September 27, 1996

Retirement Care Associates, Inc.
6000 Lake Forrest Drive, Suite 200
Atlanta, Georgia 30308

We are providing this letter to you for inclusion as an exhibit to your Form
10-K filing pursuant to Item 601 of Regulation S-K.

We have read management's justification for the change in accounting for
supplies inventory (from expensing inventory when purchased to capitalizing
inventory using the cost basis) contained in the Company's Form 10-K for the
year ended June 30, 1996.  Based on our reading of the data and discussions
with Company officials of the business judgment and business planning factors
relating to the change, we believe management's justification to be
reasonable.  Accordingly, in reliance on management's determination as regards
elements of business judgment and business planning, we concur that the newly
adopted accounting principle described above is preferable in the Company's
circumstances to the method previously applied.



/s/ Coopers & Lybrand L.L.P.                                         

Atlanta, Georgia