I think that's a great plan Lexie.
You might talk to the assisted living facility, though. We wen't through this with my grandmother. She had a really nice nest egg, but as you know, those places are costly! The nest egg was burnt up in the last 3 years solely on payments to the facility. In Montana at least, the government allows each facility several "spots" for Medicare (I believe) supplement. Basically, after savings are exhausted, you fill out an application and I believe its Medicare (my mom and uncle did all the legwork there) steps up and pays the balance so they do not have to move. Grandma didn't expect to live to 90, and there is help for her to stay in the same nice place.
You might want to check into that for a plan B if parents are hell bent on the payments to the kids. The facility should be able to tell you if such a thing exists in OR. Good luck, the role reversal is difficult with parents!