San Diego, CA

Jacob Healthcare Center

5-star overall rating with 4-star inspections with 13 recent health deficiencies with 15 fire-safety deficiencies in the latest cycle

4075 54th St., San Diego, CA

(619) 582-5168

Compare this facility

Overall

5 / 5

CMS overall stars

Health inspections

4 / 5

Survey and complaint cycles

Staffing

2 / 5

RN + nurse staffing

Quality measures

5 / 5

Resident outcomes and process measures

Quick facts

Facility snapshot

Beds

128

Certified beds

Average residents

117

Average occupied residents

Ownership

For-Profit

Publicly displayed owner type

Chain

Links Healthcare Group

Operator or chain grouping

Approved since

1967-01-01

CMS approved date

Coverage

Medicare + Medicaid

Participation flags

Chain footprint

31 facilities

Chain averages 3 overall / 3 health / 3 staffing / 4 quality stars

Changed ownership

Within the last 12 months

Family council

Yes

Resident and family council reported

Sprinklers

Yes

Automatic sprinklers in all required areas

Staffing

Hours and turnover

RN hours / resident day

1.04

Registered nurse staffing · state 0.65 · national 0.68

LPN hours / resident day

1.32

Licensed practical nurse staffing · state 1.22 · national 0.87

Aide hours / resident day

2.42

Nurse aide staffing · state 2.64 · national 2.35

Total nurse hours

4.78

All reported nurse hours · state 4.51 · national 3.89

Licensed hours

2.37

RN + LPN hours · state 1.87 · national 1.54

Weekend hours

4.54

Weekend nurse staffing · state 4.08 · national 3.43

Weekend RN hours

0.94

Weekend registered nurse coverage · state 0.50 · national 0.47

Physical therapist

0.04

Reported PT staffing · state 0.10 · national 0.07

Adjusted RN hours

0.70

CMS adjusted RN staffing hours

Adjusted total hours

3.21

CMS adjusted total nurse staffing hours

Case-mix index

2.04

Higher values indicate more complex resident acuity

RN turnover

56%

Annual RN turnover · state 42% · national 45%

Total nurse turnover

58%

Annual nurse turnover · state 38% · national 46%

SNF VBP

Value-based purchasing

Program rank

3,134

Lower is better among SNFs in the FY 2026 VBP program.

Performance score

45.83

Composite VBP score used to determine payment impact.

Payment multiplier

0.9991

Above 1.000 increases Medicare payment; below 1.000 reduces it.

Program components

How the VBP score is built

Readmission

6.30

Baseline 23.17% · Performance 18.99% · Measure score 6.30 · Achievement 5.27 · Improvement 6.30

Healthcare-associated infections

6.78

Baseline 9.20% · Performance 6.14% · Measure score 6.78 · Achievement 5.67 · Improvement 6.78

Total nurse turnover

5.25

Baseline 49.68% · Performance 42.21% · Measure score 5.25 · Achievement 5.25 · Improvement 2.51

Adjusted total nurse staffing

Baseline 3.66 hours · Performance 3.11 hours · Measure score 0 · Achievement 0 · Improvement 0

SNF QRP

Medicare quality reporting measures

Measure	Facility	National	Note
Potentially preventable 30-day readmission	13.03%	10.72% 2.3 pts worse	No Different than the National Rate · Eligible stays 200 · Observed rate 16.5% · Lower 95% interval 10.15%
Discharge to community	55.23%	50.57% 4.7 pts better	No Different than the National Rate · Eligible stays 190 · Observed rate 45.26% · Lower 95% interval 48.31%
Medicare spending per beneficiary	1.15	1.02 0.1 pts worse
Drug regimen review with follow-up	100%	95.27% 4.7 pts better	Numerator 167 · Denominator 167
Falls with major injury	0%	0.77% 0.8 pts better	Numerator 0 · Denominator 167
Discharge self-care score	66.67%	53.69% 13 pts better	Numerator 50 · Denominator 75
Discharge mobility score	52%	50.94% 1.1 pts better	Numerator 39 · Denominator 75
Pressure ulcers or injuries, new or worsened	0.6%	2.29% 1.7 pts better	Numerator 1 · Denominator 167 · Adjusted rate 0.49%
Healthcare-associated infections requiring hospitalization	6.14%	7.12% 1 pts better	No Different than the National Rate · Eligible stays 133 · Observed rate 6.02% · Lower 95% interval 3.66%
Staff COVID-19 vaccination coverage	22.33%	8.2% 14.1 pts better	Numerator 69 · Denominator 309
Staff flu vaccination coverage	50.73%	42% 8.7 pts better	Numerator 208 · Denominator 410
Discharge function score	68%	56.45% 11.5 pts better	Numerator 51 · Denominator 75
Transfer of health information to provider	94.55%	95.95% 1.4 pts worse	Numerator 52 · Denominator 55
Transfer of health information to patient	100%	96.28% 3.7 pts better	Numerator 75 · Denominator 75
Resident COVID-19 vaccinations up to date	28.21%	25.2% 3 pts better	Numerator 22 · Denominator 78

Quality measures

Resident outcomes and process scores

Measure	Facility	State	National	Note
Number of hospitalizations per 1000 long-stay resident days	1.9	2.3 0.4 pts better	1.9 About the same	Long Stay · 20240701-20250630 · Adjusted 1.9 · Observed 3.5 · Expected 3.4 · Used in QM five-star
Number of outpatient emergency department visits per 1000 long-stay resident days	2.6	1.6 1 pts worse	1.8 0.8 pts worse	Long Stay · 20240701-20250630 · Adjusted 2.6 · Observed 3.2 · Expected 2.1 · Used in QM five-star
Percentage of long-stay residents assessed and appropriately given the pneumococcal vaccine	100.0%	98.5% 1.5 pts better	93.4% 6.6 pts better	Long Stay · 2024Q4-2025Q3 · Q1 100.0% · Q2 100.0% · Q3 100.0% · Q4 100.0% · 4Q avg 100.0%
Percentage of long-stay residents assessed and appropriately given the seasonal influenza vaccine	100.0%	98.2% 1.8 pts better	95.5% 4.5 pts better	Long Stay · 2024Q3-2025Q2 · 4Q avg 100.0%
Percentage of long-stay residents experiencing one or more falls with major injury	0.0%	1.6% 1.6 pts better	3.3% 3.3 pts better	Long Stay · 2024Q4-2025Q3 · Q1 0.0% · Q2 0.0% · Q3 0.0% · Q4 0.0% · 4Q avg 0.0% · Used in QM five-star
Percentage of long-stay residents who have depressive symptoms	3.6%	6.8% 3.2 pts better	11.4% 7.8 pts better	Long Stay · 2024Q4-2025Q3 · Q1 0.0% · Q2 3.3% · Q3 3.5% · Q4 7.4% · 4Q avg 3.6%
Percentage of long-stay residents who lose too much weight	4.6%	4.1% 0.5 pts worse	5.4% 0.8 pts better	Long Stay · 2024Q4-2025Q3 · Q1 8.4% · Q2 1.1% · Q3 2.3% · Q4 6.1% · 4Q avg 4.6%
Percentage of long-stay residents who received an antianxiety or hypnotic medication	22.2%	13.7% 8.5 pts worse	19.6% 2.6 pts worse	Long Stay · 2024Q4-2025Q3 · Q1 23.2% · Q2 17.4% · Q3 25.0% · Q4 23.5% · 4Q avg 22.2%
Percentage of long-stay residents who received an antipsychotic medication	5.6%	14.2% 8.6 pts better	16.7% 11.1 pts better	Long Stay · 2024Q4-2025Q3 · Q1 8.2% · Q2 10.5% · Q3 5.4% · Q4 0.0% · 4Q avg 5.6% · Used in QM five-star
Percentage of long-stay residents who were physically restrained	0.0%	0.4% 0.4 pts better	0.1% 0.1 pts better	Long Stay · 2024Q4-2025Q3 · Q1 0.0% · Q2 0.0% · Q3 0.0% · Q4 0.0% · 4Q avg 0.0%
Percentage of long-stay residents whose ability to walk independently worsened	13.0%	11.0% 2 pts worse	16.3% 3.3 pts better	Long Stay · 2024Q4-2025Q3 · 4Q avg 13.0% · Used in QM five-star
Percentage of long-stay residents whose need for help with daily activities has increased	4.5%	10.7% 6.2 pts better	14.9% 10.4 pts better	Long Stay · 2024Q4-2025Q3 · Q1 2.0% · Q2 8.0% · Q3 3.9% · Q4 4.0% · 4Q avg 4.5% · Used in QM five-star
Percentage of long-stay residents with a catheter inserted and left in their bladder	0.2%	1.0% 0.8 pts better	1.0% 0.8 pts better	Long Stay · 2024Q4-2025Q3 · Q1 0.0% · Q2 0.9% · Q3 0.0% · Q4 0.0% · 4Q avg 0.2% · Used in QM five-star
Percentage of long-stay residents with a urinary tract infection	0.3%	1.2% 0.9 pts better	1.7% 1.4 pts better	Long Stay · 2024Q4-2025Q3 · Q1 0.0% · Q2 0.0% · Q3 1.1% · Q4 0.0% · 4Q avg 0.3% · Used in QM five-star
Percentage of long-stay residents with new or worsened bowel or bladder incontinence	1.5%	10.9% 9.4 pts better	19.8% 18.3 pts better	Long Stay · 2024Q4-2025Q3 · Q1 0.0% · Q2 1.6% · Q3 3.0% · Q4 1.5% · 4Q avg 1.5%
Percentage of long-stay residents with pressure ulcers	5.2%	4.7% 0.5 pts worse	5.1% 0.1 pts worse	Long Stay · 2024Q4-2025Q3 · Q1 7.4% · Q2 7.2% · Q3 3.2% · Q4 2.6% · 4Q avg 5.2% · Used in QM five-star
Percentage of short-stay residents assessed and appropriately given the pneumococcal vaccine	100.0%	94.0% 6 pts better	81.7% 18.3 pts better	Short Stay · 2024Q4-2025Q3 · Q1 100.0% · Q2 100.0% · Q3 100.0% · Q4 100.0% · 4Q avg 100.0%
Percentage of short-stay residents who had an outpatient emergency department visit	8.6%	11.2% 2.6 pts better	12.0% 3.4 pts better	Short Stay · 20240701-20250630 · Adjusted 8.6% · Observed 8.5% · Expected 11.1% · Used in QM five-star
Percentage of short-stay residents who newly received an antipsychotic medication	1.5%	1.5% About the same	1.6% 0.1 pts better	Short Stay · 2024Q4-2025Q3 · Q1 0.0% · Q2 1.1% · Q3 1.9% · Q4 2.9% · 4Q avg 1.5% · Used in QM five-star
Percentage of short-stay residents who were assessed and appropriately given the seasonal influenza vaccine	100.0%	93.2% 6.8 pts better	79.7% 20.3 pts better	Short Stay · 2024Q3-2025Q2 · 4Q avg 100.0%
Percentage of short-stay residents who were rehospitalized after a nursing home admission	18.8%	23.2% 4.4 pts better	23.9% 5.1 pts better	Short Stay · 20240701-20250630 · Adjusted 18.8% · Observed 20.5% · Expected 26.1% · Used in QM five-star

Survey summary

Recent inspection cycles

Cycle 1 Health 2024-09-12 · Fire 2024-09-12

13 health deficiencies

Top issue: Quality of Life and Care (4 deficiencies)

15 fire-safety deficiencies

Top issue: Emergency Preparedness (4 deficiencies)

Cycle 2 Health 2021-06-11 · Fire 2021-06-11

8 health deficiencies

Top issue: Resident Rights (3 deficiencies)

5 fire-safety deficiencies

Top issue: Smoke (2 deficiencies)

Cycle 3 Health 2019-09-19 · Fire 2019-09-19

9 health deficiencies

Top issue: Resident Assessment and Care Planning (3 deficiencies)

14 fire-safety deficiencies

Top issue: Smoke (5 deficiencies)

Fire safety

Fire-safety citations

F · Potential for more than minimal harm 2024-09-12

K353 · Smoke Deficiencies

Fire Safety

Inspect, test, and maintain automatic sprinkler systems.

Corrected 2024-09-30

F · Potential for more than minimal harm 2024-09-12

K918 · Gas, Vacuum, and Electrical Systems Deficiencies

Fire Safety

Have generator or other power source capable of supplying service within 10 seconds.

Corrected 2024-09-30

D · Potential for more than minimal harm 2024-09-12

K161 · Construction Deficiencies

Fire Safety

Use approved construction type or materials.

Corrected 2024-09-30

D · Potential for more than minimal harm 2024-09-12

K293 · Egress Deficiencies

Fire Safety

Have properly located and lighted "Exit" signs.

Corrected 2024-09-30

D · Potential for more than minimal harm 2024-09-12

K325 · Smoke Deficiencies

Fire Safety

Have properly installed hallway dispensers for alcohol-based hand rub.

Corrected 2024-09-30

D · Potential for more than minimal harm 2024-09-12

K355 · Smoke Deficiencies

Fire Safety

Properly select, install, inspect, or maintain portable fire extinguishes.

Corrected 2024-09-30

D · Potential for more than minimal harm 2024-09-12

K363 · Smoke Deficiencies

Fire Safety

Install corridor and hallway doors that block smoke.

Corrected 2024-09-30

D · Potential for more than minimal harm 2024-09-12

K511 · Services Deficiencies

Fire Safety

Have properly installed electrical wiring and gas equipment.

Corrected 2024-09-30

D · Potential for more than minimal harm 2024-09-12

K711 · Miscellaneous Deficiencies

Fire Safety

Provide a written emergency evacuation plan.

Corrected 2024-09-30

D · Potential for more than minimal harm 2024-09-12

K741 · Miscellaneous Deficiencies

Fire Safety

Have posted "No-smoking" signs in areas where smoking is not permitted or ashtrays provided where smoking was allowed.

Corrected 2024-09-30

C · Minimal harm 2024-09-12

E23 · Emergency Preparedness Deficiencies

Fire Safety

Establish policies and procedures for medical documentation.

Corrected 2024-09-30

C · Minimal harm 2024-09-12

E26 · Emergency Preparedness Deficiencies

Fire Safety

Establish roles under a Waiver declared by secretary.

Corrected 2024-09-30

C · Minimal harm 2024-09-12

E35 · Emergency Preparedness Deficiencies

Fire Safety

Provide family notifications of emergency plan.

Corrected 2024-09-30

C · Minimal harm 2024-09-12

E6 · Emergency Preparedness Deficiencies

Fire Safety

Conduct risk assessment and an All-Hazards approach.

Corrected 2024-09-30

C · Minimal harm 2024-09-12

K712 · Miscellaneous Deficiencies

Fire Safety

Have simulated fire drills held at unexpected times.

Corrected 2024-09-30

F · Potential for more than minimal harm 2023-10-13

K347 · Smoke Deficiencies

Fire Safety

Properly provide smoke detection systems in areas open to corridors.

Corrected 2023-10-13

D · Potential for more than minimal harm 2021-06-11

K161 · Construction Deficiencies

Fire Safety

Use approved construction type or materials.

Corrected 2021-07-07

D · Potential for more than minimal harm 2021-06-11

K211 · Egress Deficiencies

Fire Safety

Keep aisles, corridors, and exits free of obstruction in case of emergency.

Corrected 2021-07-07

D · Potential for more than minimal harm 2021-06-11

K321 · Smoke Deficiencies

Fire Safety

Ensure that special areas are constructed so that walls can resist fire for one hour or have an approved fire extinguishing system.

Corrected 2021-07-07

D · Potential for more than minimal harm 2021-06-11

K363 · Smoke Deficiencies

Fire Safety

Install corridor and hallway doors that block smoke.

Corrected 2021-07-07

C · Minimal harm 2021-06-11

E32 · Emergency Preparedness Deficiencies

Fire Safety

Provide primary/alternate means for communication.

Corrected 2021-07-07

D · Potential for more than minimal harm 2019-09-19

E23 · Emergency Preparedness Deficiencies

Fire Safety

Establish policies and procedures for medical documentation.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

E31 · Emergency Preparedness Deficiencies

Fire Safety

Provide emergency officials' contact information.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

E6 · Emergency Preparedness Deficiencies

Fire Safety

Conduct risk assessment and an All-Hazards approach.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

E9 · Emergency Preparedness Deficiencies

Fire Safety

Include a process for Emergency Preparedness collaboration.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

K161 · Construction Deficiencies

Fire Safety

Use approved construction type or materials.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

K293 · Egress Deficiencies

Fire Safety

Have properly located and lighted "Exit" signs.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

K325 · Smoke Deficiencies

Fire Safety

Have properly installed hallway dispensers for alcohol-based hand rub.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

K353 · Smoke Deficiencies

Fire Safety

Inspect, test, and maintain automatic sprinkler systems.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

K355 · Smoke Deficiencies

Fire Safety

Properly select, install, inspect, or maintain portable fire extinguishes.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

K363 · Smoke Deficiencies

Fire Safety

Install corridor and hallway doors that block smoke.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

K511 · Services Deficiencies

Fire Safety

Have properly installed electrical wiring and gas equipment.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

K918 · Gas, Vacuum, and Electrical Systems Deficiencies

Fire Safety

Have generator or other power source capable of supplying service within 10 seconds.

Corrected 2019-11-19

D · Potential for more than minimal harm 2019-09-19

K923 · Gas, Vacuum, and Electrical Systems Deficiencies

Fire Safety

Have proper medical gas storage and administration areas.

Corrected 2019-11-19

Inspection history

Recent health citations

D · Potential for more than minimal harm 2024-11-27

F761 · Pharmacy Service Deficiencies

Health

Ensure drugs and biologicals used in the facility are labeled in accordance with currently accepted professional principles; and all drugs and biologicals must be stored in locked compartments, separately locked, compartments for controlled drugs.

Corrected 2024-12-12

E · Potential for more than minimal harm 2024-09-12

F677 · Quality of Life and Care Deficiencies

Health

Provide care and assistance to perform activities of daily living for any resident who is unable.

Corrected 2024-10-04

E · Potential for more than minimal harm 2024-09-12

F697 · Quality of Life and Care Deficiencies

Health

Provide safe, appropriate pain management for a resident who requires such services.

Corrected 2024-10-04

E · Potential for more than minimal harm 2024-09-12

F725 · Nursing and Physician Services Deficiencies

Health

Provide enough nursing staff every day to meet the needs of every resident; and have a licensed nurse in charge on each shift.

Corrected 2024-10-04

D · Potential for more than minimal harm 2024-09-12

F644 · Resident Assessment and Care Planning Deficiencies

Health

Coordinate assessments with the pre-admission screening and resident review program; and referring for services as needed.

Corrected 2024-10-04

D · Potential for more than minimal harm 2024-09-12

F656 · Resident Assessment and Care Planning Deficiencies

Health

Develop and implement a complete care plan that meets all the resident's needs, with timetables and actions that can be measured.

Corrected 2024-10-04

D · Potential for more than minimal harm 2024-09-12

F657 · Resident Assessment and Care Planning Deficiencies

Health

Develop the complete care plan within 7 days of the comprehensive assessment; and prepared, reviewed, and revised by a team of health professionals.

Corrected 2024-10-04

D · Potential for more than minimal harm 2024-09-12

F658 · Resident Assessment and Care Planning Deficiencies

Health

Ensure services provided by the nursing facility meet professional standards of quality.

Corrected 2024-10-04

D · Potential for more than minimal harm 2024-09-12

F689 · Quality of Life and Care Deficiencies

Health

Ensure that a nursing home area is free from accident hazards and provides adequate supervision to prevent accidents.

Corrected 2024-10-04

D · Potential for more than minimal harm 2024-09-12

F698 · Quality of Life and Care Deficiencies

Health

Provide safe, appropriate dialysis care/services for a resident who requires such services.

Corrected 2024-10-04

D · Potential for more than minimal harm 2024-09-12

F758 · Pharmacy Service Deficiencies

Health

Implement gradual dose reductions(GDR) and non-pharmacological interventions, unless contraindicated, prior to initiating or instead of continuing psychotropic medication; and PRN orders for psychotropic medications are only used when the medication is necessary and PRN use is limited.

Corrected 2024-10-04

D · Potential for more than minimal harm 2024-09-12

F759 · Pharmacy Service Deficiencies

Health

Ensure medication error rates are not 5 percent or greater.

Corrected 2024-10-04

D · Potential for more than minimal harm 2024-09-12

F867 · Administration Deficiencies

Health

Set up an ongoing quality assessment and assurance group to review quality deficiencies and develop corrective plans of action.

Corrected 2024-10-04

D · Potential for more than minimal harm 2024-09-12

F880 · Infection Control Deficiencies

Health

Provide and implement an infection prevention and control program.

Corrected 2024-10-04

D · Potential for more than minimal harm 2024-01-31

F686 · Quality of Life and Care Deficiencies

Health

Provide appropriate pressure ulcer care and prevent new ulcers from developing.

Corrected 2024-02-21

D · Potential for more than minimal harm 2024-01-31

F726 · Nursing and Physician Services Deficiencies

Health

Ensure that nurses and nurse aides have the appropriate competencies to care for every resident in a way that maximizes each resident's well being.

Corrected 2024-02-21

D · Potential for more than minimal harm 2023-07-12

F552 · Resident Rights Deficiencies

Health

Ensure that residents are fully informed and understand their health status, care and treatments.

Corrected 2023-08-07

D · Potential for more than minimal harm 2023-07-12

F573 · Resident Rights Deficiencies

Health

Let each resident or the resident's legal representative access or purchase copies of all the resident's records.

Corrected 2023-08-07

D · Potential for more than minimal harm 2021-06-11

F550 · Resident Rights Deficiencies

Health

Honor the resident's right to a dignified existence, self-determination, communication, and to exercise his or her rights.

Corrected 2021-07-10

D · Potential for more than minimal harm 2021-06-11

F583 · Resident Rights Deficiencies

Health

Keep residents' personal and medical records private and confidential.

Corrected 2021-07-10

D · Potential for more than minimal harm 2021-06-11

F584 · Resident Rights Deficiencies

Health

Honor the resident's right to a safe, clean, comfortable and homelike environment, including but not limited to receiving treatment and supports for daily living safely.

Corrected 2021-07-10

D · Potential for more than minimal harm 2021-06-11

F677 · Quality of Life and Care Deficiencies

Health

Provide care and assistance to perform activities of daily living for any resident who is unable.

Corrected 2021-07-10

D · Potential for more than minimal harm 2021-06-11

F867 · Administration Deficiencies

Health

Set up an ongoing quality assessment and assurance group to review quality deficiencies and develop corrective plans of action.

Corrected 2021-07-10

D · Potential for more than minimal harm 2021-06-11

F880 · Infection Control Deficiencies

Health

Provide and implement an infection prevention and control program.

Corrected 2021-07-10

D · Potential for more than minimal harm 2021-06-11

F883 · Infection Control Deficiencies

Health

Develop and implement policies and procedures for flu and pneumonia vaccinations.

Corrected 2021-07-10

E · Potential for more than minimal harm 2019-09-19

F656 · Resident Assessment and Care Planning Deficiencies

Health

Develop and implement a complete care plan that meets all the resident's needs, with timetables and actions that can be measured.

Corrected 2019-10-18

E · Potential for more than minimal harm 2019-09-19

F880 · Infection Control Deficiencies

Health

Provide and implement an infection prevention and control program.

Corrected 2019-10-18

D · Potential for more than minimal harm 2019-09-19

F640 · Resident Assessment and Care Planning Deficiencies

Health

Encode each resident’s assessment data and transmit these data to the State within 7 days of assessment.

Corrected 2019-10-18

D · Potential for more than minimal harm 2019-09-19

F677 · Quality of Life and Care Deficiencies

Health

Provide care and assistance to perform activities of daily living for any resident who is unable.

Corrected 2019-10-18

D · Potential for more than minimal harm 2019-09-19

F842 · Resident Assessment and Care Planning Deficiencies

Health

Safeguard resident-identifiable information and/or maintain medical records on each resident that are in accordance with accepted professional standards.

Corrected 2019-10-18

Penalties and ownership