Hamilton taxpayers have paid nearly $4 million to Martino homes since 2017

Hamilton taxpayers have provided nearly $4 million since 2017 to five homes operated by the family associated with Ontario's largest-ever bankruptcy of long term care homes.

The money has been paid by the city to subsidize low-income residents in residential care facilities operated by the families of Aldo Martino and the late John Martino.

The Martino brothers owned the Royal Crest Lifecare chain of care homes until it collapsed into bankruptcy in 2003, leaving Ontario taxpayers on the hook for $18 million.

Family members of the Martino families are still associated with eight retirement homes and residential care facilities in Hamilton.

All eight of the Martinos' Hamilton homes are either now subject to orders to comply by the Retirement Homes Regulatory Authority or the city's public health department, have been cited for rules violations by the RHRA or public health in the past six months, or both.

Among the eight Martino properties is Rosslyn Retirement Residence, the site of a horrific COVID-19 outbreak earlier this month that sent more than 60 residents to hospital and emptied the facility. Twenty staff members also became infected and eight residents of the home have died.

From 2017 to the end of April, the city has paid $1.05 million to subsidize spaces in Emerald Lodge, $765,000 for Northview Seniors Residence, $733,000 for Victoria Manor II, $719,000 for Victoria Manor I, and $650,000 for Cathmar Manor.

On May 22, Cathmar Manor was hit with an order to comply by the RHRA, the governing body for Ontario's retirement homes, for being in contravention of regulations related to infection prevention and control.

On the same day, Hamilton's public health department issued an order to comply against Northview alleging the home conducted inadequate screening of residents, staff and visitors, and that it had inadequate staffing contingency plans, among other deficiencies.

Cathmar was already subject to an earlier order to comply by the RHRA issued March 5.

The city provides subsidies for an average of about 780 spaces each month in 52 residential care facilities across Hamilton, including the five Martino-related homes.

The average subsidy paid by the city is about $600 per month per space, which covers the difference between residents' incomes and the facilities' cost, which is calculated at $52 per day by the city for a subsidized spot.

Many of the subsidized spaces are occupied by low-income and vulnerable people who receive social assistance payments.

Residential care facilities sign subsidy agreements with the city that are renewed on an annual basis.

Rob Mastroianni, Hamilton's manager of the residential care facilities subsidy program, said the city isn't currently reviewing any of its subsidy agreements with the five Martino-related properties.

However, Mastroianni said bylaw and public health infractions or noncompliance issues are a separate matter from subsidy agreements.

If there is an issue where a licence is in jeopardy, then we wouldn't be subsidizing the homes," Mastroianni said.

Royal Crest and the Martino brothers were the subjects of an extensive Spectator investigation in 2003 and 2004.

The investigation showed Ontario's health ministry had provided more than $500 million to Royal Crest in a decade leading up to the chain's collapse, but the ministry hadn't conducted its own audit of the company in the three years prior to the bankruptcy.

Steve Buist is a Hamilton-based investigative reporter at The Spectator. Reach him via email: sbuist@thespec.com