Greenwich is abandoning its previous effort to privatize the Nathaniel Witherell nursing home and will issue a new request for proposals aimed at nonprofit operators, First Selectman Fred Camillo announced at the Aug. 13 Board of Selectmen meeting.

The shift marks a retreat from earlier plans that drew both support and sharp opposition at a December 2022 RTM public hearing, where residents objected particularly to outsourcing to a for-profit company. Camillo said the new RFP will be open to all bidders but is oriented toward nonprofits, according to a Greenwich Free Press account of the meeting.

"Whatever non-profit it is, we opened it up. RFP means it's open to everyone," Camillo said. "We think that's the way to go there because for-profit does alarm some people."

Camillo said he believes the issue will be resolved within 12 months, a timeline he called "huge for Greenwich." He said the goal is to reduce or eliminate the town's annual subsidy, which runs between $5 million and $7 million. On his WGCH 1490 AM radio show on Friday, Aug. 14, Camillo said the Greenwich Finance Department calculated the town paid roughly $43 million in subsidies over the nine years before he took office.

He had met with a nonprofit organization several months earlier to discuss the Witherell's future, though he did not name the group. Camillo praised Witherell board of directors chair Peter Kelly and new board members for their work.

Selectman Tony Savino asked at the meeting whether a nonprofit might be selected to run the facility. Camillo responded that the RFP process would determine the outcome, with more details to come in the weeks ahead.

Financial pressure building

The announcement follows a July 31 Board of Estimate and Taxation meeting where members questioned Witherell management about declining finances. Revenue fell to $28.6 million, down $1.1 million from the prior year, and the facility's census stood at 161 residents versus a budgeted 182, according to the Greenwich Sentinel.

Private-pay revenue has dropped from approximately $9 million to $4.5 million over four years. The facility absorbed 23 residents from the closed Greenwich Woods in July 2026, raising its count from fewer than 150 to more than 170.

At that July 31 BET meeting, Witherell board chair Kelly said, "We haven't come to the pessimistic plan yet," when pressed about thresholds for structural change.

The Witherell, located at 70 Parsonage Road, has been shifting toward short-term rehabilitation and specialized clinical services that carry higher Medicare reimbursement. Its average daily Medicare rate rose from $747 to $795. The facility reported 17 federal citations from its most recent state inspection, down from more than 21 previously, with none involving abuse or actual harm.

What comes next

Camillo said more details about the path forward will emerge in coming weeks. He framed the decades-long subsidy as unfair to both taxpayers and families with loved ones in the facility.

The town calendar confirms the Aug. 13 meeting was held virtually via Zoom. Official minutes have not yet been posted. The town has not announced a deadline for the new RFP or a timeline for public comment. Residents can follow developments through the Board of Selectmen's page on greenwichct.gov or attend future meetings, which are listed on the town calendar.