually aggressive behavior was placed under closer supervision and moved to a private room. The other resident no longer lives at the facility, according to state records.
The nursing home also conducted a comprehensive review of all residents with potential for inappropriate sexual behavior to identify those at risk for similar incidents, according to state records. Identified residents had their care plans updated, and employees were re-educated on the facility's abuse prevention policy and procedures.
CMS Inspection History
Federal data paints a broader picture of ongoing compliance challenges at Houghton Rehabilitation & Nursing Center. The facility currently holds a 2-out-of-5-star overall rating from CMS, placing it below average among the nation's nursing homes. Its health inspection rating also stands at just 2 stars, while staffing and quality of care each rate 3 stars.
Across nine inspections on record with CMS, the facility has accumulated 33 total deficiencies — an average of roughly 3.7 deficiencies per inspection. The most recent CMS inspection, conducted on May 2, 2025, flagged five separate deficiencies, two of which were classified at severity level F — indicating actual harm or immediate jeopardy to residents.
Those May 2025 deficiencies included citations for failing to provide enough nursing staff each day to meet the needs of every resident, failing to have a licensed nurse in charge on each shift, and failing to have a registered nurse on duty for eight hours daily. Inspectors also cited the facility for deficiencies related to resident self-determination, professional standards of quality, and appropriate continence and catheter care.
The staffing citations are particularly notable. Federal regulations require nursing facilities to maintain sufficient staff to meet each resident's needs around the clock and to ensure a registered nurse is on duty at least eight consecutive hours per day, seven days a week. Staffing shortages in nursing homes have been widely linked to higher rates of adverse events, including abuse and neglect.
Ownership & Operations
Houghton Rehabilitation & Nursing Center is a for-profit limited liability company located at 9876 Luckey Drive, according to CMS records. The facility is affiliated with Personal Healthcare, a company based in Tarrytown, Westchester County, according to the Buffalo News.
State records indicate the company operating the Houghton facility has four owners: Batia Vagelbaum holding a 30% share, Esther Barth at 35%, Chaya Walden at 15%, and Teresa Creedon at 10%, as reported by the Buffalo News.
Personal Healthcare has faced recent regulatory setbacks beyond the Houghton facility. Company executives were recently denied approval by the state Public Health and Health Planning Council to acquire two additional nursing homes, according to the Buffalo News.
The facility is also navigating labor tensions. Workers at Houghton Rehabilitation recently marched in front of the facility demanding quality health insurance from Personal Healthcare, according to 1199SEIU United Healthcare Workers East, which is currently negotiating contracts for nearly 4,000 unionized workers at 27 different nursing homes in Western New York.
Resources for Families
Families with concerns about care at any New York nursing home can contact the New York State Long-Term Care Ombudsman Program at 1-855-582-6769. The ombudsman program advocates for residents of nursing homes and assisted living facilities and can investigate complaints confidentially.
Concerns can also be reported to the National Elder Care Locator at 1-800-677-1116, a federally funded service that connects older adults and their families with local resources. Additional information about resident rights and how to file complaints is available at [ltcombudsman.org](https://ltcombudsman.org).
Federal law requires nursing homes to protect every resident from abuse, neglect, and exploitation. Families are encouraged to review a facility's inspection history through Medicare's Care Compare tool and to report any concerns promptly to both the facility administration and state regulators.