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A00158 Summary:

BILL NOA00158B
 
SAME ASSAME AS UNI. S00058-B
 
SPONSORBudget
 
COSPNSR
 
MLTSPNSR
 
Amd Various Laws, generally
 
Enacts into law major components of legislation necessary to implement the health and mental hygiene budget for the 2009-2010 state fiscal plan; relates to payment by governmental agencies for general hospital inpatient services, inpatient medical assistance rates for non-public general hospitals, grants to public general hospitals, tobacco control and insurance initiatives pool distributions, health care initiatives pool distributions and payments made on behalf of persons enrolled in Medicaid managed care or family health plus; to direct the commissioners of health and mental health to enhance funding of ambulatory patient group methodology and expand certain programs; to direct the commissioners of health, and mental retardation and developmental disabilities to enhance funding of the ambulatory patient group methodology; to amend the social services law, in relation to establishing the statewide patient-centered medical home; to amend the public health law, in relation to establishing the Adirondack medical home multipayor demonstration program; to amend the social services law, in relation to Medicaid coverage of smoking cessation, cardiac rehabilitation services and substance abuse intervention; to amend the social services law, in relation to the primary care case management program; to amend the public health law, in relation to establishing the state electronic health records loan program; to amend the public authorities law, in relation to the authorization of the dormitory authority to issue bonds for health care; to amend the public health law, in relation to defining certain terms and designating pharmaceutical manufacturers; to amend the social services law, in relation to directing the commissioner of health to negotiate pharmaceutical rebates, retrospective and prospective drug utilization review, and the duration of drug therapy, the development of clinical prescribing guidelines, drug coverage for persons who are beneficiaries under Part D; to amend the social services law, in relation to electronic transmission of prescriptions; to amend the social services law, in relation to eligibility for medical assistance and the family health plus program; to amend the welfare reform act of 1997, in relation to applicants for public assistance; to amend the public health law, in relation to child insurance pans; to amend the public health law, in relation to fees for the establishment of hospitals, approval of the construction of hospitals, licensure of home care services agencies, the establishment of certified home health agencies, changes in the ownership of a home health agency hospice construction, distribution of the professional education pools, the general hospital indigent care pool and the comprehensive diagnostic and treatment centers indigent care program; to amend the elder law, in relation to the program for elderly pharmaceutical insurance coverage; to amend the insurance law, in relation to examinations and appraisals of authorized insurers and employee welfare funds; to amend the tax law and the state finance law, in relation to the sales of cigarettes and tobacco products and the health care reform act (HCRA) resources fund; to repeal certain provisions of the public health law relating to the preferred drug program and the telemedicine demonstration program; to repeal certain provisions of chapter 62 of the laws of 2003, amending the social services law and the public health law relating to expanding Medicaid coverage and rates of payment for residential health care facilities, relating thereto; to repeal certain provisions of the social services law relating to specialized HIV pharmacies, the family health plus program, eligibility for medical assistance; to repeal certain provisions of the elder law relating to the program for elderly pharmaceutical insurance coverage; and providing for the repeal of certain provisions upon the expiration thereof; to repeal certain provisions of the insurance law relating to records made available by corporations (Part C).
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A00158 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
            S. 58--B                                               A. 158--B
 
                SENATE - ASSEMBLY
 
                                       (Prefiled)
 
                                     January 7, 2009
                                       ___________
 
        IN  SENATE -- A BUDGET BILL, submitted by the Governor pursuant to arti-
          cle seven of the Constitution -- read twice and ordered  printed,  and
          when  printed to be committed to the Committee on Finance -- committee
          discharged, bill amended, ordered reprinted as amended and recommitted

          to said committee  --  committee  discharged,  bill  amended,  ordered
          reprinted as amended and recommitted to said committee
 
        IN  ASSEMBLY  --  A  BUDGET  BILL, submitted by the Governor pursuant to
          article seven of the Constitution -- read once  and  referred  to  the
          Committee  on  Ways  and  Means -- committee discharged, bill amended,
          ordered reprinted as amended and  recommitted  to  said  committee  --
          again  reported from said committee with amendments, ordered reprinted
          as amended and recommitted to said committee
 
        AN ACT to amend the public health law and the elder law, in relation  to
          the  financing for certain provisions of the public health law, making
          modifications to  the  childhood  lead  poisoning  primary  prevention
          program  and amending provisions relating to the long term care insur-

          ance education and outreach program (Part  A);  to  amend  the  public
          health  law and the social services law, in relation to long term home
          health care programs; to amend part C of chapter 58  of  the  laws  of
          2007  amending  the  social  services  law  and other laws relating to
          enacting major components of legislation necessary  to  implement  the
          health  and mental hygiene budget for the 2007-2008 state fiscal year,
          in relation to the effectiveness of certain provisions of  such  chap-
          ter; to amend the public health law, in relation to payments under the
          medical assistance program; to amend the public health law and chapter
          474  of  the  laws  of 1996, amending the education law and other laws
          relating to rates for residential health care facilities, in  relation
          to  reimbursements; to amend chapter 884 of the laws of 1990, amending

          the public health law relating to authorizing  bad  debt  and  charity
          care allowances for certified home health agencies, in relation to the
          effectiveness thereof; to amend chapter 81 of the laws of 1995, amend-
          ing  the  public  health  law  and  other  laws  relating  to  medical
          reimbursement and welfare reform, in relation  to  reimbursements  and
          the  effectiveness  thereof; to amend chapter 639 of the laws of 1996,
          amending the public health law and  other  laws  relating  to  welfare
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD12371-03-9

        S. 58--B                            2                          A. 158--B
 

          reform,  in relation to reimbursements; to amend the public health law
          and part C of chapter 58 of the  laws  of  2007  amending  the  social
          services  law and other laws relating to enacting the major components
          of  legislation  necessary  to implement the health and mental hygiene
          budget for the 2007-2008 state fiscal year, in relation  to  rates  of
          payment  by  state  governmental agencies; to amend chapter 629 of the
          laws of 1986, amending the social services law relating to  establish-
          ing  a demonstration program for the delivery of long term home health
          care services  to  certain  persons,  in  relation  to  extending  the
          provisions  thereof; to amend chapter 451 of the laws of 2007 amending
          the public health law, the social services law and the insurance  law,
          relating  to  providing enhanced consumer and provider protections, in

          relation to extending the effectiveness of certain provisions thereof;
          to amend chapter 55 of the laws of 1992,  amending  the  tax  law  and
          other  laws  relating  to  taxes,  surcharges,  fees  and  funding, in
          relation to the effectiveness thereof; to amend  chapter  942  of  the
          laws  of  1983 and chapter 541 of the laws of 1984, relating to foster
          family care demonstration programs, and to amend chapter  256  of  the
          laws of 1985, amending the social services law and other laws relating
          to foster family care demonstration programs, in relation to extending
          the  expirations  thereof;  to  amend chapter 693 of the laws of 1996,
          amending the social  services  law  relating  to  authorizing  patient
          discharge  to  hospices  and residential health care facilities, under
          the medical assistance presumptive eligibility program, in relation to

          extending the provisions of such chapter; to amend chapter 631 of  the
          laws of 1997, amending the social services law relating to authorizing
          medical  assistance  payments  to  certain  clinics  or diagnostic and
          treatment centers, in relation to extending the effectiveness thereof;
          to amend chapter 119 of the laws of 1997 relating to  authorizing  the
          department  of  health to establish certain payments to general hospi-
          tals, in relation to making such  authorization  permanent;  to  amend
          chapter  519  of  the  laws  of  1999, amending the alcoholic beverage
          control law and the public health law relating to the sale of  alcohol
          and tobacco products to minors, in relation to the effectiveness ther-
          eof;  and  to amend chapter 58 of the laws of 2008 amending the social
          services law and the public health  law  relating  to  adjustments  of

          rates  and  the  public  health  law, in relation to hospitals and the
          distribution of monies; providing for rates of payment by state  agen-
          cies for certain health care services; to amend the public health law,
          in  relation  to  assessments on general hospitals and patient service
          payments; to amend chapter 703 of the laws of 1988 relating to  enact-
          ing  the expanded health care coverage act of nineteen hundred eighty-
          eight and amending the  insurance  law  and  other  laws  relating  to
          expanded  health  care  and  catastrophic  health  care  coverage,  in
          relation to extending certain provisions thereof; to amend part  G  of
          chapter  56 of the laws of 2000, amending the public health law relat-
          ing to the sale and possession of hypodermic syringes and needles,  in
          relation to making permanent the expanded syringe access demonstration

          program;  and  to  amend chapter 659 of the laws of 1997, constituting
          the long term care integration and finance act of 1997, in relation to
          extending the effectiveness thereof; and to repeal certain  provisions
          of part G of chapter 56 of the laws of 2000 amending the public health
          law  and  other laws relating to the sale and possession of hypodermic
          syringes and needles relating to the effectiveness thereof  (Part  B);
          to amend the public health law, in relation to payment by governmental
          agencies  for  general  hospital inpatient services, inpatient medical

        S. 58--B                            3                          A. 158--B
 
          assistance rates for non-public general hospitals,  grants  to  public
          general  hospitals,  tobacco  control  and  insurance initiatives pool

          distributions, health care initiatives pool distributions and payments
          made  on behalf of persons enrolled in Medicaid managed care or family
          health plus; to direct the commissioners of health and  mental  health
          to  enhance  funding  of  the ambulatory patient group methodology and
          expand certain programs; to direct the commissioners  of  health,  and
          mental  retardation  and developmental disabilities to enhance funding
          of the ambulatory patient  group  methodology;  to  amend  the  social
          services  law,  in relation to establishing the statewide patient-cen-
          tered medical home; to amend the public health  law,  in  relation  to
          establishing  the  Adirondack  medical  home  multipayor demonstration
          program; to amend the social services law,  in  relation  to  medicaid
          coverage  of  smoking  cessation,  cardiac rehabilitation services and

          substance abuse intervention; to amend the  social  services  law,  in
          relation  to  the  primary  care case management program; to amend the
          public health law, in relation to  establishing the  state  electronic
          health  records  loan program; to amend the public authorities law, in
          relation to the authorization of  the  dormitory  authority  to  issue
          bonds  for health care; to amend the public health law, in relation to
          defining certain terms and designating  pharmaceutical  manufacturers;
          to amend the social services law, in relation to directing the commis-
          sioner  of  health  to negotiate pharmaceutical rebates, retrospective
          and prospective drug utilization review,  and  the  duration  of  drug
          therapy,  the  development  of  clinical  prescribing guidelines, drug
          coverage for persons who are beneficiaries under Part D; to amend  the

          social  services  law,  in  relation  to  electronic  transmission  of
          prescriptions; to amend the social services law, in relation to eligi-
          bility for medical assistance and the family health plus  program;  to
          amend  the  welfare  reform act of 1997, in relation to applicants for
          public assistance; to amend the public  health  law,  in  relation  to
          child  insurance plans; to amend the public health law, in relation to
          fees for the establishment of hospitals, approval of the  construction
          of hospitals, licensure of home care services agencies, the establish-
          ment  of certified home health agencies, changes in the ownership of a
          home health agency hospice construction, distribution of  the  profes-
          sional  education  pools,  the general hospital indigent care pool and
          the comprehensive  diagnostic  and  treatment  centers  indigent  care

          program; to amend the elder law, in relation to the program for elder-
          ly  pharmaceutical  insurance coverage; to amend the insurance law, in
          relation to examinations and appraisals  of  authorized  insurers  and
          employee  welfare  funds;  to  amend the tax law and the state finance
          law, in relation to the sales of cigarettes and tobacco  products  and
          the  health  care  reform act (HCRA) resources fund; to repeal certain
          provisions of the public health law relating  to  the  preferred  drug
          program  and the telemedicine demonstration program; to repeal certain
          provisions of chapter 62 of the laws  of  2003,  amending  the  social
          services  law and the public health law relating to expanding Medicaid
          coverage and rates of payment for residential health care  facilities,
          relating  thereto; to repeal certain provisions of the social services

          law relating to specialized HIV pharmacies,  the  family  health  plus
          program,   eligibility  for  medical  assistance;  to  repeal  certain
          provisions of the elder law relating to the program for elderly  phar-
          maceutical insurance coverage; and providing for the repeal of certain
          provisions  upon the expiration thereof; to repeal a certain provision
          of the insurance law relating to  records  made  available  by  corpo-

        S. 58--B                            4                          A. 158--B
 
          rations  (Part  C);  to  amend  the  public health law, in relation to
          reimbursement to residential  health  care  facilities,  to  community
          service  plans, to payments for certified home health agency services;
          to amend chapter 109 of the laws of 2006, amending the social services

          law  and  other laws relating to Medicaid reimbursement rate settings,
          in  relation  to  establishing  a  workgroup  pertaining  to  Medicaid
          reimbursement  rate-setting for residential health care facilities for
          future periods and providing for periodic reports by  such  group;  to
          amend  the  social  services  law,  in  relation  to  assisted  living
          programs, to payment for AIDS  home  care  programs,  to  establishing
          regional  long-term  care assessment centers, and in relation to Medi-
          caid extended coverage for the partnership for long-term care program;
          to amend the social services law, in relation to the consumer directed
          personal assistance program; to amend chapter 58 of the laws of  2007,
          amending the social services law and the public health law relating to
          adjustments  of rates, in relation to determination of eligibility; to

          amend chapter 58 of the laws of 2008, amending the social services law
          and the public  health  law  relating  to  adjustments  of  rates,  in
          relation  to  determination  of eligibility; to amend chapter 1 of the
          laws of 1999, amending the public health law and other laws,  relating
          to  enacting  the New York Health Care Reform Act of 2000, in relation
          to adult day health care services; and authorizing the commissioner of
          health to expend certain funds to improve the  working  conditions  of
          certain pediatric facilities (Part D); Intentionally omitted (Part E);
          in  relation  to  the  establishment of the authority of the office of
          mental health to reduce inpatient capacity through the closure of such
          wards or through the conversion of beds to develop transitional place-
          ment  programs,  notwithstanding  certain  provisions  of  the  mental

          hygiene  law  (Part  F);  Intentionally omitted (Part G); to amend the
          mental hygiene law, in relation to civil commitment of  sex  offenders
          (Part  H); Intentionally omitted (Part I); to amend the mental hygiene
          law, in relation to the consolidation of certain  developmental  disa-
          bilities  services officers (Part J); to amend the mental hygiene law,
          in relation to the closure of the Manhattan Addiction Treatment Center
          (Part K); to amend chapter 57 of the laws of 2006, establishing a cost
          of living  adjustment  for  designated  human  services  programs,  in
          relation  to  foregoing  such  adjustment  during the 2009--2010 state
          fiscal year (Part L); Intentionally omitted (Part M); to amend chapter
          119 of the laws of 1997 authorizing the department of health to estab-
          lish certain payments to general hospitals, in relation  to  extending

          the  authorization  for  the  department of health to continue certain
          payments to general hospitals (Part N); authorizing  the  commissioner
          of  mental  health  and  the  city  of New York to extend the lease of
          certain portions of Ward's Island; and  to  amend  the  administrative
          code  of the city of New York, in relation to permitting the extension
          of such lease for a period not to exceed fifty years for the continued
          purposes of the Manhattan psychiatric center and  the  Kirby  forensic
          psychiatric  center and related programs (Part O); Intentionally omit-
          ted (Part P); Intentionally omitted (Part Q); and to amend the  social
          services  law,  in  relation to recertification for medical assistance
          for a recipient of medicaid waiver services authorized by  the  office
          of mental retardation and developmental disabilities (Part R)
 

          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:

        S. 58--B                            5                          A. 158--B
 
     1    Section 1. This act enacts into law major  components  of  legislation
     2  which are necessary to implement the state fiscal plan for the 2009-2010
     3  state  fiscal  year.  Each  component  is wholly contained within a Part
     4  identified as Parts A through R. The effective date for each  particular
     5  provision contained within such Part is set forth in the last section of
     6  such Part. Any provision in any section contained within a Part, includ-
     7  ing the effective date of the Part, which makes a reference to a section
     8  "of  this  act", when used in connection with that particular component,
     9  shall be deemed to mean and refer to the corresponding  section  of  the

    10  Part  in  which  it  is  found. Section three of this act sets forth the
    11  general effective date of this act.
 
    12                                   PART A
 
    13    Section 1.  Subdivisions 9 and 10 of section 225 of the public  health
    14  law,  subdivision  9  as  added  by chapter 612 of the laws of 1990, and
    15  subdivision 10 as added by chapter 446 of the laws of 1991, are  amended
    16  to read as follows:
    17    9. Notwithstanding the provisions of any general, special or local law
    18  to  the  contrary, in cities having a population of one million or more,
    19  the sanitary code shall provide that any installation, service,  mainte-
    20  nance,  testing,  repair or modification of a backflow prevention device
    21  or any related work shall be performed in conformance with the  plumbing
    22  code  of  any such city. All employees of a licensed plumber who perform

    23  testing of backflow prevention devices shall satisfactorily complete  an
    24  approved  course in backflow prevention device testing.  Nothing in this
    25  subdivision shall require the commissioner to certify the completion  of
    26  such  approved course by such employees. For the purposes of this subdi-
    27  vision, "backflow  prevention  device"  means  an  acceptable  air  gap,
    28  reduced  pressure zone device, double check valve assembly or equivalent
    29  protective device acceptable to the commissioner  that  is  designed  to
    30  prevent  or  contain potential contamination of a public water system by
    31  means of cross-connection control.
    32    10. Notwithstanding the provisions of any general,  special  or  local
    33  law  to  the  contrary, the sanitary code of the state of New York shall
    34  provide that in any county, city having a population of  less  than  one

    35  million,  town  or  village  having  a  plumbing code, the installation,
    36  service, maintenance, testing, repair  or  modification  of  a  backflow
    37  prevention  device  or any related work shall be performed in accordance
    38  with such plumbing code. A person licensed under such plumbing code  and
    39  any  of his employees who perform testing of backflow prevention devices
    40  shall satisfactorily complete a course  in  backflow  prevention  device
    41  testing  that  has  been  approved  by the department.   Nothing in this
    42  subdivision shall require the commissioner to certify the completion  of
    43  such  approved course by such licensee or employees. For the purposes of
    44  this subdivision, "backflow prevention device" means an  acceptable  air
    45  gap, reduced pressure zone device, double check valve assembly or equiv-

    46  alent  protective device acceptable to the commissioner that is designed
    47  to prevent or contain potential contamination of a public  water  system
    48  by means of cross-connection control.
    49    §  2. Subdivision 4 of section 1352 of the public health law, as added
    50  by chapter 635 of the laws of 2007, is amended to read as follows:
    51    4. [The] To the extent that funds are available for the  purposes  set
    52  forth  in  this  subdivision,  the  commissioner  shall require that the
    53  following food service  establishments:  restaurants,  bars,  membership
    54  organizations,  fraternal  organizations,  and  private clubs, excepting

        S. 58--B                            6                          A. 158--B
 
     1  establishments licensed pursuant to section sixty-four-a of the alcohol-

     2  ic beverage control law, that are not regulated  by  the  department  of
     3  agriculture  and markets, at all times have in their employment at least
     4  one  individual  who  has been trained and certified by an organization,
     5  approved by the commissioner, which specializes in and provides instruc-
     6  tion concerning the safe  and  proper  handling,  preparation,  cooking,
     7  storage,  serving, delivery, removal and disposal of food. Attendance at
     8  any course established pursuant to this  section  shall  be  in  person,
     9  through  distance  learning methods, or through an Internet based online
    10  program. Such training shall meet the standards set forth by the commis-
    11  sioner pursuant to section thirteen hundred fifty-five  of  this  title,
    12  either:  (a)  pursuant  to  a program approved by the commissioner under
    13  such section, or (b) pursuant to a course that shall address but not  be

    14  limited to the following topics:
    15    (i) Contamination, food allergies and foodborne illness.
    16    (ii) Purchasing and receiving safe food.
    17    (iii) Keeping food safe in storage.
    18    (iv) Protecting food during preparation.
    19    (v) Protecting food during service.
    20    (vi) Sanitary facilities and equipment.
    21    (vii) Cleaning and sanitizing.
    22    (viii) Integrated pest management.
    23    (ix) Food-safety regulations and standards.
    24    (x) Employee food-safety training.
    25    The  commissioner shall allow a licensee a period of up to thirty days
    26  to come into compliance with this subdivision where an employee who  has
    27  been  certified  as  having  completed the approved food safety training
    28  program separates from his or her place of employment.
    29    § 3. Paragraph (m) of subdivision 1  of  section  201  of  the  public

    30  health law, as relettered by chapter 571 of the laws of 1976, is amended
    31  to read as follows:
    32    (m)  supervise  and  regulate  the  sanitary aspects of camps, hotels,
    33  boarding houses, public eating  and  drinking  establishments,  swimming
    34  pools,  bathing  establishments  and  other  businesses  and  activities
    35  affecting public health and where inspections otherwise occur under  the
    36  state  uniform  fire prevention and building code, respond to complaints
    37  relating to hotels, boarding houses and temporary residences as  defined
    38  in  the  state  sanitary code and inspect such facilities when otherwise
    39  necessary;
    40    § 4. Paragraphs (a) and (c) of subdivision  2  and  subdivision  3  of
    41  section  1370-a  of  the  public  health  law, paragraphs (a) and (c) of

    42  subdivision 2 as added by chapter 485 of the laws of 1992  and  subdivi-
    43  sion  3  as  added  by section 23 of part B of chapter 58 of the laws of
    44  2007, are amended to read as follows:
    45    (a) promulgate and enforce  regulations  for  screening  children  and
    46  pregnant  women, including requirements for blood lead testing, for lead
    47  poisoning, and for follow up of children and  pregnant  women  who  have
    48  elevated blood lead levels;
    49    (c)  establish  a  statewide registry of lead levels of children [with
    50  elevated lead levels] provided such  information  is  [monitored]  main-
    51  tained  as  confidential except for (i) disclosure for medical treatment
    52  purposes; [and] (ii) disclosure of non-identifying epidemiological data;

    53  and (iii) disclosure of information from such registry to the  statewide
    54  immunization   information  system  established  by  section  twenty-one
    55  hundred sixty-eight of this chapter; and

        S. 58--B                            7                          A. 158--B
 
     1    3. The department shall identify and designate [a zip code in  certain
     2  counties] areas in the state with significant concentrations of children
     3  identified with elevated blood lead levels as communities of concern for
     4  purposes  of  implementing  a  [pilot]  childhood lead poisoning primary
     5  prevention  program  [to work in cooperation with local health officials
     6  to develop a primary prevention plan for each such zip  code  identified

     7  to prevent exposure to lead-based paint], and may, within amounts appro-
     8  priated, provide grants to implement approved programs. The commissioner
     9  of  health  of  a county or part-county health district, a county health
    10  director or a public health director and, in the city of New  York,  the
    11  commissioner  of  the  New  York  city  department  of health and mental
    12  hygiene, shall develop and implement a childhood lead poisoning  primary
    13  prevention  program  to prevent exposure to lead-based paint hazards for
    14  the communities of concern in their jurisdiction. The  department  shall
    15  provide  funding  to  the  New York city department of health and mental
    16  hygiene or county health departments to implement the approved work plan

    17  for a childhood lead poisoning primary prevention program. The work plan
    18  and budget, which shall be subject to the approval  of  the  department,
    19  shall include, but not be limited to: (a) identification and designation
    20  of  an  area  or areas of high risk within communities of concern; (b) a
    21  housing inspection program that includes prioritization  and  inspection
    22  of  areas  of  high risk for lead hazards, correction of identified lead
    23  hazards using effective lead-safe work practices and, appropriate  over-
    24  sight of remediation work; (c) partnerships with other county or munici-
    25  pal  agencies or community-based organizations to build community aware-
    26  ness of the childhood lead  poisoning  primary  prevention  program  and

    27  activities,  coordinate  referrals for services, and support remediation
    28  of housing that contains lead hazards; (d) a mechanism to provide educa-
    29  tion and referral for lead testing for children and  pregnant  women  to
    30  families  who  are  encountered  in  the  course  of  conducting primary
    31  prevention inspections and other outreach activities; and  (e)  a  mech-
    32  anism  and  outreach  efforts  to  provide  housing inspections for lead
    33  hazards upon request.  The commissioner of health of a county  or  part-
    34  county  health  district,  a  county  health director or a public health
    35  director and, in the city of New York, the commissioner of the New  York
    36  city  department  of health and mental hygiene, shall also enter into an

    37  agreement  or  subcontract  with  a   municipal   government   regarding
    38  inspection  of the paint conditions in dwellings built prior to nineteen
    39  hundred seventy-eight for the area defined as the community  of  concern
    40  and  may, when qualified staff exists, designate the local housing main-
    41  tenance code enforcement agency in which the  community  of  concern  is
    42  located  as  an  agency  authorized to administer the provisions of this
    43  title pursuant to subdivision one of section thirteen  hundred  seventy-
    44  five  of this title.  A portion of grant funding received to support the
    45  local primary prevention plan may be used to  reduce  barriers  to  lead
    46  testing  of  children  and  pregnant  women  within  the  communities of

    47  concern, including the purchase of lead  testing  devices  and  supplies
    48  when the need for such resources is identified within the community. The
    49  commissioner,  the  commissioner  of  health  of a county or part-county
    50  health district, a county health director or a  public  health  director
    51  and,  in  the  city  of  New York, the commissioner of the New York city
    52  department of health and mental hygiene, is  authorized  to  enter  into
    53  agreements,  contracts, subcontracts or memoranda of understanding with,
    54  and provide technical and other resources to,  local  health  officials,
    55  local  building  code  officials,  real  property  owners, and community
    56  organizations in such areas to create and implement policies,  education


        S. 58--B                            8                          A. 158--B
 
     1  and  other  forms  of  community  outreach  to  address  lead  exposure,
     2  detection and risk reduction. [Such primary]  Primary  prevention  plans
     3  shall  target  children less than six years of age living in the highest
     4  risk  housing in the [zip code] communities of concern identified. [Such
     5  primary prevention] The plans shall also  take  into  consideration  the
     6  extent  the  weatherization  assistance  [or]  program  and  other  such
     7  programs can be used  in  [collaboration]  conjunction  with  lead-based
     8  paint  hazard risk reduction. Funding provided for this program shall be
     9  used for the activities described in this section and shall not be  used

    10  for other activities required by this title.
    11    §  5.  Subdivision  1  and  paragraph  (i) of subdivision 3 of section
    12  1370-b of the public health law, as added by chapter 485 of the laws  of
    13  1992, is amended to read as follows:
    14    1. The New York state advisory council on lead poisoning prevention is
    15  hereby  established  in  the department, to consist of the following, or
    16  their designees:  the  commissioner;  the  commissioner  of  labor;  the
    17  commissioner  of environmental conservation; the commissioner of housing
    18  and community renewal; the commissioner of  [social  services]  children
    19  and  family  services;  the  commissioner  of  temporary  and disability
    20  assistance; the secretary of state; the superintendent of insurance; and
    21  fifteen public members appointed by the  governor.  The  public  members

    22  shall  have  a  demonstrated  expertise  or  interest  in lead poisoning
    23  prevention and at least one public member  shall  be  representative  of
    24  each of the following: local government; community groups; labor unions;
    25  real  estate;  industry;  parents; educators; local housing authorities;
    26  child  health  advocates;  environmental  groups;  professional  medical
    27  organizations  and  hospitals.   The public members of the council shall
    28  have fixed terms of  three  years;  except  that  five  of  the  initial
    29  appointments  shall be for two years and five shall be for one year. The
    30  council shall be chaired by the commissioner or his or her designee.
    31    (i) To report on or before [January] December first of  each  year  to
    32  the governor and the legislature concerning the previous year's develop-

    33  ment  and  implementation  of  the  statewide  plan and operation of the
    34  program, together with recommendations it deems necessary and  the  most
    35  currently  available  lead  surveillance  measures, including the actual
    36  number and estimated percentage of children tested for lead  in  accord-
    37  ance  with  New  York  state regulations, including age-specific testing
    38  requirements, and the actual number and estimated percentage of children
    39  identified with elevated blood lead levels. Such report  shall  be  made
    40  available on the department's website.
    41    §  6.  Subdivision  3  of  section 1370-e of the public health law, as
    42  added by chapter 485 of the laws of 1992, is amended to read as follows:
    43    3. Whenever an analysis of a clinical specimen for lead  is  performed

    44  by  a laboratory or a physician or authorized practitioner, the director
    45  of such laboratory or such physician or authorized  practitioner  shall,
    46  within  such period specified by the commissioner report the results and
    47  any related information in connection therewith to the local  and  state
    48  health  officer  to  whom  a  physician  or  authorized  practitioner is
    49  required to report such cases pursuant to this section.
    50    § 7. Section 2168 of the public health law, as added by chapter 544 of
    51  the laws of 2006, is amended to read as follows:
    52    § 2168. Statewide immunization [registry] information system.  1.  The
    53  department  is  hereby  directed  to establish a statewide automated and
    54  electronic immunization [registry] information system that  will  serve,

    55  and  shall  be administered consistent with, the following public health
    56  purposes:

        S. 58--B                            9                          A. 158--B
 
     1    (a) collect reports of immunizations and thus reduce the incidence  of
     2  illness,  disability  and  death due to vaccine preventable diseases and
     3  collect results of blood lead analyses  performed  by  physician  office
     4  laboratories  to  provide  to  the  statewide registry of lead levels of
     5  children  established  pursuant to section thirteen hundred seventy-a of
     6  this chapter;
     7    (b) establish the public health infrastructure  necessary  to  obtain,
     8  collect, preserve, and disclose information relating to vaccine prevent-
     9  able disease as it may promote the health and well-being of all children
    10  in this state;

    11    (c)  make  available to an individual, or parents, guardians, or other
    12  person in a custodial relation to a child or, to local health districts,
    13  local social services districts responsible for the care and custody  of
    14  children,  health  care  providers  and  their  designees,  schools, WIC
    15  programs, and third party payers the immunization  status  of  children;
    16  and
    17    (d) appropriately protecting the confidentiality of individual identi-
    18  fying  information and the privacy of persons included in the [registry]
    19  statewide immunization information system and their families.
    20    2. For the purposes of this section:
    21    (a) The term "authorized user" shall mean any person or entity author-
    22  ized to provide information to or to receive information from the state-

    23  wide immunization [registry] information system and shall include health
    24  care providers and their designees, as defined in paragraph (d) of  this
    25  subdivision,  schools  as  defined  in paragraph a of subdivision one of
    26  section twenty-one hundred sixty-four of this title, [health maintenance
    27  organizations certified under article  forty-four  of  this  chapter  or
    28  article  forty-three of the insurance law,] third party payer as defined
    29  in paragraph (f) of this subdivision, local health districts as  defined
    30  by  paragraph  (c)  of  subdivision  one of section two of this chapter,
    31  [and] local social services districts and the  office  of  children  and
    32  family  services with regard to children in their legal custody, and WIC

    33  programs as defined in paragraph (g) of this subdivision.  An authorized
    34  user may be located outside New York state. An entity other than a local
    35  health district shall be an authorized  user  only  with  respect  to  a
    36  person  seeking  or receiving a health care service from the health care
    37  provider, a person enrolled or seeking to be enrolled in the  school,  a
    38  person  insured  by  the  [health  maintenance organization] third party
    39  payer, [or] a person  in  the  custody  of  the  local  social  services
    40  district  or  the  office  of  children and family services, or a person
    41  seeking or receiving services through WIC programs, as the case may be.
    42    (b) The term "statewide immunization [registry] information system" or

    43  "system" shall mean a statewide-computerized database maintained by  the
    44  department capable of collecting, storing, and disclosing the electronic
    45  and  paper  records  of  vaccinations received by persons under nineteen
    46  years of age.
    47    (c) The term "citywide immunization registry" shall mean the computer-
    48  ized database maintained by the city of New York  department  of  health
    49  and  mental  hygiene  capable of collecting, storing, and disclosing the
    50  electronic and paper records of vaccinations received by persons [under]
    51  less than nineteen years of age. The term "citywide immunization  regis-
    52  try"  shall  not  include  the childhood blood lead registry established
    53  pursuant to the health code of the city of New York. For the purposes of
    54  this section the term New York city  department  of  health  and  mental

    55  hygiene,  shall mean such agency or any successor agency responsible for
    56  the citywide immunization registry.

        S. 58--B                           10                          A. 158--B
 
     1    (d) The term "health care provider" shall mean any  person  authorized
     2  by  law  to order [or administer] an immunization or analysis of a blood
     3  sample for lead or any health care facility licensed under article twen-
     4  ty-eight of this chapter or any certified home health agency established
     5  under  section thirty-six hundred six of this chapter; with respect to a
     6  person seeking or receiving a health care service from the  health  care
     7  provider.
     8    (e)  For purposes of this section a school is a public health authori-
     9  ty, as defined in section 164.501 of part 45  of  the  federal  code  of

    10  rules,  responsible  for screening the immunization status of each child
    11  pursuant to section twenty-one hundred sixty-four of this article.
    12    (f) The term "third party payer" shall mean health maintenance  organ-
    13  izations  certified  under  article  forty-four  of this chapter, health
    14  service corporations licensed pursuant to  article  forty-three  of  the
    15  insurance  law,  self-insured  plans  that pay for health care services,
    16  health insurance companies subject to article thirty-two of  the  insur-
    17  ance  law  which offer preferred provider products, corporations subject
    18  to article forty-three  of  the  insurance  law  which  offer  preferred
    19  provider  products, municipal cooperative health benefit plans certified

    20  pursuant to  article  forty-seven  of  the  insurance  law  which  offer
    21  preferred  provider  products,  and  preferred provider organizations as
    22  defined in section three hundred fifty-two of the workers'  compensation
    23  law.
    24    (g)  For  purposes of this section the term "WIC program" shall mean a
    25  state or local agency, as described pursuant to section 1786 of title 42
    26  of the United States Code.
    27    (h) The term "physician office laboratory"  shall  mean  a  laboratory
    28  operated  by  a  health  care  provider  pursuant  to subdivision one of
    29  section five hundred seventy-nine of this chapter that is  certified  by
    30  the  Centers for Medicare and Medicaid Services under regulations imple-

    31  menting the federal Clinical Laboratory Improvement Amendments  of  1988
    32  (CLIA).
    33    3.  (a)  Any  health  care  provider  who administers any vaccine to a
    34  person [under] less than nineteen years of age or, on or after September
    35  first, two thousand nine, conducts a blood lead  analysis  of  a  sample
    36  obtained  from  a  person under eighteen years of age in accordance with
    37  paragraph (h) of subdivision two  of  this  section;  and  immunizations
    38  received by a person [under] less than nineteen years of age in the past
    39  if  not  already  reported,  shall report all such immunizations and the
    40  results of any blood  lead  analysis  to  the  department  in  a  format

    41  prescribed by the commissioner within fourteen days of administration of
    42  such  immunizations  or  of obtaining the results of any such blood lead
    43  analysis. Health care providers administering immunizations  to  persons
    44  [under]  less  than  nineteen years of age in the city of New York shall
    45  report, in a format prescribed by the city of New York  commissioner  of
    46  health and mental hygiene, all such immunizations to the citywide immun-
    47  ization  registry.  The  commissioner,  and for the city of New York the
    48  commissioner of health and mental hygiene, shall have the discretion  to
    49  accept  for  inclusion  in  the  [registry] system information regarding
    50  immunizations administered to individuals nineteen years of age or older

    51  with the express written consent of the vaccine. Health  care  providers
    52  who  conduct  a  blood lead analysis on a person under eighteen years of
    53  age and who report the results of such analysis to the city of New  York
    54  commissioner  of  health  and  mental  hygiene pursuant to New York city
    55  reporting requirements shall be exempt from this requirement for report-
    56  ing blood lead analysis results to the  state  commissioner  of  health;

        S. 58--B                           11                          A. 158--B
 
     1  provided,  however,  blood  lead  analysis data collected from physician
     2  office laboratories by the commissioner of health and mental hygiene  of
     3  the city of New York pursuant to the health code of the city of New York

     4  shall  be  provided  to  the  department  in  a format prescribed by the
     5  commissioner.
     6    (b) The statewide immunization  [registry]  information  system  shall
     7  provide  a method for health care providers to determine when the regis-
     8  trant is due or late for a recommended immunization and shall serve as a
     9  means for authorized users to receive prompt and  accurate  information,
    10  as reported to the [registry] system, about the vaccines that the regis-
    11  trant has received.
    12    4. (a) All information maintained by the department, or in the case of
    13  the  citywide  immunization  registry,  the  city  of New York under the
    14  provisions of this section shall be confidential except as necessary  to
    15  carry  out  the provisions of this section and shall not be released for
    16  any other purpose.

    17    (b) The department and for the city of  New  York  the  department  of
    18  health  and mental hygiene may also disclose or provide such information
    19  to an authorized user when (i) such person or agency provides sufficient
    20  identifying information satisfactory to the department to identify  such
    21  registrant  and  (ii)  such disclosure or provision of information is in
    22  the best interests of the registrant or  his  or  her  family,  or  will
    23  contribute to the protection of the public health.
    24    (c) Any data collected by the department may be included in the state-
    25  wide immunization [registry] information system and the statewide regis-
    26  try of lead levels of children if collection, storage and access of such
    27  data  is  otherwise authorized. Such data may be disclosed to the state-

    28  wide immunization [registry] information system only if provided for  in
    29  statute  and  regulation, and shall be subject to any provisions in such
    30  statute or regulation limiting the use  or  redisclosure  of  the  data.
    31  Nothing  contained  in  this paragraph shall permit inclusion of data in
    32  the statewide immunization [registry] information system  if  that  data
    33  could  not  otherwise  be  accessed  or  disclosed in the absence of the
    34  [registry] system.  For the city of New York the commissioner of  health
    35  and  mental hygiene may include data collected in the citywide immuniza-
    36  tion registry as provided in this paragraph.
    37    (d) A person, institution or agency to whom such immunization  [regis-

    38  try]  information is furnished or to whom, access to records or informa-
    39  tion has been given, shall  not  divulge  any  part  thereof  so  as  to
    40  disclose  the identity of such person to whom such information or record
    41  relates, except insofar as such disclosure is  necessary  for  the  best
    42  interests  of  the person or other persons, consistent with the purposes
    43  of this section.
    44    5. (a) All health care  providers  and  their  designees,  except  for
    45  providers  reporting to the citywide immunization registry, shall submit
    46  to the commissioner information about any  vaccinee  [under]  less  than
    47  nineteen  years  of  age  and about each vaccination given after January
    48  first, two thousand eight. The information provided  to  the  [registry]
    49  system  or the citywide immunization registry shall include the national

    50  immunization program data elements and other elements  required  by  the
    51  commissioner.  For  the  city of New York the commissioner of health and
    52  mental hygiene may require additional elements with prior notice to  the
    53  commissioner of any changes.
    54    (b)   In  addition  to  the  immunization  administration  information
    55  required by this section, the operation  of  any  immunization  registry
    56  established  under  chapter five hundred twenty-one of the laws of nine-

        S. 58--B                           12                          A. 158--B
 
     1  teen hundred ninety-four, section [11.04] 11.07 of title twenty-four  of
     2  volume eight of the compilation of the rules of the city of New York and
     3  administered  by  a  local  health  district collecting information from
     4  health  care  providers  about vaccinations previously administered to a

     5  vaccinee prior to the effective date of this section shall  provide  the
     6  commissioner access to such information.
     7    (c)  All  health  care  providers  shall provide the department or, as
     8  appropriate, the city of New York with additional or clarifying informa-
     9  tion upon request reasonably related to the purposes of this section.
    10    (d) Notwithstanding the above, submission  of  incomplete  information
    11  shall  not prohibit entry of incomplete but viable data into the [regis-
    12  try database] statewide immunization information system.
    13    (e) The commissioner of the department of health  and  mental  hygiene
    14  for the city of New York shall implement the requirements of this subdi-
    15  vision.
    16    (f)  The  immunization  status  of  children exempt from immunizations
    17  pursuant to subdivision eight of this  section  and  a  parent  claiming

    18  exemption  pursuant  to  subdivision  nine of section twenty-one hundred
    19  sixty-four of this title shall be reported by the health care provider.
    20    6. In the city of New York, the  commissioner  of  the  department  of
    21  health  and  mental  hygiene  of  the  city of New York may maintain its
    22  existing registry consistent with the requirements of this  section  and
    23  shall provide information to the commissioner and to authorized users.
    24    7.  Each parent or legal guardian of a newborn infant or a child newly
    25  enrolled in the [registry]  statewide  immunization  information  system
    26  shall  receive  information, developed by the department, describing the
    27  [registry] enrollment process and how to review and correct  information
    28  and  obtain  a  copy of the child's immunization record. The city of New

    29  York will be responsible for providing information about  the  processes
    30  for  enrollment  and  access  to the citywide immunization registry by a
    31  parent or legal guardian of a newborn infant  or  newly  enrolled  child
    32  residing in the city of New York.
    33    8.  Access  and  use  of  identifiable registrant information shall be
    34  limited to authorized users consistent with  this  subdivision  and  the
    35  purposes of this section. (a) The commissioner shall provide a method by
    36  which  authorized  users apply for access to the [registry] system.  For
    37  the city of New York, the commissioner  of  health  and  mental  hygiene
    38  shall provide a method by which authorized users apply for access to the
    39  citywide immunization registry.
    40    (b) (i) The commissioner may use the statewide immunization [registry]

    41  information  system  and  the  blood lead information in such system for
    42  purposes of outreach, quality improvement and [vaccine]  accountability,
    43  research,  epidemiological  studies  and  disease control, and to obtain
    44  blood lead test results  from  physician  office  laboratories  for  the
    45  statewide  registry  of  lead levels of children established pursuant to
    46  subdivision two of section thirteen hundred seventy-a of  this  chapter;
    47  (ii)  the  commissioner of health and mental hygiene for the city of New
    48  York may use the immunization registry and the blood lead information in
    49  such system for purposes of outreach, quality improvement and  [vaccine]
    50  accountability,  research,  epidemiological studies and disease control;

    51  (iii) local health departments shall have  access  to  the  immunization
    52  [registry]  information  system  and  the blood lead information in such
    53  system for purposes  of  outreach,  quality  improvement  and  [vaccine]
    54  accountability, epidemiological studies and disease control within their
    55  county; and

        S. 58--B                           13                          A. 158--B
 
     1    (c) health care providers and their designees shall have access to the
     2  statewide  immunization [registry] information system and the blood lead
     3  information in such system only for purposes of submission  of  informa-
     4  tion about vaccinations received by a specific registrant, determination
     5  of  the  immunization  status of a specific registrant, determination of

     6  the blood lead testing status of a specific  registrant,  submission  of
     7  the  results  from  a  blood  lead  analysis of a sample obtained from a
     8  specific registrant in accordance with paragraph (h) of subdivision  two
     9  of  this  section,  review  of practice coverage, generation of reminder
    10  notices, quality improvement and [vaccine] accountability and printing a
    11  copy of the immunization or lead testing  record  for  the  registrant's
    12  medical record, for the registrant's parent or guardian, or other person
    13  in  parental  or custodial relation to a child, or for a registrant upon
    14  reaching eighteen years of age.
    15    (d) The following authorized users shall have access to the  statewide
    16  immunization  [registry]  information system and the blood lead informa-

    17  tion in such system and  the  citywide  immunization  registry  for  the
    18  purposes  stated  in this paragraph: (i) schools for verifying immuniza-
    19  tion status for eligibility  for  admission;  (ii)  [health  maintenance
    20  organizations]  third  party  payer  for  performing  quality assurance,
    21  accountability and  outreach,  relating  to  enrollees  covered  by  the
    22  [health maintenance organization] third party payer; (iii) commissioners
    23  of  local  social  services  districts with regard to a child in his/her
    24  legal custody; [and] (iv) the commissioner of the office of children and
    25  family services with regard to children in their legal custody, and  for
    26  quality  assurance  and  accountability of commissioners of local social

    27  services districts, care and treatment of children  in  the  custody  of
    28  commissioners  of  local social services districts; and (v) WIC programs
    29  for the purposes of verifying immunization and lead testing  status  for
    30  those seeking or receiving services.
    31    9. The commissioner may judge the legitimacy of any request for immun-
    32  ization  [registry]  system  information  and  may  refuse access to the
    33  statewide  immunization  [registry]  information  system  based  on  the
    34  authenticity of the request, credibility of the authorized user or other
    35  reasons  as  provided  for  in  regulation. For the city of New York the
    36  commissioner of health and mental hygiene may judge  the  legitimacy  of
    37  requests  for  access  to  the citywide immunization registry and refuse

    38  access to the immunization registry based on  the  authenticity  of  the
    39  request, credibility of the authorized user or other reasons as provided
    40  for in regulation.
    41    10.  The person to whom any immunization record relates, or his or her
    42  parent, or guardian, or other person in parental or  custodial  relation
    43  to  such  person  may  request a copy of an immunization or lead testing
    44  record from the registrant's healthcare provider, the statewide  immuni-
    45  zation [registry] information system or the citywide immunization regis-
    46  try  according  to procedures established by the commissioner or, in the
    47  case of the citywide immunization registry, by  the  city  of  New  York
    48  commissioner of the department of health and mental hygiene.
    49    11.  The commissioner, or in the city of New York, the commissioner of

    50  the department of health and  mental  hygiene,  may  provide  registrant
    51  specific  immunization  records  to other state registries pursuant to a
    52  written agreement requiring that  the  [foreign]  out-of-state  registry
    53  conform  to national standards for maintaining the integrity of the data
    54  and will not be used for purposes inconsistent with  the  provisions  of
    55  this section.

        S. 58--B                           14                          A. 158--B
 
     1    12.  Information  that  would  be  provided upon the enrollment in the
     2  [registry] statewide immunization information system of  a  child  being
     3  vaccinated,  from birth records of all infants born in New York state on
     4  or after January first, two thousand four  shall  be  entered  into  the

     5  statewide immunization [registry] information system, except in the city
     6  of  New  York,  where birth record information shall be entered into the
     7  citywide immunization registry.
     8    13. The commissioner shall  promulgate  regulations  as  necessary  to
     9  effectuate  the  provisions  of  this  section.  Such  regulations shall
    10  include provision  for  orderly  implementation  and  operation  of  the
    11  [registry]  statewide  immunization  information  system,  including the
    12  method by which each category of authorized user may access the  [regis-
    13  try]  system.   Access standards shall include at a minimum a method for
    14  assigning and  authenticating  each  user  identification  and  password
    15  assigned.
    16    14. No authorized user shall be subjected to civil or criminal liabil-

    17  ity,  or be deemed to have engaged in unprofessional conduct for report-
    18  ing to, receiving  from,  or  disclosing  information  relating  to  the
    19  [registry]  statewide  immunization information system when made reason-
    20  ably and in good faith and in accordance with  the  provisions  of  this
    21  section or any regulation adopted thereto.
    22    § 8. Intentionally omitted.
    23    § 9. Intentionally omitted.
    24    § 10. Intentionally omitted.
    25    § 11. Intentionally omitted.
    26    § 12. Intentionally omitted.
    27    § 13. Subdivisions 3, 4, 5 and 7 of section 217-a of the elder law, as
    28  added  by  section  23  of part B of chapter 58 of the laws of 2004, are
    29  amended to read as follows:
    30    3. The commissioner of health, the superintendent of insurance and the
    31  director of the office for the aging shall appoint a state program coor-

    32  dinator to implement, administer and supervise the long term care insur-
    33  ance education and outreach program, and coordinate the  development  of
    34  the educational and informational materials. The state program coordina-
    35  tor  shall  be [a full time] an employee of the office for the aging who
    36  shall be selected from among individuals with expertise  and  experience
    37  in the fields of long term care insurance, and with other qualifications
    38  determined  by  the commissioner of health, the superintendent of insur-
    39  ance and the director of the office for the aging to be appropriate  for
    40  the position. The state program coordinator shall, within amounts avail-
    41  able,  personally  or through authorized representatives, be responsible
    42  for training staff persons of the program, including  staff  persons  of

    43  the long term care insurance resource centers, and shall provide for the
    44  collection  and  dissemination  of  timely  and  accurate long term care
    45  insurance information to said staff persons.
    46    4. The long term care insurance education and outreach  program  shall
    47  [at  a  minimum],  within  amounts  available,  consist of the following
    48  elements which shall be provided by the office for the aging:
    49    (a) educational and informational materials in print,  audio,  visual,
    50  electronic or other media;
    51    (b)  public  service  announcements,  advertisements, media campaigns,
    52  workshops, mass mailings, conferences or presentations;
    53    (c) establishment of a  toll-free  telephone  hotline  and  electronic
    54  services to provide information; and
    55    (d)  establishment of long term care insurance resource centers within
    56  each area agency on aging.

        S. 58--B                           15                          A. 158--B
 
     1    5. Long term care insurance resource centers  shall,  [at  a  minimum]
     2  within  amounts available, provide the general public with the following
     3  items or services:
     4    (a)  educational  and informational materials in print, audio, visual,
     5  electronic or other media;
     6    (b) public service  announcements,  advertisements,  media  campaigns,
     7  workshops, mass mailings, conferences or presentations; and
     8    (c)  counseling, information, referral services, and direct assistance
     9  in choosing and obtaining long term care  insurance.  Direct  assistance
    10  shall,  within  amounts available, include but not be limited to assist-
    11  ance with the following:
    12    (i) planning for the financing of long term care;

    13    (ii) understanding policy options, benefits and appeal rights;
    14    (iii) obtaining the coverage needed and the appropriate benefits; and
    15    (iv) avoiding or reporting illegal billing,  fraudulent  practices  or
    16  scams.
    17    Each  long  term  care insurance resource center shall be responsible,
    18  within amounts available, for providing a  sufficient  number  of  staff
    19  positions  (including volunteers) necessary to provide and carry out the
    20  services of the long term care insurance education and outreach program,
    21  provided that at least one position shall be filled by an individual who
    22  is employed full time and paid by the area agency  on  aging.  The  long
    23  term  care  insurance  resource center shall be responsible for ensuring
    24  that its staff persons have no conflict of  interest  in  providing  the
    25  services described in subdivision four of this section.

    26    7.  The  department of health shall produce, post on its website, make
    27  available to others for reproduction, or contract with others to develop
    28  such materials [mentioned in] required by this section [as the coordina-
    29  tor deems appropriate]. The material produced pursuant to  this  section
    30  shall  be  culturally and linguistically appropriate for the communities
    31  served by the long term care insurance resource centers. These materials
    32  shall be made available to the public free of charge.
    33    § 14. This act shall take effect immediately.
 
    34                                   PART B
 
    35    Section 1. Subdivision 2 of section 3614-a of the public health law is
    36  amended by adding a new paragraph (c) to read as follows:
    37    (c) Notwithstanding any contrary provisions of  this  section  or  any

    38  other contrary provision of law or regulation, for certified home health
    39  agencies  and  for  providers of long term home health care programs the
    40  assessment shall be thirty-five hundredths of one percent of each  agen-
    41  cy's  or  provider's  gross  receipts received from all home health care
    42  services and other operating income on a cash basis for periods  on  and
    43  after April first, two thousand nine.
    44    §  2.  Subdivision  4  of  section 3614-a of the public health law, as
    45  amended by section 66 of part B of chapter 58 of the laws  of  2005,  is
    46  amended to read as follows:
    47    4.  [For  periods  prior to January first, two thousand five, the] The
    48  commissioner is authorized to  contract  with  the  article  forty-three

    49  insurance  law  plans,  or such other administrators as the commissioner
    50  shall designate, to receive and distribute home care provider assessment
    51  funds and personal care  services  provider  assessment  funds  assessed
    52  pursuant  to  section three hundred sixty-seven-i of the social services
    53  law. In the event contracts with the article forty-three  insurance  law
    54  plans or other commissioner's designees are effectuated, the commission-

        S. 58--B                           16                          A. 158--B
 
     1  er  shall  conduct  annual audits of the receipt and distribution of the
     2  assessment funds. The reasonable costs and expenses of an  administrator
     3  as approved by the commissioner, not to exceed for personnel services on
     4  an  annual basis two hundred thousand dollars for all assessments estab-

     5  lished pursuant to this section and the personal care services  provider
     6  assessment  established  pursuant to section three hundred sixty-seven-i
     7  of the social services law, shall be paid from the assessment funds.
     8    § 3. Subdivision 2 of section 3614-b of  the  public  health  law,  as
     9  amended  by  section 9 of part CC of chapter 407 of the laws of 1999, is
    10  amended to read as follows:
    11    2. (a) The assessment shall be  six-tenths  of  one  percent  of  such
    12  licensed  home  care  services agency's gross receipts received from all
    13  patient care services and other operating income on a cash basis  begin-
    14  ning  April  first, nineteen hundred ninety-two; provided, however, that
    15  for all such gross receipts received on or after April  first,  nineteen
    16  hundred ninety-nine, such assessment shall be two-tenths of one percent,

    17  and  further  provided  that  such  assessment shall expire and be of no
    18  further effect for all such gross receipts received on or after  January
    19  first, two thousand.
    20    (b)  Notwithstanding  any  contrary  provisions of this section or any
    21  other contrary provision of law or regulation, the assessment  shall  be
    22  thirty-five  hundredths  of  one percent of each such licensed home care
    23  services  agency's  gross  receipts  received  from  all  personal  care
    24  services  and  other operating income on a cash basis for periods on and
    25  after April first, two thousand nine.
    26    § 4. Subdivision 2 of section 367-i of the  social  services  law,  as
    27  amended  by section 10 of part CC of chapter 407 of the laws of 1999, is
    28  amended to read as follows:

    29    2. (a) The assessment shall be six-tenths of one percent of each  such
    30  provider's  gross  receipts received from all personal care services and
    31  other operating income on a cash basis beginning January first, nineteen
    32  hundred ninety-one; provided, however, that for all such gross  receipts
    33  received  on  or  after  April first, nineteen hundred ninety-nine, such
    34  assessment shall be two-tenths of one percent, and further provided that
    35  such assessment shall expire and be of no further effect  for  all  such
    36  gross receipts received on or after January first, two thousand.
    37    (b)  Notwithstanding  any  contrary  provisions of this section or any
    38  other contrary provision of law or regulation, the assessment  shall  be
    39  thirty-five  hundredths  of  one  percent  of each such provider's gross

    40  receipts from all personal care services and other operating income on a
    41  cash basis for periods on and after April first, two thousand nine.
    42    § 5. (a) Notwithstanding any provision of law to the contrary, in  the
    43  event that certain "proposed or final regulations of the federal Centers
    44  for  Medicare  and  Medicaid Services," as defined in subdivision (b) of
    45  this section, become final and enforceable, the commissioner of  health,
    46  in  consultation  with  the  director  of the budget, may impose federal
    47  financial participation contingency requirements  on  expenditures  that
    48  would  otherwise be required to be made pursuant to state law but which,
    49  as a result of such final and enforceable regulations, would be required
    50  to be made entirely with non-federal funds. In such event,  the  commis-
    51  sioner  of  health, in consultation with the director of the budget, may

    52  make expenditures of such non-federal funds as he or she, in his or  her
    53  discretion, deems to be available for such purposes.
    54    (b)  For  purposes  of this section, "proposed or final regulations of
    55  the Centers for Medicare and Medicaid Services" are regulations  subject
    56  to  a  moratorium in effect until July 1, 2009 pursuant to P.L. 110-252,

        S. 58--B                           17                          A. 158--B
 
     1  as amended by P.L. 111-5, specifically:  (i)  interim  final  regulation
     2  dealing  with  case  management  and  targeted case management published
     3  December 4, 2007 (CMS-2237-IFC); (ii) final rule implementing changes to
     4  Medicaid   provider   tax   provisions   published   February  22,  2008
     5  (CMS-2275-F); (iii) final rule dealing with public provider cost  limits
     6  published  May  29,  2007 (CMS-2258-FC); (iv) proposed rule dealing with

     7  Medicaid graduate medical education published May 23, 2007 (CMS-2279-P);
     8  (v) proposed rule dealing  with  the  Medicaid  rehabilitation  services
     9  option  published  August  13,  2007  (CMS-2261-P);  and (vi) final rule
    10  concerning   school-based   services   published   December   28,   2007
    11  (CMS-2287-F)  and  a  regulation subject to a moratorium in effect until
    12  June 30, 2009 pursuant to P.L. 111-5, specifically:    final  regulation
    13  concerning  outpatient  hospital facility services published November 7,
    14  2008 (73 Federal Register 66187).
    15    § 6. Intentionally omitted.
    16    § 7. Intentionally omitted.
    17    § 8. Intentionally omitted.
    18    § 9. Intentionally omitted.
    19    § 10. Subdivision 2 of section 93 of part C of chapter 58 of the  laws
    20  of  2007  amending  the  social  services law and other laws relating to

    21  enacting the major components of legislation necessary to implement  the
    22  health  and  mental  hygiene  budget  for  the 2007-2008 fiscal year, is
    23  amended to read as follows:
    24    2. section two of this act shall expire  and  be  deemed  repealed  on
    25  March 31, [2010] 2013;
    26    §  11. Paragraph (e-1) of subdivision 12 of section 2808 of the public
    27  health law, as amended by section 64 of part C of chapter 58 of the laws
    28  of 2007, is amended to read as follows:
    29    (e-1) Notwithstanding any inconsistent provision of law or regulation,
    30  the commissioner shall provide,  in  addition  to  payments  established
    31  pursuant  to  this  article  prior to application of this section, addi-
    32  tional payments under the medical assistance program pursuant  to  title
    33  eleven of article five of the social services law for non-state operated

    34  public  residential health care facilities, including public residential
    35  health care facilities located in the county of Nassau,  the  county  of
    36  Westchester  and  the  county  of Erie, but excluding public residential
    37  health care facilities operated by a town or city within  a  county,  in
    38  aggregate  annual  amounts of up to one hundred fifty million dollars in
    39  additional payments for the state fiscal year beginning April first, two
    40  thousand six and for the state fiscal year beginning  April  first,  two
    41  thousand  seven and for the state fiscal year beginning April first, two
    42  thousand eight and for the state fiscal year beginning April first,  two
    43  thousand  nine, and for the state fiscal year beginning April first, two
    44  thousand ten and for the state fiscal year beginning  April  first,  two

    45  thousand  eleven.  The amount allocated to each eligible public residen-
    46  tial health care facility for this period shall be computed  in  accord-
    47  ance with the provisions of paragraph (f) of this subdivision, provided,
    48  however,  that  patient  days  shall  be  utilized  for such computation
    49  reflecting actual reported data for two thousand three and  each  repre-
    50  sentative succeeding year as applicable.
    51    §  12. Paragraph (a) of subdivision 1 of section 212 of chapter 474 of
    52  the laws of 1996, amending the education law and other laws relating  to
    53  rates  for  residential health care facilities, as amended by section 65
    54  of part C of chapter 58 of the laws of  2007,  is  amended  to  read  as
    55  follows:

        S. 58--B                           18                          A. 158--B
 

     1    (a) Notwithstanding any inconsistent provision of law or regulation to
     2  the  contrary,  effective beginning August 1, 1996, for the period April
     3  1, 1997 through March 31, 1998, April 1, 1998 for the  period  April  1,
     4  1998  through  March  31,  1999, August 1, 1999, for the period April 1,
     5  1999 through March 31, 2000, April 1, 2000, for the period April 1, 2000
     6  through  March  31,  2001,  April  1, 2001, for the period April 1, 2001
     7  through March 31, 2002, April 1, 2002, for  the  period  April  1,  2002
     8  through March 31, 2003, and for the state fiscal year beginning April 1,
     9  2005  through  March  31,  2006, and for the state fiscal year beginning
    10  April 1, 2006 through March 31, 2007, and  for  the  state  fiscal  year
    11  beginning April 1, 2007 through March 31, 2008, and for the state fiscal
    12  year  beginning April 1, 2008 through March 31, 2009,  and for the state

    13  fiscal year beginning April 1, 2009 through March 31, 2010, and for  the
    14  state  fiscal  year  beginning April 1, 2010 through March 31, 2011, the
    15  department of health is authorized to pay public general  hospitals,  as
    16  defined  in  subdivision  10  of  section 2801 of the public health law,
    17  operated by the state of New York or by the state university of New York
    18  or by a county, which shall not include a city with a population of over
    19  one million, of the state of New York, and those public  general  hospi-
    20  tals  located  in  the  county of Westchester, the county of Erie or the
    21  county of Nassau, additional payments for inpatient hospital services as
    22  medical assistance payments pursuant to title 11 of  article  5  of  the
    23  social  services law for patients eligible for federal financial partic-
    24  ipation under title XIX of the federal social security  act  in  medical

    25  assistance  pursuant  to  the  federal  laws  and  regulations governing
    26  disproportionate share payments to hospitals up to one  hundred  percent
    27  of  each such public general hospital's medical assistance and uninsured
    28  patient losses after all other medical assistance, including  dispropor-
    29  tionate  share  payments to such public general hospital for 1996, 1997,
    30  1998, and 1999, based initially for 1996  on  reported  1994  reconciled
    31  data  as further reconciled to actual reported 1996 reconciled data, and
    32  for 1997 based initially on reported 1995  reconciled  data  as  further
    33  reconciled  to  actual  reported  1997  reconciled  data, for 1998 based
    34  initially on reported 1995 reconciled  data  as  further  reconciled  to
    35  actual  reported  1998  reconciled  data,  for  1999  based initially on
    36  reported 1995 reconciled data as further reconciled to  actual  reported

    37  1999  reconciled  data, for 2000 based initially on reported 1995 recon-
    38  ciled data as further reconciled to actual reported 2000 data, for  2001
    39  based  initially  on reported 1995 reconciled data as further reconciled
    40  to actual reported 2001 data, for 2002 based initially on reported  2000
    41  reconciled  data as further reconciled to actual reported 2002 data, and
    42  for state fiscal years beginning on April 1, 2005,  based  initially  on
    43  reported  2000  reconciled data as further reconciled to actual reported
    44  data for 2005, and for state fiscal years beginning on  April  1,  2006,
    45  based  initially  on reported 2000 reconciled data as further reconciled
    46  to actual reported data for 2006 [and], for state fiscal years beginning
    47  on and after April 1, 2007 through March 31, 2009,  based  initially  on

    48  reported  2000  reconciled data as further reconciled to actual reported
    49  data for 2007, for state fiscal years beginning on and  after  April  1,
    50  2009,  based  initially  on  reported 2007 reconciled data, adjusted for
    51  authorized Medicaid rate changes applicable to the  state  fiscal  year,
    52  and as further reconciled to actual reported data for 2009, and to actu-
    53  al  reported data for each respective succeeding year.  The payments may
    54  be added to rates of payment or made as aggregate payments to an  eligi-
    55  ble public general hospital.

        S. 58--B                           19                          A. 158--B
 
     1    §  13. Paragraph (b) of subdivision 1 of section 211 of chapter 474 of
     2  the laws of 1996, amending the education law and other laws relating  to

     3  rates  for  residential health care facilities, as amended by section 66
     4  of part C of chapter 58 of the laws of  2007,  is  amended  to  read  as
     5  follows:
     6    (b) Notwithstanding any inconsistent provision of law or regulation to
     7  the  contrary,  effective  beginning  April  1,  2000, the department of
     8  health is authorized to pay public general hospitals, other  than  those
     9  operated  by  the state of New York or the state university of New York,
    10  as defined in subdivision 10 of section 2801 of the public  health  law,
    11  located  in  a  city  with  a  population  of over 1 million, additional
    12  initial payments for inpatient hospital services of $120 million  during
    13  each  state  fiscal  year  until  March 31, 2003, and up to $120 million
    14  during the state fiscal year beginning April 1, 2005 through  March  31,
    15  2006  and  during  the state fiscal year beginning April 1, 2006 through

    16  March 31, 2007 and during the state fiscal year beginning April 1,  2007
    17  through  March 31, 2008 and during the state fiscal year beginning April
    18  1, 2008 through March 31, 2009, and up to four  hundred  twenty  million
    19  dollars  annually  for  the  state  fiscal  year beginning April 1, 2009
    20  through March 31, 2010, and for the state fiscal year beginning April 1,
    21  2010 through March 31, 2011 and up to one hundred twenty million dollars
    22  annually for the state fiscal year beginning April 1, 2011, and annually
    23  thereafter, as medical assistance payments pursuant to title 11 of arti-
    24  cle 5 of the social services  law  for  patients  eligible  for  federal
    25  financial  participation  under title XIX of the federal social security
    26  act in medical assistance pursuant to the federal laws  and  regulations

    27  governing  disproportionate  share  payments  to  hospitals based on the
    28  relative share of each such non-state operated public  general  hospital
    29  of  medical  assistance  and  uninsured  patient  losses after all other
    30  medical assistance, including disproportionate share  payments  to  such
    31  public  general hospitals for payments made during the state fiscal year
    32  ending March 31, 2001, based initially on reported 1995 reconciled  data
    33  as  further  reconciled  to  actual  reported  2000  or 2001 data,   for
    34  payments made during the state fiscal year ending March 31, 2002,  based
    35  initially  on  reported  1995  reconciled  data as further reconciled to
    36  actual reported 2001 or 2002 data, for payments made  during  the  state
    37  fiscal  year  ending  March  31,  2003, based initially on reported 2000
    38  reconciled data as further reconciled to actual reported  2002  or  2003

    39  data, for payments made during the state fiscal year ending on and after
    40  March  31,  2006,  based  initially  on reported 2000 reconciled data as
    41  further reconciled to actual reported 2005 or 2006  data,  for  payments
    42  made  during  the  state fiscal year ending on and after March 31, 2007,
    43  based initially on reported 2000 reconciled data as  further  reconciled
    44  to  actual reported 2006 or 2007 data for payments made during the state
    45  fiscal years ending on and after March  31,  2008,  based  initially  on
    46  reported  2000  reconciled data as further reconciled to actual reported
    47  2007 or 2008 data, for payments made during the state fiscal year ending
    48  on and after March 31, 2010, based initially on reported 2007 reconciled
    49  data, adjusted for authorized Medicaid rate changes  applicable  to  the

    50  state  fiscal  year,  and  as further reconciled to actual reported 2009
    51  data, and to actual reported data for each respective  succeeding  year.
    52  The  payments  may  be  added  to  rates of payment or made as aggregate
    53  payments to an eligible public general hospital.
    54    § 14. Section 11 of chapter 884 of the  laws  of  1990,  amending  the
    55  public  health  law  relating  to  authorizing bad debt and charity care
    56  allowances for certified home health agencies, as amended by section  68

        S. 58--B                           20                          A. 158--B
 
     1  of  part  C  of  chapter  58  of the laws of 2007, is amended to read as
     2  follows:
     3    § 11. This act shall take effect immediately and:
     4    (a) sections one and three shall expire on December 31, 1996,

     5    (b)  sections  four  through ten shall expire on June 30, [2009] 2011,
     6  and
     7    (c) provided that the amendment to section 2807-b of the public health
     8  law by section two of this act shall not affect the expiration  of  such
     9  section  2807-b  as  otherwise  provided  by  law and shall be deemed to
    10  expire therewith.
    11    § 15. Subdivisions 2 and 4 of section 246 of chapter 81 of the laws of
    12  1995, amending the public health law and other laws relating to  medical
    13  reimbursement  and welfare reform, as amended by section 69 of part C of
    14  chapter 58 of the laws of 2007, are amended to read as follows:
    15    2. Sections five, seven through nine,  twelve  through  fourteen,  and
    16  eighteen  of  this  act  shall  be deemed to have been in full force and
    17  effect on and after April 1, 1995 through March  31,  1999  and  on  and

    18  after July 1, 1999 through March 31, 2000 and on and after April 1, 2000
    19  through  March 31, 2003 and on and after April 1, 2003 through March 31,
    20  2006 and on and after April 1, 2006 through March 31, 2007  and  on  and
    21  after  April  1,  2007  through March 31, 2009 and on and after April 1,
    22  2009 through March 31, 2011;
    23    4. Section one of this act shall be deemed to have been in full  force
    24  and  effect on and after April 1, 1995 through March 31, 1999 and on and
    25  after July 1, 1999 through March 31, 2000 and on and after April 1, 2000
    26  through March 31, 2003 and on and after April 1, 2003 through March  31,
    27  2006  and  on  and after April 1, 2006 through March 31, 2007 and on and
    28  after April 1, 2007 through March 31, 2009 and on  and  after  April  1,
    29  2009 through March 31, 2011.

    30    §  16. Subparagraph (iii) of paragraph (f) of subdivision 4 of section
    31  2807-c of the public health law, as amended by section 70 of part  C  of
    32  chapter 58 of the laws of 2007, is amended to read as follows:
    33    (iii)  commencing  April  first, nineteen hundred ninety-seven through
    34  March thirty-first, nineteen hundred  ninety-nine  and  commencing  July
    35  first,  nineteen  hundred  ninety-nine  through  March thirty-first, two
    36  thousand and April first, two thousand through March  thirty-first,  two
    37  thousand  five and for periods commencing April first, two thousand five
    38  through March thirty-first, two thousand six and for periods  commencing
    39  on  and  after April first, two thousand six through March thirty-first,
    40  two thousand seven, and for periods commencing on and after April first,
    41  two thousand seven through March thirty-first, two  thousand  nine,  and

    42  for  periods  commencing  on  and  after  April first, two thousand nine
    43  through March thirty-first, two thousand eleven, the reimbursable  inpa-
    44  tient  operating cost component of case based rates of payment per diag-
    45  nosis-related group, excluding any operating cost components related  to
    46  direct and indirect expenses of graduate medical education, for patients
    47  eligible  for  payments  made  by  state  governmental agencies shall be
    48  reduced by  three  and  thirty-three  hundredths  percent  to  encourage
    49  improved  productivity and efficiency. Such election shall not alter the
    50  calculation of the group price component calculated pursuant to subpara-
    51  graph (i) of paragraph (a) of subdivision seven of this section;
    52    § 17. Subparagraph (iii) of paragraph (k) of subdivision 4 of  section
    53  2807-c  of  the public health law, as amended by section 71 of part C of

    54  chapter 58 of the laws of 2007, is amended to read as follows:
    55    (iii) commencing April first, nineteen  hundred  ninety-seven  through
    56  March  thirty-first,  nineteen  hundred  ninety-nine and commencing July

        S. 58--B                           21                          A. 158--B
 
     1  first, nineteen hundred  ninety-nine  through  March  thirty-first,  two
     2  thousand  and  April first, two thousand through March thirty-first, two
     3  thousand five and commencing April  first,  two  thousand  five  through
     4  March  thirty-first, two thousand six, and for periods commencing on and
     5  after April first, two thousand  six  through  March  thirty-first,  two
     6  thousand seven, and for periods commencing on and after April first, two
     7  thousand  seven  through  March thirty-first, two thousand nine, and for

     8  periods commencing on and after April first, two thousand  nine  through
     9  March thirty-first, two thousand eleven, the operating cost component of
    10  rates  of  payment,  excluding  any operating cost components related to
    11  direct and indirect expenses of graduate medical education, for patients
    12  eligible for payments made by  a  state  governmental  agency  shall  be
    13  reduced  by  three  and  thirty-three  hundredths  percent  to encourage
    14  improved productivity and efficiency.  The facility will be eligible  to
    15  receive  the  financial incentives for the physician specialty weighting
    16  incentive towards primary care pursuant to subparagraph  (ii)  of  para-
    17  graph (a) of subdivision twenty-five of this section.
    18    §  18.  The opening paragraph of subparagraph (vi) of paragraph (b) of
    19  subdivision 5 of section 2807-c of the public health law, as amended  by

    20  section  72  of  part C of chapter 58 of the laws of 2007, is amended to
    21  read as follows:
    22    for discharges on or after April first, nineteen hundred  ninety-seven
    23  through   March  thirty-first,  nineteen  hundred  ninety-nine  and  for
    24  discharges on or after July first, nineteen hundred ninety-nine  through
    25  March  thirty-first,  two  thousand and for discharges on or after April
    26  first, two thousand through March thirty-first, two  thousand  five  and
    27  for  discharges on or after April first, two thousand five through March
    28  thirty-first, two thousand six, and for discharges  on  or  after  April
    29  first,  two thousand six through March thirty-first, two thousand seven,
    30  and for discharges on or after April first, two thousand  seven  through
    31  March  thirty-first,  two  thousand nine, and for discharges on or after

    32  April first, two thousand nine through March thirty-first, two  thousand
    33  eleven, for purposes of reimbursement of inpatient hospital services for
    34  patients  eligible for payments made by state governmental agencies, the
    35  average reimbursable inpatient operating cost per discharge of a general
    36  hospital shall, to encourage improved productivity  and  efficiency,  be
    37  the sum of:
    38    §  19.  The opening paragraph and subparagraph (i) of paragraph (c) of
    39  subdivision 5 of section 2807-c of the public health law, as amended  by
    40  section  73  of part C of chapter 58 of the laws of 2007, are amended to
    41  read as follows:
    42    Notwithstanding any inconsistent provision of this section, commencing
    43  July first, nineteen  hundred  ninety-six  through  March  thirty-first,
    44  nineteen  hundred  ninety-nine  and July first, nineteen hundred ninety-

    45  nine through March thirty-first, two thousand and April first, two thou-
    46  sand through March thirty-first, two thousand five and  for  periods  on
    47  and after April first, two thousand five through March thirty-first, two
    48  thousand six, and for periods on and after April first, two thousand six
    49  through  March  thirty-first, two thousand seven, and for periods on and
    50  after April first, two thousand seven through  March  thirty-first,  two
    51  thousand  nine,  and  for periods on and after April first, two thousand
    52  nine through March thirty-first, two thousand eleven, rates  of  payment
    53  for  a general hospital for patients eligible for payments made by state
    54  governmental agencies shall be further reduced by  the  commissioner  to
    55  encourage  improved productivity and efficiency by providers by a factor
    56  determined as follows:


        S. 58--B                           22                          A. 158--B
 
     1    (i) an aggregate reduction shall be calculated for each general hospi-
     2  tal commencing July first, nineteen  hundred  ninety-six  through  March
     3  thirty-first,  nineteen  hundred  ninety-nine  and  July first, nineteen
     4  hundred ninety-nine through March thirty-first, two thousand  and  April
     5  first,  two  thousand  through March thirty-first, two thousand five and
     6  for periods on and after April first, two thousand  five  through  March
     7  thirty-first,  two  thousand  six,  and  for  periods on and after April
     8  first, two thousand six through March thirty-first, two thousand  seven,
     9  and  for  periods  on  and after April first, two thousand seven through
    10  March thirty-first, two thousand nine, and  for  periods  on  and  after

    11  April  first, two thousand nine through March thirty-first, two thousand
    12  eleven, as the result of (A) eighty-nine million dollars on  an  annual-
    13  ized  basis  for  each year, multiplied by (B) the ratio of patient days
    14  for patients eligible for payments made by state  governmental  agencies
    15  provided  in  a  base year two years prior to the rate year by a general
    16  hospital, divided by the total of  such  patient  days  summed  for  all
    17  general hospitals; and
    18    § 20. Clause (B-1) of subparagraph (i) of paragraph (f) of subdivision
    19  11  of section 2807-c of the public health law, as amended by section 74
    20  of part C of chapter 58 of the laws of  2007,  is  amended  to  read  as
    21  follows:
    22    (B-1)  The  increase  in the statewide average case mix in the periods
    23  January first, nineteen hundred ninety-seven through March thirty-first,

    24  two thousand and on and after April first, two  thousand  through  March
    25  thirty-first,  two  thousand six and on and after April first, two thou-
    26  sand six through March thirty-first, two  thousand  seven,  and  on  and
    27  after  April  first,  two thousand seven through March thirty-first, two
    28  thousand nine, and on and after April first, two thousand  nine  through
    29  March thirty-first, two thousand eleven, from the statewide average case
    30  mix  for  the  period January first, nineteen hundred ninety-six through
    31  December thirty-first, nineteen hundred ninety-six shall not exceed  one
    32  percent  for  nineteen  hundred  ninety-seven,  two percent for nineteen
    33  hundred ninety-eight, three percent for the period January first,  nine-
    34  teen  hundred  ninety-nine through September thirtieth, nineteen hundred
    35  ninety-nine, four percent for the period October first, nineteen hundred

    36  ninety-nine through December thirty-first, nineteen hundred ninety-nine,
    37  and four percent for two thousand plus an  additional  one  percent  per
    38  year  thereafter, based on comparison of data only for patients that are
    39  eligible for medical assistance pursuant to title eleven of article five
    40  of the social services law, including such patients enrolled  in  health
    41  maintenance organizations.
    42    §  21.  Subdivision 1 of section 46 of chapter 639 of the laws of 1996
    43  amending the public health  law  and  other  laws  relating  to  welfare
    44  reform,  as amended by section 75 of part C of chapter 58 of the laws of
    45  2007, is amended to read as follows:
    46    1. Notwithstanding any inconsistent provision of law or regulation  to
    47  the  contrary,  the trend factors used to project reimbursable operating
    48  costs to the rate period for purposes of determining  rates  of  payment

    49  pursuant  to  article  28 of the public health law for general hospitals
    50  for reimbursement of inpatient hospital services  provided  to  patients
    51  eligible  for  payments made by state governmental agencies on and after
    52  April 1, 1996 through June 30, 1996 and on or after July 1, 1996 through
    53  March 31, 1999 and on and after July 1, 1999 through March 31, 2000  and
    54  on and after April 1, 2000 through March 31, 2005 and on and after April
    55  1,  2005  through  March 31, 2006 and on and after April 1, 2006 through
    56  March 31, 2007 and on and after April 1, 2007 through  March  31,  2009,

        S. 58--B                           23                          A. 158--B
 
     1  and  on and after April 1, 2009 through March 31, 2011, shall reflect no
     2  trend factor projections or adjustments for the period  April  1,  1996,
     3  through March 31, 1997.

     4    § 22. Section 4 of chapter 81 of the laws of 1995, amending the public
     5  health  law and other laws relating to medical reimbursement and welfare
     6  reform, as amended by section 76 of part C of chapter 58 of the laws  of
     7  2007, is amended to read as follows:
     8    §  4. Notwithstanding any inconsistent provision of law, except subdi-
     9  vision 15 of section 2807 of the public health law and  section  364-j-2
    10  of  the social services law and section 32-g of part F of chapter 412 of
    11  the laws of 1999, rates of payment for diagnostic and treatment  centers
    12  established  in  accordance with paragraphs (b) and (h) of subdivision 2
    13  of section 2807 of the public health law for the period ending September
    14  30, 1995 shall continue in effect through September 30, 2000 and for the
    15  periods October 1, 2000 through September 30, 2003 and October  1,  2003

    16  through  September  30,  2007  and October 1, 2007 through September 30,
    17  2009, and on and after October 1, 2009 through September 30,  2011,  and
    18  further  provided  that rates in effect on March 31, 2003 as established
    19  in accordance with paragraph (e) of subdivision 2 of section 2807 of the
    20  public health law shall continue in effect for the period April 1,  2003
    21  through  September  30,  2007  and October 1, 2007 through September 30,
    22  2009, and on and after October  1,  2009  through  September  30,  2011,
    23  provided  however  that,  subject to the approval of the director of the
    24  budget, such rates may be adjusted  to  include  expenditures  in  those
    25  components  of  rates  not  subject to the ceilings of the corresponding
    26  rate methodology.
    27    § 23. Subdivision 5 of section 246 of chapter 81 of the laws of  1995,

    28  amending  the  public  health  law  and  other  laws relating to medical
    29  reimbursement and welfare reform, as amended by section 77 of part C  of
    30  chapter 58 of the laws of 2007, is amended to read as follows:
    31    5.  Section  three  of  this  act shall be deemed to have been in full
    32  force and effect on and after April 1, 1995 through March 31,  1999  and
    33  on  and after July 1, 1999 through March 31, 2000 and on and after April
    34  1, 2000 through March 31, 2003 and on and after April  1,  2003  through
    35  March  31,  2007  and on and after April 1, 2007 through March 31, 2009,
    36  and on and after April 1, 2009 through March 31, 2011;
    37    § 24. Section 194 of chapter 474 of the laws  of  1996,  amending  the
    38  education  law  and  other  laws relating to rates of residential health
    39  care facilities, as amended by section 78 of part C of chapter 58 of the

    40  laws of 2007, is amended to read as follows:
    41    § 194. 1. Notwithstanding any inconsistent provision of law  or  regu-
    42  lation,  the  trend factors used to project reimbursable operating costs
    43  to the rate period for purposes of determining rates of payment pursuant
    44  to article 28 of the public  health  law  for  residential  health  care
    45  facilities  for reimbursement of inpatient services provided to patients
    46  eligible for payments made by state governmental agencies on  and  after
    47  April  1, 1996 through March 31, 1999 and for payments made on and after
    48  July 1, 1999 through March 31, 2000 and  on  and  after  April  1,  2000
    49  through  March 31, 2003 and on and after April 1, 2003 through March 31,
    50  2007 and on and after April 1, 2007 through March 31, 2009  and  on  and
    51  after April 1, 2009 through March 31, 2011 shall reflect no trend factor

    52  projections  or  adjustments for the period April 1, 1996, through March
    53  31, 1997.
    54    2. The commissioner of health shall adjust such rates  of  payment  to
    55  reflect  the  exclusion pursuant to this section of such specified trend
    56  factor projections or adjustments.

        S. 58--B                           24                          A. 158--B
 
     1    § 25. Subdivision 1 of section 89-a of part C of  chapter  58  of  the
     2  laws of 2007 amending the social services law and other laws relating to
     3  enacting  major  components  of  legislation  necessary to implement the
     4  health and mental hygiene budget  for  the  2007-2008  fiscal  year,  is
     5  amended to read as follows:
     6    1.  Notwithstanding  paragraph (c) of subdivision 10 of section 2807-c
     7  of the public health law and section 21 of chapter  1  of  the  laws  of

     8  1999,  as  amended, and any other inconsistent provision of law or regu-
     9  lation to the contrary,  in  determining  rates  of  payments  by  state
    10  governmental agencies effective for services provided beginning April 1,
    11  2006,  through  March  31,  2009, and on and after April 1, 2009 through
    12  March 31, 2011 for inpatient and outpatient services provided by general
    13  hospitals and for inpatient services and  outpatient  adult  day  health
    14  care services provided by residential health care facilities pursuant to
    15  article  28  of  the public health law, the commissioner of health shall
    16  apply a trend  factor  projection  of  two  and  twenty-five  hundredths
    17  percent  attributable to the period January 1, 2006 through December 31,
    18  2006, and on and after January  1,  2007,  provided,  however,  that  on

    19  reconciliation  of  such  trend  factor  for  the period January 1, 2006
    20  through December 31, 2006 pursuant to paragraph (c) of subdivision 10 of
    21  section 2807-c of the public health law, such trend factor shall be  the
    22  final  US  Consumer  Price  Index  (CPI)  for  all  urban  consumers, as
    23  published by the US Department of Labor, Bureau of Labor Statistics less
    24  twenty-five hundredths of a percentage point.
    25    § 26. Paragraph (f) of subdivision 1 of section 64 of  chapter  81  of
    26  the laws of 1995, amending the public health law and other laws relating
    27  to medical reimbursement and welfare reform, as amended by section 79 of
    28  part C of chapter 58 of the laws of 2007, is amended to read as follows:
    29    (f)  Prior  to  February  1, 2001, February 1, 2002, February 1, 2003,
    30  February 1, 2004, February 1, 2005, February 1, 2006, February 1,  2007,

    31  February 1, 2008 [and], February 1, 2009, February 1, 2010, and February
    32  1,  2011  the  commissioner  of health shall calculate the result of the
    33  statewide total  of  residential  health  care  facility  days  of  care
    34  provided  to beneficiaries of title XVIII of the federal social security
    35  act (medicare), divided by the sum of such days of  care  plus  days  of
    36  care provided to residents eligible for payments pursuant to title 11 of
    37  article  5  of the social services law minus the number of days provided
    38  to residents receiving hospice care, expressed as a percentage, for  the
    39  period  commencing  January  1,  through  November 30, of the prior year
    40  respectively, based on such data for such period. This  value  shall  be
    41  called  the  2000, 2001, 2002, 2003, 2004, 2005, 2006, 2007, 2008 [and],

    42  2009, 2010 and 2011 statewide target percentage respectively.
    43    § 27.  Subparagraph (ii) of paragraph (b) of subdivision 3 of  section
    44  64 of chapter 81 of the laws of 1995, amending the public health law and
    45  other  laws  relating  to  medical  reimbursement and welfare reform, as
    46  amended by section 80 of part C of chapter 58 of the laws  of  2007,  is
    47  amended to read as follows:
    48    (ii)  If  the  1997,  1998,  2000, 2001, 2002, 2003, 2004, 2005, 2006,
    49  2007, 2008 [and], 2009, 2010 and 2011 statewide target  percentages  are
    50  not  for  each  year  at  least  three percentage points higher than the
    51  statewide base percentage, the commissioner of  health  shall  determine
    52  the percentage by which the statewide target percentage for each year is
    53  not  at  least  three  percentage  points higher than the statewide base

    54  percentage. The percentage calculated pursuant to this  paragraph  shall
    55  be  called  the  1997,  1998,  2000, 2001, 2002, 2003, 2004, 2005, 2006,
    56  2007, 2008 [and], 2009, 2010 and  2011  statewide  reduction  percentage

        S. 58--B                           25                          A. 158--B
 
     1  respectively.  If  the  1997,  1998, 2000, 2001, 2002, 2003, 2004, 2005,
     2  2006, 2007, 2008 [and], 2009, 2010 and 2011 statewide target  percentage
     3  for  the respective year is at least three percentage points higher than
     4  the  statewide  base  percentage, the statewide reduction percentage for
     5  the respective year shall be zero.
     6    § 28.  Subparagraph (iii) of paragraph (b) of subdivision 4 of section
     7  64 of chapter 81 of the laws of 1995, amending the public health law and

     8  other laws relating to medical  reimbursement  and  welfare  reform,  as
     9  amended  by  section  81 of part C of chapter 58 of the laws of 2007, is
    10  amended to read as follows:
    11    (iii) The 1998, 2000, 2001, 2002, 2003, 2004, 2005, 2006,  2007,  2008
    12  [and],  2009,  2010  and  2011  statewide  reduction percentage shall be
    13  multiplied by one hundred two million dollars respectively to  determine
    14  the  1998,  2000,  2001, 2002, 2003, 2004, 2005, 2006, 2007, 2008 [and],
    15  2009, 2010 and 2011 statewide aggregate reduction amount.  If  the  1998
    16  and  the  2000,  2001,  2002,  2003, 2004, 2005, 2006, 2007, 2008 [and],
    17  2009, 2010 and 2011 statewide reduction percentage shall be zero respec-
    18  tively, there shall be no 1998, 2000,  2001,  2002,  2003,  2004,  2005,

    19  2006, 2007, 2008 [and], 2009, 2010 and 2011 reduction amount.
    20    §  29.  Paragraph  (b) of subdivision 5 of section 64 of chapter 81 of
    21  the laws of 1995, amending the public health law and other laws relating
    22  to medical reimbursement and welfare reform, as amended by section 82 of
    23  part C of chapter 58 of the laws of 2007, is amended to read as follows:
    24    (b) The 1996, 1997, 1998, 1999, 2000, 2001, 2002,  2003,  2004,  2005,
    25  2006,  2007,  2008  [and],  2009,  2010  and  2011  statewide  aggregate
    26  reduction amounts shall for each year be allocated by  the  commissioner
    27  of  health among residential health care facilities that are eligible to
    28  provide services to beneficiaries of title XVIII of the  federal  social
    29  security  act (medicare) and residents eligible for payments pursuant to

    30  title 11 of article 5 of the social services law on  the  basis  of  the
    31  extent  of  each  facility's  failure to achieve a two percentage points
    32  increase in  the  1996  target  percentage,  a  three  percentage  point
    33  increase  in  the  1997, 1998, 2000, 2001, 2002, 2003, 2004, 2005, 2006,
    34  2007, 2008 [and], 2009, 2010 and 2011 target percentage and  a  two  and
    35  one-quarter  percentage point increase in the 1999 target percentage for
    36  each year, compared to the base percentage,  calculated  on  a  facility
    37  specific  basis for this purpose, compared to the statewide total of the
    38  extent of each facility's failure to achieve  a  two  percentage  points
    39  increase  in  the 1996 and a three percentage point increase in the 1997
    40  and a three percentage point increase in the 1998 and  a  two  and  one-

    41  quarter  percentage  point  increase in the 1999 target percentage and a
    42  three percentage point increase in the 2000,  2001,  2002,  2003,  2004,
    43  2005,  2006,  2007,  2008  [and],  2009, 2010 and 2011 target percentage
    44  compared to the base percentage. These amounts shall be called the 1996,
    45  1997, 1998, 1999, 2000, 2001, 2002, 2003, 2004, 2005, 2006,  2007,  2008
    46  [and],  2009,  2010 and 2011 facility specific reduction amounts respec-
    47  tively.
    48    § 30. Section 228 of chapter 474 of the laws  of  1996,  amending  the
    49  education  law  and  other laws relating to rates for residential health
    50  care facilities, as amended by section 85 of part C of chapter 58 of the
    51  laws of 2007, is amended to read as follows:
    52    § 228. 1. Definitions. (a) Regions,  for  purposes  of  this  section,

    53  shall  mean  a downstate region to consist of Kings, New York, Richmond,
    54  Queens, Bronx, Nassau and Suffolk counties  and  an  upstate  region  to
    55  consist  of  all  other New York state counties. A certified home health
    56  agency or long term home health care program shall  be  located  in  the

        S. 58--B                           26                          A. 158--B
 
     1  same county utilized by the commissioner of health for the establishment
     2  of rates pursuant to article 36 of the public health law.
     3    (b)  Certified  home  health  agency  (CHHA)  shall  mean such term as
     4  defined in section 3602 of the public health law.
     5    (c) Long term home health care program (LTHHCP) shall mean  such  term
     6  as defined in subdivision 8 of section 3602 of the public health law.
     7    (d) Regional group shall mean all those CHHAs and LTHHCPs, respective-

     8  ly, located within a region.
     9    (e)  Medicaid  revenue percentage, for purposes of this section, shall
    10  mean CHHA and LTHHCP  revenues  attributable  to  services  provided  to
    11  persons  eligible  for payments pursuant to title 11 of article 5 of the
    12  social services law divided by such revenues plus CHHA and LTHHCP reven-
    13  ues attributable to services provided to beneficiaries of Title XVIII of
    14  the federal social security act (medicare).
    15    (f) Base period, for purposes of this  section,  shall  mean  calendar
    16  year 1995.
    17    (g) Target period. For purposes of this section, the 1996 target peri-
    18  od  shall  mean  August  1, 1996 through March 31, 1997, the 1997 target
    19  period shall mean January 1, 1997 through November 30,  1997,  the  1998
    20  target  period shall mean January 1, 1998 through November 30, 1998, the
    21  1999 target period shall mean January 1, 1999 through November 30, 1999,

    22  the 2000 target period shall mean January 1, 2000 through  November  30,
    23  2000, the 2001 target period shall mean January 1, 2001 through November
    24  30,  2001,  the  2002  target  period shall mean January 1, 2002 through
    25  November 30, 2002, the 2003 target period shall  mean  January  1,  2003
    26  through  November 30, 2003, the 2004 target period shall mean January 1,
    27  2004 through November 30, 2004, and the 2005 target  period  shall  mean
    28  January  1, 2005 through November 30, 2005, the 2006 target period shall
    29  mean January 1, 2006 through November 30,  2006,  and  the  2007  target
    30  period shall mean January 1, 2007 through November 30, 2007 and the 2008
    31  target  period shall mean January 1, 2008 through November 30, 2008, and
    32  the 2009 target period shall mean January 1, 2009 through  November  30,
    33  2009  and  the  2010  target  period  shall mean January 1, 2010 through

    34  November 30, 2010 and the 2011 target period shall mean January 1,  2011
    35  through November 30, 2011.
    36    2.  (a) Prior to February 1, 1997, for each regional group the commis-
    37  sioner of health shall calculate the 1996 medicaid  revenue  percentages
    38  for the period commencing August 1, 1996 to the last date for which such
    39  data is available and reasonably accurate.
    40    (b)  Prior  to  February  1, 1998, prior to February 1, 1999, prior to
    41  February 1, 2000, prior to February 1, 2001, prior to February 1,  2002,
    42  prior  to February 1, 2003, prior to February 1, 2004, prior to February
    43  1, 2005, prior to February 1, 2006, [and] prior  to  February  1,  2007,
    44  [and]  prior to February 1, 2008 [and], prior to February 1, 2009, prior

    45  to February 1, 2010 and prior to February  1,  2011  for  each  regional
    46  group  the commissioner of health shall calculate the prior year's medi-
    47  caid revenue percentages for the period  commencing  January  1  through
    48  November 30 of such prior year.
    49    3.  By September 15, 1996, for each regional group the commissioner of
    50  health shall calculate the base period medicaid revenue percentage.
    51    4. (a) For each regional  group,  the  1996  target  medicaid  revenue
    52  percentage  shall be calculated by subtracting the 1996 medicaid revenue
    53  reduction percentages from the base period medicaid revenue percentages.
    54  The 1996 medicaid revenue  reduction  percentage,  taking  into  account
    55  regional and program differences in utilization of medicaid and medicare
    56  services, for the following regional groups shall be equal to:


        S. 58--B                           27                          A. 158--B
 
     1    (i)  one  and one-tenth percentage points for CHHAs located within the
     2  downstate region;
     3    (ii)  six-tenths  of one percentage point for CHHAs located within the
     4  upstate region;
     5    (iii) one and eight-tenths percentage points for LTHHCPs located with-
     6  in the downstate region; and
     7    (iv) one and seven-tenths percentage points for LTHHCPs located within
     8  the upstate region.
     9    (b) For 1997, 1998, 2000, 2001, 2002, 2003, 2004,  2005,  2006,  2007,
    10  2008  [and],  2009,  2010  and  2011 for each regional group, the target
    11  medicaid revenue percentage for the respective year shall be  calculated
    12  by subtracting the respective year's medicaid revenue reduction percent-
    13  age  from  the  base  period  medicaid  revenue percentage. The medicaid

    14  revenue reduction percentages for 1997, 1998, 2000,  2001,  2002,  2003,
    15  2004,  2005,  2006,  2007,  2008  [and], 2009, 2010 and 2011 taking into
    16  account regional and program differences in utilization of medicaid  and
    17  medicare  services,  for the following regional groups shall be equal to
    18  for each such year:
    19    (i) one and one-tenth percentage points for CHHAs located  within  the
    20  downstate region;
    21    (ii)  six-tenths  of one percentage point for CHHAs located within the
    22  upstate region;
    23    (iii) one and eight-tenths percentage points for LTHHCPs located with-
    24  in the downstate region; and
    25    (iv) one and seven-tenths percentage points for LTHHCPs located within
    26  the upstate region.
    27    (c) For each regional group, the 1999 target medicaid revenue percent-
    28  age shall  be  calculated  by  subtracting  the  1999  medicaid  revenue

    29  reduction  percentage  from the base period medicaid revenue percentage.
    30  The 1999 medicaid revenue reduction  percentages,  taking  into  account
    31  regional and program differences in utilization of medicaid and medicare
    32  services, for the following regional groups shall be equal to:
    33    (i)  eight  hundred  twenty-five  thousandths (.825) of one percentage
    34  point for CHHAs located within the downstate region;
    35    (ii) forty-five hundredths (.45) of one  percentage  point  for  CHHAs
    36  located within the upstate region;
    37    (iii)  one  and  thirty-five  hundredths  percentage points (1.35) for
    38  LTHHCPs located within the downstate region; and
    39    (iv) one and two hundred seventy-five  thousandths  percentage  points
    40  (1.275) for LTHHCPs located within the upstate region.
    41    5.  (a) For each regional group, if the 1996 medicaid revenue percent-

    42  age is not equal to or  less  than  the  1996  target  medicaid  revenue
    43  percentage,  the  commissioner of health shall compare the 1996 medicaid
    44  revenue percentage to the 1996 target  medicaid  revenue  percentage  to
    45  determine  the  amount  of the shortfall which, when divided by the 1996
    46  medicaid  revenue  reduction  percentage,  shall  be  called  the   1996
    47  reduction  factor.  These  amounts, expressed as a percentage, shall not
    48  exceed one hundred percent. If the 1996 medicaid revenue  percentage  is
    49  equal  to  or less than the 1996 target medicaid revenue percentage, the
    50  1996 reduction factor shall be zero.
    51    (b) For 1997, 1998, 1999, 2000, 2001, 2002, 2003,  2004,  2005,  2006,
    52  2007,  2008  [and],  2009, 2010 and 2011 for each regional group, if the
    53  medicaid revenue percentage for the respective year is not equal  to  or

    54  less  than  the  target  medicaid revenue percentage for such respective
    55  year, the commissioner of health shall compare  such  respective  year's
    56  medicaid  revenue  percentage  to such respective year's target medicaid

        S. 58--B                           28                          A. 158--B
 
     1  revenue percentage to determine the amount of the shortfall which,  when
     2  divided  by the respective year's medicaid revenue reduction percentage,
     3  shall be called the reduction factor for  such  respective  year.  These
     4  amounts,  expressed  as  a  percentage,  shall  not  exceed  one hundred
     5  percent. If the medicaid revenue percentage for  a  particular  year  is
     6  equal  to  or  less than the target medicaid revenue percentage for that
     7  year, the reduction factor for that year shall be zero.
     8    6. (a) For each regional group, the 1996  reduction  factor  shall  be

     9  multiplied  by  the following amounts to determine each regional group's
    10  applicable 1996 state share reduction amount:
    11    (i) two million three hundred ninety thousand dollars ($2,390,000) for
    12  CHHAs located within the downstate region;
    13    (ii) seven hundred fifty thousand dollars ($750,000) for CHHAs located
    14  within the upstate region;
    15    (iii) one million two hundred seventy  thousand  dollars  ($1,270,000)
    16  for LTHHCPs located within the downstate region; and
    17    (iv)  five  hundred  ninety  thousand  dollars  ($590,000) for LTHHCPs
    18  located within the upstate region.
    19    For each regional group reduction, if the 1996 reduction factor  shall
    20  be zero, there shall be no 1996 state share reduction amount.
    21    (b)  For  1997,  1998, 2000, 2001, 2002, 2003, 2004, 2005, 2006, 2007,

    22  2008 [and], 2009, 2010 and 2011 for each regional group,  the  reduction
    23  factor  for  the  respective  year  shall be multiplied by the following
    24  amounts to  determine  each  regional  group's  applicable  state  share
    25  reduction amount for such respective year:
    26    (i) two million three hundred ninety thousand dollars ($2,390,000) for
    27  CHHAs located within the downstate region;
    28    (ii) seven hundred fifty thousand dollars ($750,000) for CHHAs located
    29  within the upstate region;
    30    (iii)  one  million  two hundred seventy thousand dollars ($1,270,000)
    31  for LTHHCPs located within the downstate region; and
    32    (iv) five hundred  ninety  thousand  dollars  ($590,000)  for  LTHHCPs
    33  located within the upstate region.
    34    For  each  regional  group  reduction,  if  the reduction factor for a

    35  particular year shall be zero, there shall be no state  share  reduction
    36  amount for such year.
    37    (c) For each regional group, the 1999 reduction factor shall be multi-
    38  plied by the following amounts to determine each regional group's appli-
    39  cable 1999 state share reduction amount:
    40    (i) one million seven hundred ninety-two thousand five hundred dollars
    41  ($1,792,500) for CHHAs located within the downstate region;
    42    (ii)  five  hundred sixty-two thousand five hundred dollars ($562,500)
    43  for CHHAs located within the upstate region;
    44    (iii) nine hundred fifty-two thousand five hundred dollars  ($952,500)
    45  for LTHHCPs located within the downstate region; and
    46    (iv)  four  hundred forty-two thousand five hundred dollars ($442,500)
    47  for LTHHCPs located within the upstate region.
    48    For each regional group reduction, if the 1999 reduction factor  shall

    49  be zero, there shall be no 1999 state share reduction amount.
    50    7.  (a) For each regional group, the 1996 state share reduction amount
    51  shall be allocated by the commissioner of health among CHHAs and LTHHCPs
    52  on the basis of the extent  of  each  CHHA's  and  LTHHCP's  failure  to
    53  achieve  the  1996  target  medicaid revenue percentage, calculated on a
    54  provider specific basis utilizing revenues for this  purpose,  expressed
    55  as  a  proportion  of  the  total of each CHHA's and LTHHCP's failure to
    56  achieve the 1996 target medicaid revenue percentage within the  applica-

        S. 58--B                           29                          A. 158--B
 
     1  ble  regional group. This proportion shall be multiplied by the applica-
     2  ble 1996 state share reduction amount calculation pursuant to  paragraph

     3  (a)  of  subdivision  6 of this section. This amount shall be called the
     4  1996 provider specific state share reduction amount.
     5    (b)  For  1997,  1998, 1999, 2000, 2001, 2002, 2003, 2004, 2005, 2006,
     6  2007, 2008 [and], 2009, 2010 and 2011 for each regional group, the state
     7  share reduction amount for the respective year shall be allocated by the
     8  commissioner of health among CHHAs and  LTHHCPs  on  the  basis  of  the
     9  extent  of  each CHHA's and LTHHCP's failure to achieve the target medi-
    10  caid revenue percentage for the applicable year, calculated on a provid-
    11  er specific basis utilizing revenues for this purpose,  expressed  as  a
    12  proportion  of  the total of each CHHA's and LTHHCP's failure to achieve
    13  the target medicaid revenue percentage for the  applicable  year  within
    14  the  applicable  regional  group. This proportion shall be multiplied by

    15  the applicable year's state share reduction amount calculation  pursuant
    16  to  paragraph  (b)  or (c) of subdivision 6 of this section. This amount
    17  shall be called the provider specific state share reduction  amount  for
    18  the applicable year.
    19    8.  (a)  The 1996 provider specific state share reduction amount shall
    20  be due to the state from each CHHA and LTHHCP and may be recouped by the
    21  state by March 31, 1997 in a lump sum amount or  amounts  from  payments
    22  due  to  the  CHHA  and  LTHHCP pursuant to title 11 of article 5 of the
    23  social services law.
    24    (b) The provider specific state share reduction amount for 1997, 1998,
    25  1999, 2000, 2001, 2002, 2003, 2004, 2005, 2006, 2007, 2008 [and],  2009,
    26  2010 and 2011 respectively, shall be due to the state from each CHHA and

    27  LTHHCP and each year the amount due for such year may be recouped by the
    28  state  by March 31 of the following year in a lump sum amount or amounts
    29  from payments due to the CHHA and LTHHCP pursuant to title 11 of article
    30  5 of the social services law.
    31    9. CHHAs and LTHHCPs shall submit such data and  information  at  such
    32  times  as  the  commissioner  of health may require for purposes of this
    33  section. The commissioner of health may use data available  from  third-
    34  party payors.
    35    10. On or about June 1, 1997, for each regional group the commissioner
    36  of  health  shall  calculate for the period August 1, 1996 through March
    37  31, 1997 a medicaid revenue percentage,  a  reduction  factor,  a  state
    38  share  reduction  amount,  and a provider specific state share reduction
    39  amount in accordance with the methodology provided in paragraph  (a)  of

    40  subdivision 2, paragraph (a) of subdivision 5, paragraph (a) of subdivi-
    41  sion  6 and paragraph (a) of subdivision 7 of this section. The provider
    42  specific state share reduction amount calculated in accordance with this
    43  subdivision shall be compared to the 1996 provider specific state  share
    44  reduction amount calculated in accordance with paragraph (a) of subdivi-
    45  sion 7 of this section. Any amount in excess of the amount determined in
    46  accordance  with paragraph (a) of subdivision 7 of this section shall be
    47  due to the state from each CHHA  and  LTHHCP  and  may  be  recouped  in
    48  accordance  with  paragraph (a) of subdivision 8 of this section. If the
    49  amount is less than the amount determined in accordance  with  paragraph
    50  (a)  of  subdivision 7 of this section, the difference shall be refunded
    51  to the CHHA and LTHHCP by the state no later than July 15,  1997.  CHHAs

    52  and  LTHHCPs  shall  submit  data  for the period August 1, 1996 through
    53  March 31, 1997 to the commissioner of health by April 15, 1997.
    54    11. If a CHHA or LTHHCP  fails  to  submit  data  and  information  as
    55  required for purposes of this section:

        S. 58--B                           30                          A. 158--B
 
     1    (a) such CHHA or LTHHCP shall be presumed to have no decrease in medi-
     2  caid  revenue  percentage  between  the  applicable  base period and the
     3  applicable target period for purposes of the  calculations  pursuant  to
     4  this section; and
     5    (b)  the  commissioner of health shall reduce the current rate paid to
     6  such CHHA and such LTHHCP by state  governmental  agencies  pursuant  to
     7  article  36  of the public health law by one percent for a period begin-
     8  ning on the first day of the calendar month following the applicable due

     9  date as established by the commissioner of health and  continuing  until
    10  the last day of the calendar month in which the required data and infor-
    11  mation are submitted.
    12    12. The commissioner of health shall inform in writing the director of
    13  the  budget  and the chair of the senate finance committee and the chair
    14  of the assembly ways and means committee of the results  of  the  calcu-
    15  lations pursuant to this section.
    16    § 31. Notwithstanding any inconsistent provision of law, rule or regu-
    17  lation,  the  annual percentage reductions set forth in sections twenty-
    18  six through thirty of this act shall be prorated by the commissioner  of
    19  health for periods on and after April 1, 2009.
    20    §  32.  Subdivision  5-a  of  section 246 of chapter 81 of the laws of
    21  1995, amending the public health law and other laws relating to  medical

    22  reimbursement  and welfare reform, as amended by section 86 of part C of
    23  chapter 58 of the laws of 2007, is amended to read as follows:
    24    5-a. Section sixty-four-a of this act shall be deemed to have been  in
    25  full  force and effect on and after April 1, 1995 through March 31, 1999
    26  and on and after July 1, 1999 through March 31, 2000 and  on  and  after
    27  April  1,  2000  through  March  31, 2003 and on and after April 1, 2003
    28  through March 31, 2007, and on and after April 1, 2007 through March 31,
    29  2009, and on and after April 1, 2009 through March 31, 2011;
    30    § 33. Section 64-b of chapter 81 of the laws  of  1995,  amending  the
    31  public  health  law and other laws relating to medical reimbursement and
    32  welfare reform, as amended by section 87 of part C of chapter 58 of  the
    33  laws of 2007, is amended to read as follows:

    34    §  64-b.  Notwithstanding  any  inconsistent  provision  of  law,  the
    35  provisions of subdivision 7 of section 3614 of the public health law, as
    36  amended, shall remain and be in full force and effect on April  1,  1995
    37  through March 31, 1999 and on July 1, 1999 through March 31, 2000 and on
    38  and after April 1, 2000 through March 31, 2003 and on and after April 1,
    39  2003  through  March  31,  2007,  and on and after April 1, 2007 through
    40  March 31, 2009, and on and after April 1, 2009 through March 31, 2011.
    41    § 34. Intentionally omitted.
    42    § 35. Section 3 of chapter 629 of  the  laws  of  1986,  amending  the
    43  social services law relating to establishing a demonstration program for
    44  the  delivery of long term home health care services to certain persons,
    45  as amended by section 71 of part C of chapter 58 of the laws of 2008, is
    46  amended to read as follows:

    47    § 3.  This act shall take effect July 1, 1986[, and  shall  remain  in
    48  effect  until March 31, 2012, when upon such date the provisions of this
    49  act shall be deemed repealed].
    50    § 36. Subdivision 1 of section 2807-p of  the  public  health  law  is
    51  amended by adding two new paragraphs (c) and (d) to read as follows:
    52    (c)  Notwithstanding  paragraph  (a)  of this subdivision, subdivision
    53  four-c of this section or  any  other  inconsistent  provision  of  this
    54  section,  distributions made pursuant to this section for annual periods
    55  on and after July first, two thousand nine shall be subject to a uniform
    56  reduction of two percent.

        S. 58--B                           31                          A. 158--B
 

     1    (d) The commissioner may require  facilities  receiving  distributions
     2  pursuant  to  this  section  as  a  condition  of  participating in such
     3  distributions, to provide reports and data  to  the  department  as  the
     4  commissioner  deems  necessary to adequately implement the provisions of
     5  this section.
     6    § 37. Intentionally omitted.
     7    §  38.  Subdivision 1 of section 20 of chapter 451 of the laws of 2007
     8  amending the public health law, the social services law and  the  insur-
     9  ance   law,   relating  to  providing  enhanced  consumer  and  provider
    10  protections, is amended to read as follows:
    11    1. sections four, eleven and thirteen  of this act shall  take  effect
    12  immediately  and  shall  expire  and  be deemed repealed June 30, [2009]
    13  2011;

    14    § 39. Subdivision (r) of section 427 of chapter  55  of  the  laws  of
    15  1992, amending the tax law and other laws relating to taxes, surcharges,
    16  fees  and  funding,  as amended by section 15 of part C of chapter 56 of
    17  the laws of 2007, is amended to read as follows:
    18    (r) the provisions of sections  two  hundred  eighty-six  through  two
    19  hundred  ninety-one  of  this act shall apply to all persons released on
    20  medical parole [prior to September 1, 2009,  and shall expire and be  of
    21  no further effect on September 1, 2009];
    22    § 40. Section 3 of chapter 942 of the laws of 1983, relating to foster
    23  family  care  demonstration  programs,  as amended by chapter 219 of the
    24  laws of 2007, is amended to read as follows:
    25    § 3. This act shall take effect immediately and shall expire  December
    26  31, [2009] 2013.

    27    § 41. Section 3 of chapter 541 of the laws of 1984, relating to foster
    28  family  care  demonstration  programs,  as amended by chapter 219 of the
    29  laws of 2007, is amended to read as follows:
    30    § 3. This section and subdivision two of section two of this act shall
    31  take effect immediately and the remaining provisions of this  act  shall
    32  take  effect  on the one hundred twentieth day next thereafter. This act
    33  shall expire December 31, [2009] 2013.
    34    § 42. Section 6 of chapter 256 of  the  laws  of  1985,  amending  the
    35  social services law and other laws relating to foster family care demon-
    36  stration  programs,  as  amended  by chapter 219 of the laws of 2007, is
    37  amended to read as follows:
    38    § 6. This act shall take effect immediately and shall expire  December

    39  31,  [2009]  2013 and upon such date the provisions of this act shall be
    40  deemed to be repealed.
    41    § 43. Section 2 of chapter 693 of  the  laws  of  1996,  amending  the
    42  social services law relating to authorizing patient discharge to hospic-
    43  es  and residential health care facilities, under the medical assistance
    44  presumptive eligibility program, as amended by chapter 124 of  the  laws
    45  of 2006, is amended to read as follows:
    46    §  2.  This  act  shall  take  effect immediately[ and shall be deemed
    47  repealed on July 31, 2009].
    48    § 44. Section 2 of chapter 631 of  the  laws  of  1997,  amending  the
    49  social  services law relating to authorizing medical assistance payments
    50  to certain clinics or diagnostic and treatment centers,  as  amended  by
    51  chapter 47 of the laws of 2007, is amended to read as follows:

    52    §  2.  This  act  shall take effect immediately and shall be deemed to
    53  apply to claims for reimbursement payments whether submitted before,  on
    54  or after the effective date of this act[, and shall expire and be deemed
    55  repealed July 1, 2009].

        S. 58--B                           32                          A. 158--B
 
     1    § 45. Section 4 of chapter 519 of the laws of 1999, amending the alco-
     2  holic  beverage  control  law  and the public health law relating to the
     3  sale of alcohol and tobacco products to minors, as  amended  by  chapter
     4  594 of the laws of 2007, is amended to read as follows:
     5    §  4.  This act shall take effect September 1, 1999[, and shall remain
     6  in full force and effect until January 1, 2010 when upon such  date  the

     7  provisions  of  this act shall expire and be deemed repealed]; provided,
     8  however, the state liquor authority, state department of motor  vehicles
     9  and  state  department  of health shall promulgate rules and regulations
    10  necessary to implement the provisions of this  act  on  or  before  such
    11  date;  [provided  further  that  the  provisions of this act shall apply
    12  after such expiration date to any proceeding pursuant to  the  alcoholic
    13  beverage  control  law  or  public  health  law to invoke or enforce the
    14  provisions of this act which were commenced  prior  to  such  expiration
    15  date;]  and  provided,  further  however, that the amendments to section
    16  65-b of the alcoholic beverage control law made by section two  of  this
    17  act  shall  not  affect  the  repeal of such section and shall be deemed

    18  repealed therewith.
    19    § 46. The opening paragraph of subdivision 7-a of section 3614 of  the
    20  public  health  law, as amended by section 89 of part C of chapter 58 of
    21  the laws of 2007, is amended to read as follows:
    22    Notwithstanding any inconsistent provision of law or  regulation,  for
    23  the  purposes  of establishing rates of payment by governmental agencies
    24  for long term home health care programs for the period April first,  two
    25  thousand five, through December thirty-first, two thousand five, and for
    26  the  period  January first, two thousand six through March thirty-first,
    27  two thousand seven, and on and after April  first,  two  thousand  seven
    28  through  March  thirty-first,  two thousand nine, and on and after April
    29  first, two thousand nine through March thirty-first, two thousand  elev-

    30  en,  the  reimbursable  base  year administrative and general costs of a
    31  provider of services shall not exceed the  statewide  average  of  total
    32  reimbursable  base year administrative and general costs of such provid-
    33  ers of services.
    34    § 46-a. Section 365-a of the social services law is amended by  adding
    35  a new subdivision 8 to read as follows:
    36    8.  When  a  non-governmental  entity  is authorized by the department
    37  pursuant to contract or subcontract to make prior authorization or prior
    38  approval determinations that may be required for  any  item  of  medical
    39  assistance, a recipient may challenge any action taken or failure to act
    40  in connection with a prior authorization or prior approval determination
    41  as  if such determination were made by a government entity, and shall be

    42  entitled to the same medical assistance benefits and  standards  and  to
    43  the  same notice and procedural due process rights, including a right to
    44  a fair hearing and aid continuing pursuant to section twenty-two of this
    45  chapter, as if the prior authorization or prior  approval  determination
    46  were made by a government entity.
    47    §  47. Section 11 of part C of chapter 58 of the laws of 2008 amending
    48  the social services law and the public health law  relating  to  adjust-
    49  ments  of  rates,  as amended by section 1 of part I of chapter 2 of the
    50  laws of 2009, is amended to read as follows:
    51    § 11.  1. Notwithstanding paragraph (c) of subdivision 10  of  section
    52  2807-c  of the public health law, subdivision 2-b of section 2808 of the
    53  public health law, section 21 of chapter 1 of the laws of 1999, and  any

    54  other  contrary  provision  of law, but subject to subparagraph (iii) of
    55  paragraph [(b)] (a) of subdivision 33 of section 2807-c  of  the  public
    56  health law, in determining rates of payments by state governmental agen-

        S. 58--B                           33                          A. 158--B
 
     1  cies  effective  for  services  provided on and after April 1, 2008, for
     2  inpatient and outpatient services provided  by  general  hospitals,  for
     3  inpatient  services  and  adult  day  health  care  outpatient  services
     4  provided by residential health care facilities pursuant to article 28 of
     5  the  public  health  law,  except for residential health care facilities
     6  that provide extensive nursing, medical,  psychological  and  counseling
     7  support  services  to  children,  for home health care services provided

     8  pursuant to article 36 of the public health law by certified home health
     9  agencies and long  term  home  health  care  programs,  other  than  for
    10  services  provided  to  home care patients diagnosed with AIDS as deter-
    11  mined by applicable regulations, and  personal  care  services  provided
    12  pursuant  to  paragraph  (e)  of subdivision two of section 365-a of the
    13  social services law, the commissioner of  health  shall  apply  a  trend
    14  factor  projection equal to sixty-five percent of the otherwise applica-
    15  ble trend factor projection attributable to the period January  1,  2008
    16  through  December  31, 2008 in accordance with paragraph (c) of subdivi-
    17  sion 10 of section 2807-c of the public health law,  provided,  however,
    18  that  for  rates of payment effective for services provided on and after
    19  January 1, 2009, the final trend factor projections attributable to  the

    20  2008  calendar  year  period  shall  be  further  adjusted such that any
    21  increase to the average trend factor projections for the period April 1,
    22  2008 through December 31, 2008 shall be reduced, on an annualized basis,
    23  by one and three tenths percentage points and provided further, however,
    24  that on and after April 1, 2009, such trend factor projections,  includ-
    25  ing  services  provided  to  home  care  patients diagnosed with AIDS as
    26  determined by applicable regulations, shall be further reduced to  zero,
    27  and  provided  further,  however, no retroactive adjustment to such 2008
    28  trend factor projection shall be made  for  the  period  April  1,  2008
    29  through December 31, 2008 pursuant to subparagraph 3 of paragraph (c) of
    30  subdivision  10  of section 2807-c of the public health law and provided

    31  further, however, that for rates of payment for assisted living  program
    32  services  provided  on and after April 1, 2009, trend factor projections
    33  attributable to the 2008 calendar year shall be  reduced  to  zero,  and
    34  further  provided,  however, that for rates of payment for personal care
    35  services provided on and after April 1, 2009, in those  social  services
    36  districts,  including  New  York  city,  whose rates of payment for such
    37  services are issued by such social  services  districts  pursuant  to  a
    38  rate-setting  exemption  issued  by  the  commissioner of health to such
    39  social services districts in  accordance  with  applicable  regulations,
    40  trend factor projections attributable to the 2008 calendar year shall be
    41  reduced to zero.

    42    §  48.  Notwithstanding  paragraph  (c)  of  subdivision 10 of section
    43  2807-c of the public health law, subdivision 2-b of section 2808 of  the
    44  public  health law, section 21 of chapter 1 of the laws of 1999, section
    45  5 of part F of chapter 497 of the laws of 2008 and  any  other  contrary
    46  provision of law, in determining rates of payments by state governmental
    47  agencies effective for services provided on and after [January] April 1,
    48  2009,  for  inpatient and outpatient services provided by general hospi-
    49  tals, for inpatient  services  and  adult  day  health  care  outpatient
    50  services  provided  by  residential  health  care facilities pursuant to
    51  article 28 of the public health law, except for residential health  care
    52  facilities  that  provide  extensive nursing, medical, psychological and

    53  counseling support services to children, for home health  care  services
    54  provided  pursuant  to  article 36 of the public health law by certified
    55  home health agencies, long term home health care programs and AIDS  home
    56  care  programs,  and  for  personal  care  services provided pursuant to

        S. 58--B                           34                          A. 158--B
 
     1  section 367-i of the social services law,  the  commissioner  of  health
     2  shall  apply  zero  trend  factor  projections  attributable to the 2009
     3  calendar year in accordance with paragraph  (c)  of  subdivision  10  of
     4  section  2807-c  of  the public health law, provided, however, that such
     5  zero trend factor projections for such 2009 calendar year shall also  be
     6  applied to rates of payment for personal care services provided in those

     7  local social services districts, including New York city, whose rates of
     8  payment  for such services are established by such local social services
     9  districts pursuant to a rate-setting exemption issued by the commission-
    10  er of health to such local social services districts in accordance  with
    11  applicable regulations, and provided further, however, that for rates of
    12  payment  for  assisted  living  program  services  provided on and after
    13  [January] April 1, 2009, trend factor projections  attributable  to  the
    14  2009 calendar year shall be established at zero percent.
    15    2. The commissioner of health shall adjust rates of payment to reflect
    16  the  exclusion  pursuant  to this section of such specified trend factor
    17  projections or adjustments.
    18    § 49. Paragraph (a) of subdivision 2 of section 2807-d of  the  public

    19  health  law  is  amended  by  adding  a new subparagraph (vi) to read as
    20  follows:
    21    (vi) Notwithstanding any contrary provisions of this paragraph or  any
    22  other  provision of law or regulation, for general hospitals the assess-
    23  ment shall be thirty-five hundredths of  one  percent  of  each  general
    24  hospital's  gross  receipts  received from all patient care services and
    25  other operating income on a cash basis for periods on  and  after  April
    26  first,  two  thousand  nine,  for  hospital  or health-related services,
    27  including, but not limited to inpatient services,  outpatient  services,
    28  emergency services, referred ambulatory services and ambulatory surgical
    29  services,  but not including residential health care facilities services

    30  or home health care services.
    31    § 50.  Paragraphs (b), (c), (d) and (e) of subdivision  2  of  section
    32  2807-j  of  the public health law, as amended by section 41 of part B of
    33  chapter 58 of the laws of 2005, are amended to read as follows:
    34    (b) The total percentage allowance for each payor, other than  govern-
    35  mental  agencies,  or  health  maintenance  organizations  for  services
    36  provided to subscribers eligible  for  medical  assistance  pursuant  to
    37  title  eleven  of  article  five of the social services law, or approved
    38  organizations for services provided  to  subscribers  eligible  for  the
    39  family health plus program pursuant to title eleven-D of article five of
    40  the  social services law, and other than payments for a patient that has
    41  no third-party coverage in whole or in part for services provided  by  a
    42  designated provider of services, shall be:

    43    (i)  the  sum  of (A) eight and eighteen-hundredths percent, provided,
    44  however, that for services provided on and after July first,  two  thou-
    45  sand  three,  the  percentage  shall be eight and eighty-five hundredths
    46  percent, and further provided that for services provided  on  and  after
    47  January first, two thousand six, the percentage shall be eight and nine-
    48  ty-five  hundredths  percent,  and  further  provided  that for services
    49  provided on and after April first, two  thousand  nine,  the  percentage
    50  shall  be  nine and sixty-three hundredths percent, plus (B) twenty-four
    51  percent, provided, however, that for services provided on and after July
    52  first, two thousand three, the percentage shall be twenty-five and nine-
    53  ty-seven hundredths percent, and  further  provided  that  for  services

    54  provided  on  and  after January first, two thousand six, the percentage
    55  shall be twenty-six  and  twenty-six  hundredths  percent,  and  further
    56  provided  that for services provided on and after April first, two thou-

        S. 58--B                           35                          A. 158--B
 
     1  sand  nine,  the  percentage  shall  be  twenty-eight  and  twenty-seven
     2  hundredths  percent,  and  plus (C) for a specified third-party payor as
     3  defined in subdivision one-a of section twenty-eight hundred seven-s  of
     4  this  article the percentage allowance applicable for a general hospital
     5  for inpatient hospital services pursuant to subdivision two  of  section
     6  twenty-eight hundred seven-s of this article;
     7    (ii) unless (A) an election in accordance with paragraph (a) of subdi-

     8  vision five of this section to pay the allowance directly to the commis-
     9  sioner  or  the  commissioner's  designee is in effect for a third-party
    10  payor, and in addition (B) for a specified third-party payor an election
    11  to pay the assessment in accordance with  section  twenty-eight  hundred
    12  seven-t of this article is in effect.
    13    (c) If an election in accordance with subdivision five of this section
    14  is  in effect for a third-party payor and in addition in accordance with
    15  section twenty-eight hundred seven-t of this  article  for  a  specified
    16  third-party  payor,  the  total  percentage  allowance  factor  shall be
    17  reduced to eight and  eighteen-hundredths  percent,  provided,  however,
    18  that  for  services provided on and after July first, two thousand three
    19  the total percentage allowance factor shall  be  reduced  to  eight  and

    20  eighty-five  hundredths  percent, and further provided that for services
    21  provided on and  after  January  first,  two  thousand  six,  the  total
    22  percentage  allowance  factor  shall be reduced to eight and ninety-five
    23  hundredths percent, and further provided that for services  provided  on
    24  and after April first, two thousand nine, the total percentage allowance
    25  factor shall be reduced to nine and sixty-three hundredths percent.
    26    (d)  The total percentage allowance for payments by governmental agen-
    27  cies, as determined in accordance  with  paragraphs  (a)  and  (a-1)  of
    28  subdivision  one of section twenty-eight hundred seven-c of this article
    29  as in effect on December thirty-first, nineteen hundred  ninety-six,  or
    30  health  maintenance  organizations  for services provided to subscribers

    31  eligible for medical assistance pursuant to title eleven of article five
    32  of the social services  law,  or  approved  organizations  for  services
    33  provided  to  subscribers  eligible  for  the family health plus program
    34  pursuant to title eleven-D of article five of the social  services  law,
    35  shall  be  five  and ninety-eight-hundredths percent, provided, however,
    36  that for services provided on and after July first, two  thousand  three
    37  the  total  percentage allowance shall be six and forty-seven hundredths
    38  percent, and further provided that for services provided  on  and  after
    39  January first, two thousand six, the total percentage allowance shall be
    40  six  and  fifty-four  hundredths  percent, and further provided that for
    41  services provided on and after April first, two thousand nine, the total

    42  percentage allowance shall be seven and four hundredths percent.
    43    (e) The total percentage allowance for payments for services  provided
    44  by  designated  providers  of services for which there is no third-party
    45  coverage in whole or in part  shall  be  eight  and  eighteen-hundredths
    46  percent, provided, however, that for services provided on and after July
    47  first,  two thousand three the total percentage allowance shall be eight
    48  and eighty-five  hundredths  percent,  and  further  provided  that  for
    49  services  provided  on  and  after  January first, two thousand six, the
    50  total percentage allowance shall be  eight  and  ninety-five  hundredths
    51  percent,  and  further  provided that for services provided on and after
    52  April first, two thousand nine, the total percentage allowance shall  be

    53  nine and sixty-three hundredths percent.  This paragraph shall not apply
    54  to patient deductibles and coinsurance amounts.

        S. 58--B                           36                          A. 158--B
 
     1    § 51. Clause (A) of subparagraph (i) of paragraph (b) of subdivision 1
     2  of  section  2807-1 of the public health law, as amended by section 4 of
     3  part B of chapter 58 of the laws of 2008, is amended to read as follows:
     4    (A) an amount not to exceed six million dollars on an annualized basis
     5  for  the  periods  January  first, nineteen hundred ninety-seven through
     6  December thirty-first, nineteen hundred ninety-nine; up to  six  million
     7  dollars  for  the  period  January  first, two thousand through December
     8  thirty-first, two thousand; up to five million dollars  for  the  period

     9  January first, two thousand one through December thirty-first, two thou-
    10  sand  one;  up to four million dollars for the period January first, two
    11  thousand two through December thirty-first, two thousand two; up to  two
    12  million  six  hundred thousand dollars for the period January first, two
    13  thousand three through December thirty-first, two thousand three; up  to
    14  one million three hundred thousand dollars for the period January first,
    15  two  thousand  four through December thirty-first, two thousand four; up
    16  to six hundred seventy thousand dollars for the  period  January  first,
    17  two  thousand  five through June thirtieth, two thousand five; up to one
    18  million three hundred thousand dollars for the period April  first,  two
    19  thousand  six  through March thirty-first, two thousand seven; and up to
    20  one million three hundred thousand dollars annually for the period April

    21  first, two thousand  seven  through  March  thirty-first,  two  thousand
    22  [eleven] nine, shall be allocated to individual subsidy programs; and
    23    §  52.  Paragraph  (e)  of  subdivision 2 of section 4 of section 1 of
    24  chapter 703 of the laws of  1988,  relating  to  enacting  the  expanded
    25  health  care  coverage act of nineteen hundred eighty-eight and amending
    26  the insurance law and other laws relating to expanded  health  care  and
    27  catastrophic health care coverage, as amended by section 20 of part B of
    28  chapter 58 of the laws of 2008, is amended to read as follows:
    29    (e) Applications for enrollment in the individual subsidy program will
    30  not  be accepted on and after January first, two thousand one; provided,
    31  however, individuals and families who are otherwise eligible to  receive
    32  benefits under such program and are enrolled prior to January first, two

    33  thousand  one,  may  remain enrolled in such program until March thirty-
    34  first, two thousand [eleven] nine.
    35    § 53. Subdivision 1 of section 368-a of the  social  services  law  is
    36  amended by adding a new paragraph (z) to read as follows:
    37    (z)  One  hundred  percent  of  the  amount  expended  for health care
    38  services described in sections three  hundred  sixty-eight-d  and  three
    39  hundred sixty-eight-e of this title, after first deducting therefrom any
    40  federal funds properly received or to be received on account thereof.
    41    §  54. Section 368-d of the social services law, as amended by chapter
    42  82 of the laws of 1995, is amended to read as follows:
    43    §  368-d.  Reimbursement  to  public  school   districts   and   state
    44  operated/state  supported  schools  which  operate  pursuant  to article

    45  eighty-five, eighty-seven or eighty-eight of the education law.
    46    1. The department of health shall review claims for expenditures  made
    47  by   or   on   behalf  of  local  public  school  districts,  and  state
    48  operated/state supported  schools  which  operate  pursuant  to  article
    49  eighty-five,  eighty-seven  or  eighty-eight  of  the education law, for
    50  medical care, services and supplies which are furnished to children with
    51  handicapping conditions or such children suspected of  having  handicap-
    52  ping  conditions,  as such children are defined in the education law. If
    53  approved by the department, payment for such medical care, services  and
    54  supplies  which  would  otherwise  qualify  for reimbursement under this
    55  title and which are furnished in accordance  with  this  title  and  the
    56  regulations of the department to such children, shall be made in accord-

        S. 58--B                           37                          A. 158--B
 
     1  ance  with the department's approved medical assistance fee schedules by
     2  payment to such local public school district, and  state  operated/state
     3  supported  schools which operate pursuant to article eighty-five, eight-
     4  y-seven  or eighty-eight of the education law, which furnished the care,
     5  services or supplies either directly or by contract[, of the  amount  of
     6  any federal funds properly received or to be received on account of such
     7  expenditures].
     8    2.  Claims  for  payment under this section shall be made in such form
     9  and manner, at such times, and for such periods as  the  department  may
    10  require.
    11    3.  [The  department's liability for payment for expenditures by or on

    12  behalf of  local  public  school  districts,  and  state  operated/state
    13  supported  schools which operate pursuant to article eighty-five, eight-
    14  y-seven or eighty-eight of the education law, for services furnished  to
    15  children  under  this  section shall be limited solely to payment of the
    16  federal funds received, or to be received, on account of  such  expendi-
    17  tures.  In  the  event  of any subsequent disallowances or recoupment of
    18  such funds by a federal governmental agency, upon  notification  by  the
    19  commissioner, the comptroller shall withhold or cause to be withheld the
    20  amount  of such disallowance or recoupment from moneys otherwise due the
    21  local public school district, and state operated/state supported schools

    22  which operate pursuant to article eighty-five, eighty-seven  or  eighty-
    23  eight  of  the  education law, as state aid pursuant to any provision of
    24  the education law, and the comptroller shall transfer such amount to the
    25  credit of the department of social services medical  assistance  program
    26  local  assistance account] The provisions of this section shall be of no
    27  force and effect unless all necessary approvals under  federal  law  and
    28  regulation have been obtained to receive federal financial participation
    29  in the costs of health care services provided pursuant to this section.
    30    §  55.  Section  368-e of the social services law, as added by chapter
    31  558 of the laws of 1989, subdivision 1 as amended by chapter 631 of  the
    32  laws of 1997, is amended to read as follows:

    33    § 368-e. Reimbursement to counties for pre-school children with handi-
    34  capping  conditions. 1. The department of health shall review claims for
    35  expenditures made by counties and the city of New York for medical care,
    36  services and supplies which are furnished  to  preschool  children  with
    37  handicapping  conditions  or such preschool children suspected of having
    38  handicapping conditions, as such children are defined in  the  education
    39  law.  If  approved  by  the  department,  payment for such medical care,
    40  services and supplies which would otherwise  qualify  for  reimbursement
    41  under  this  title and which are furnished in accordance with this title
    42  and the regulations of the department to such children, shall be made in
    43  accordance with the department's approved medical assistance fee  sched-
    44  ules  by  payment  to  such  county  or  city  which furnished the care,

    45  services or supplies either directly or by contract[, of the  amount  of
    46  any federal funds properly received or to be received on account of such
    47  expenditures]. Notwithstanding any provisions of law, rule or regulation
    48  to  the contrary, any clinic or diagnostic and treatment center licensed
    49  under article twenty-eight of the public health law, which as determined
    50  by the state education department, in conjunction with the department of
    51  health, has a less than  arms  length  relationship  with  the  provider
    52  approved  under  section  forty-four  hundred  ten  of the education law
    53  shall, subject to the approval of the department and based on  standards
    54  developed  by  the  department,  be  authorized  to directly submit such
    55  claims for medical assistance, services or supplies so furnished for any

    56  period beginning on or after July first, nineteen hundred  ninety-seven.

        S. 58--B                           38                          A. 158--B
 
     1  The  actual  full  cost  of  the  individualized education program (IEP)
     2  related services incurred by the clinic shall be  reported  on  the  New
     3  York  State  Consolidated  Fiscal  Report  in  the education law section
     4  forty-four  hundred  ten  program  cost  center  in which the student is
     5  placed and the associated medical assistance revenue shall  be  reported
     6  in the same manner.
     7    2.  Claims  for  payment under this section shall be made in such form
     8  and manner, at such times, and for such periods as  the  department  may
     9  require.
    10    [3.  The  department's liability for payment for expenditures by or on

    11  behalf of such county or the city of New York for services furnished  to
    12  preschool children under this section shall be limited solely to payment
    13  of  the  federal  funds  received, or to be received, on account of such
    14  expenditures. In the event of any subsequent disallowances or recoupment
    15  of such funds by a federal governmental agency, the  commissioner  shall
    16  withhold such amount from any moneys otherwise due the county or city of
    17  New  York under this chapter] The provisions of this section shall be of
    18  no force and effect unless all necessary approvals under federal law and
    19  regulation have been obtained to receive federal financial participation
    20  in the costs of health care services provided pursuant to this section.

    21    § 56. Subdivision 1 of section 368-e of the social  services  law,  as
    22  amended  by  chapter  474  of  the  laws  of 1996, is amended to read as
    23  follows:
    24    1. The department of health shall review claims for expenditures  made
    25  by  counties  and  the  city  of New York for medical care, services and
    26  supplies which are furnished to  preschool  children  with  handicapping
    27  conditions  or  such preschool children suspected of having handicapping
    28  conditions, as such children  are  defined  in  the  education  law.  If
    29  approved  by the department, payment for such medical care, services and
    30  supplies which would otherwise  qualify  for  reimbursement  under  this
    31  title  and  which  are  furnished  in accordance with this title and the
    32  regulations of the department to such children, shall be made in accord-

    33  ance with the department's approved medical assistance fee schedules  by
    34  payment  to  such  county  or city which furnished the care, services or
    35  supplies either directly or by contract[, of the amount of  any  federal
    36  funds  properly  received  or to be received on account of such expendi-
    37  tures]. Notwithstanding any provisions of law, rule or regulation to the
    38  contrary, any clinic or diagnostic and treatment center  licensed  under
    39  article  twenty-eight  of the public health law, or articles sixteen and
    40  thirty-one of the mental hygiene law, which submitted a claim  for  such
    41  reimbursement  payments  on  or  before June thirtieth, nineteen hundred
    42  ninety-five, shall, subject to the approval of the department and  based
    43  on  standards  developed by the department, continue to be authorized to

    44  directly submit such claims for medical assistance, services or supplies
    45  so furnished for any period thereafter until March  thirty-first,  nine-
    46  teen  hundred  ninety-seven or such later date as the commissioner shall
    47  authorize pursuant to regulation.
    48    § 57. Section 5 of part G of chapter 56 of the laws of 2000,  amending
    49  the public health law and other laws relating to the sale and possession
    50  of  hypodermic  syringes and needles, as amended by section 28 of part C
    51  of chapter 56 of the laws of 2007, is REPEALED.
    52    § 57-a. Section 5 of part G of chapter 56 of the laws of 2000,  amend-
    53  ing  the  public  health  law,  and  other laws relating to the sale and
    54  possession of hypodermic syringes and needles, as amended by  section  9
    55  of  part  B  of  chapter  58  of the laws of 2007, is amended to read as
    56  follows:


        S. 58--B                           39                          A. 158--B
 
     1    § 5. This act shall take effect January 1, 2001 [and shall  remain  in
     2  full  force  and  effect until September 1, 2011 when upon such date the
     3  provisions of this act shall be  deemed  repealed];  provided,  however,
     4  that  effective  immediately the commissioner of health is authorized to
     5  promulgate  any rules and regulations necessary for the timely implemen-
     6  tation of this act on such effective date.
     7    § 58. Section 88 of chapter 659 of the laws of 1997, constituting  the
     8  long  term  care  integration  and  finance  act  of 1997, as amended by
     9  section 22-a of part C of chapter 58 of the laws of 2007, is amended  to
    10  read as follows:
    11    §  88. Notwithstanding any provision of law to the contrary, all oper-

    12  ating demonstrations, as such term is defined in paragraph [(d)] (c)  of
    13  subdivision  1  of  section  4403-f of the public health law as added by
    14  section eighty-two of this act, due to expire prior to January  1,  2001
    15  shall be deemed to expire on December 31, [2009] 2011.
    16    §  59.  This  act shall take effect immediately; provided however that
    17  sections fifty-three through fifty-six of this  act  shall  take  effect
    18  July  1,  2009  and  shall  apply to services provided on and after such
    19  date; provided, however, that the amendments to section  2807-c  of  the
    20  public  health  law  made  by sections sixteen, seventeen, eighteen, and
    21  nineteen of this act shall not affect the expiration of such  provisions
    22  and shall be deemed to expire therewith; provided that the amendments to

    23  section  2807-j  of  the public health law made by section fifty of this
    24  act shall not affect the expiration of such section and shall be  deemed
    25  to  expire  therewith; and provided that the amendments to subdivision 1
    26  of section 368-e of the social services law made by  section  fifty-five
    27  of  this  act  shall  be subject to the expiration and reversion of such
    28  subdivision pursuant to chapter 631 of the laws  of  1997,  as  amended,
    29  when  upon  such  date  the  provisions of section fifty-six of this act
    30  shall take effect.
 
    31                                   PART C
 
    32    Section 1. Legislative intent.  The legislature finds  that  New  York
    33  leads the nation in Medicaid spending per capita and ranks third highest
    34  in  overall  health care spending per capita. Despite this extraordinary
    35  level of spending, 2.3 million New Yorkers are uninsured and New  York's

    36  health  care  system is ranked average among states and below average on
    37  hospitalizations that could have been avoided  if  patients  had  timely
    38  access  to quality outpatient care. It is the intent of this legislation
    39  to ensure that New Yorkers  have  access  to  a  high-performing  health
    40  system  and that New York Medicaid buys quality, cost-effective care by:
    41  implementing a transparent and accurate inpatient  reimbursement  system
    42  that  rewards  quality  and  efficiency;  investing  in  ambulatory care
    43  services and supporting the development of health care homes; supporting
    44  providers that serve uninsured patients; increasing affordable  coverage
    45  in partnership with the federal government; investing in health informa-
    46  tion  technology;  and more effectively and efficiently managing pharma-
    47  ceutical benefits.

    48    § 1-a. Short title. This act shall be known and may be  cited  as  the
    49  "health care improvement act".
    50    § 1-b. Subparagraph (ii) of paragraph (a) of subdivision 33 of section
    51  2807-c  of  the  public  health law, as added by section 12 of part C of
    52  chapter 58 of the laws of 2008, is amended to read as follows:
    53    (ii) for the period April first, two thousand nine through March thir-
    54  ty-first, two thousand ten, such rates shall be revised  pursuant  to  a

        S. 58--B                           40                          A. 158--B
 
     1  chapter  of the laws of two thousand nine and as reflecting the findings
     2  and recommendations of  the  commissioner  as  issued  pursuant  to  the
     3  provisions of paragraph (b) of this subdivision, provided, however, that
     4  such  revisions shall reflect an aggregate reduction in such rates of no

     5  less than one hundred fifty-four million five hundred thousand  dollars,
     6  provided  further, however, that, notwithstanding any contrary provision
     7  of law, as determined by the commissioner, to the extent that a  chapter
     8  of  the  laws  of  two thousand nine is not enacted resulting in such an
     9  aggregate annual reduction  of  no  less  than  one  hundred  fifty-four
    10  million  five  hundred  thousand dollars in such rates, the commissioner
    11  shall implement a uniform reduction of such rates in accordance with the
    12  methodology described in subparagraph  (i)  of  this  paragraph  to  the
    13  extent  necessary, as determined by the commissioner, to achieve such an
    14  aggregate reduction in such rates for the state  fiscal  year  beginning

    15  April  first,  two  thousand nine and each state fiscal year thereafter;
    16  and
    17    § 2. Section 2807-c of the public health law is amended  by  adding  a
    18  new subdivision 35 to read as follows:
    19    35. Notwithstanding any inconsistent provision of this section, or any
    20  other  contrary  provision  of  law  and  subject to the availability of
    21  federal financial participation, rates of payment by governmental  agen-
    22  cies  for  general hospital inpatient services with regard to discharges
    23  occurring on and after December first, two thousand  nine  shall  be  in
    24  accordance with the following:
    25    (a)  For  periods  on  and after December first, two thousand nine the
    26  operating cost component of such rates of payments shall reflect the use

    27  of two thousand five operating costs as reported by each facility to the
    28  department prior to July first,  two  thousand  nine  and  as  otherwise
    29  computed in accordance with the provisions of this subdivision;
    30    (b)  The commissioner shall promulgate regulations, and may promulgate
    31  emergency regulations, establishing methodologies for the computation of
    32  general hospital inpatient rates and such regulations shall include, but
    33  not be limited to, the following:
    34    (i) The computation of a case-mix neutral statewide base price, appli-
    35  cable to each  rate  period,  but  excluding  adjustments  for  graduate
    36  medical  education  costs,  high  cost  outlier  costs, costs related to
    37  patient transfers, and other non-comparable costs as determined  by  the

    38  commissioner, such statewide base prices may be periodically adjusted to
    39  reflect  changes in provider coding patterns and case-mix and such other
    40  factors as may be determined by the commissioner;
    41    (ii) Only those two thousand five base year costs which relate to  the
    42  cost  of  services provided to Medicaid inpatients, as determined by the
    43  applicable ratio of costs to charges methodology, shall be utilized  for
    44  rate-setting purposes;
    45    (iii)  Such  rates  shall reflect the application of hospital specific
    46  wage equalization factors reflecting differences in wage rates;
    47    (iv) Such rates shall reflect  the  utilization  of  the  all  patient
    48  refined  (APR) case mix methodology, utilizing diagnostic related groups

    49  with assigned weights that incorporate differing levels of  severity  of
    50  patient  condition  and  the associated risk of mortality, and as may be
    51  periodically updated by the commissioner;
    52    (v) Such regulations may incorporate quality related measures pertain-
    53  ing to potentially preventable complications and re-admissions;
    54    (vi) Such regulations shall address adjustments based on the costs  of
    55  high cost outlier patients;

        S. 58--B                           41                          A. 158--B
 
     1    (vii) Such rates shall continue to reflect trend factor adjustments as
     2  otherwise provided in paragraph (c) of subdivision ten of this section;
     3    (viii) Such rates shall not include any adjustments pursuant to subdi-

     4  vision nine of this section;
     5    (ix) Rates for non-public, not for profit general hospitals which have
     6  not,  as  of the effective date of this subdivision, published an ancil-
     7  lary charges schedule as provided in paragraph (j) of subdivision one of
     8  section twenty-eight hundred three   of this article  shall  have  their
     9  inlier  payments  increased  by  an  amount equal to the average of cost
    10  outlier payments for comparable hospitals or by a methodology that  uses
    11  a statewide or regional ratio of cost to charges applied to statewide or
    12  regional  comparable  charges  for those cases determined by the commis-
    13  sioner;
    14    (x) Such regulations shall provide for  administrative  rate  appeals,

    15  but  only  with regard to: (A) the correction of computational errors or
    16  omissions of data, including with regard to the hospital specific compu-
    17  tations pertaining to  graduate  medical  education,  wage  equalization
    18  factor adjustments, and (B) capital cost reimbursement;
    19    (xi)  Rates for teaching general hospitals shall include reimbursement
    20  for direct and indirect graduate medical education as defined and calcu-
    21  lated pursuant to such regulations. In addition, such regulations  shall
    22  specify  the  reports  and  information  required by the commissioner to
    23  assess the cost, quality and health system needs for  medical  education
    24  provided.
    25    (c)  The  base period reported costs and statistics used for rate-set-

    26  ting for operating cost components, including the  weights  assigned  to
    27  diagnostic  related  groups,  shall  be  updated no less frequently than
    28  every four years and the new base period shall  be  no  more  than  four
    29  years  prior  to the first applicable rate period that utilizes such new
    30  base period.
    31    (d) Capital cost reimbursement for general hospitals otherwise subject
    32  to the provisions of  this  subdivision  shall  remain  subject  to  the
    33  provisions of subdivision eight of this section.
    34    (e) The provisions of this subdivision shall not apply to those gener-
    35  al  hospitals  or  distinct  units  of general hospitals whose inpatient
    36  reimbursement does not, as of November  thirtieth,  two  thousand  nine,

    37  reflect  case  based  payment per diagnosis-related group or whose inpa-
    38  tient reimbursement is, for periods on and after July first,  two  thou-
    39  sand  nine,  governed  by the provisions of paragraphs (e-1) or (e-2) of
    40  subdivision four of this section.
    41    (f) Notwithstanding section one hundred twelve or one  hundred  sixty-
    42  three  of  the state finance law or any other law, rule or regulation to
    43  the contrary, the commissioner may contract with a vendor for  consider-
    44  ation  to  develop  the  specifications for the diagnosis-related groups
    45  methodology as provided for in regulations promulgated pursuant to para-
    46  graph (b) of this subdivision if the commissioner certifies to the comp-

    47  troller that such contract is in the best interest of the health of  the
    48  people  of  the state. Notwithstanding that such specifications shall be
    49  available pursuant to article six  of  the  public  officers  law,  such
    50  contract  may provide that the specifications for such adjusted or addi-
    51  tional diagnosis-related groups provided by the vendor shall be  subject
    52  to copyright protection pursuant to federal copyright law.
    53    (g)  Notwithstanding any inconsistent provision of this subdivision or
    54  any other contrary provision of law,  the  commissioner  may,  for  rate
    55  periods  on  and  after December first, two thousand nine and subject to
    56  the availability of federal  financial  participation,  make  additional


        S. 58--B                           42                          A. 158--B
 
     1  adjustments to the inpatient rates of payment of eligible general hospi-
     2  tals, to facilitate improvements in hospital operations and finances, in
     3  accordance with the following:
     4    (i)  General  hospitals  eligible  for  distributions pursuant to this
     5  paragraph shall be those non public hospitals with  Medicaid  discharges
     6  equal to or greater than seventeen and one-half percent for two thousand
     7  seven.
     8    (ii)  Funds  distributed pursuant to this paragraph shall be allocated
     9  to eligible hospitals pursuant to a formula such that, to the extent  of
    10  funds  available,  no hospital's reduction in Medicaid inpatient revenue

    11  as a result of the application of the provisions of paragraphs  (a)  and
    12  (b)  of this subdivision exceeds a percentage reduction as determined by
    13  the commissioner.
    14    (iii) Funding pursuant to this paragraph shall be  available  for  the
    15  following periods and in the following amounts:
    16    (A)  for  the  period  December first, two thousand nine through March
    17  thirty-first, two thousand ten, up to seventy-five million dollars;
    18    (B) for the period April first, two thousand ten through  March  thir-
    19  ty-first,  two  thousand eleven, up to thirty-three million five hundred
    20  thousand dollars;
    21    (C) for the period April first,  two  thousand  eleven  through  March
    22  thirty-first, two thousand twelve, up to fifty million dollars;

    23    (D)  for  the  period  April  first, two thousand twelve through March
    24  thirty-first, two thousand thirteen, up to twenty-five million dollars.
    25    (iv) Payments made pursuant to this paragraph shall be added to  rates
    26  of  payments  and  not be subject to retroactive adjustment or reconcil-
    27  iation.
    28    (v) Each hospital receiving funds pursuant to this paragraph shall, as
    29  a condition for eligibility for such funds, adopt a  resolution  of  the
    30  board  of  directors  of  each  such  hospital setting forth its current
    31  financial condition and a plan for reforming and improving  such  finan-
    32  cial  condition, including ongoing board oversight, and shall, after two
    33  years, issue a report as adopted by each such board of directors setting

    34  forth what  progress  has  been  achieved  regarding  such  improvement,
    35  provided, however, if such report is not issued and adopted by each such
    36  board  of  directors,  or  if  such  report  fails to set forth adequate
    37  progress, as determined by the commissioner, the commissioner  may  deem
    38  such  facility  ineligible  for  further  distributions pursuant to this
    39  paragraph and may  redistribute  such  further  distributions  to  other
    40  eligible facilities in accordance with the provisions of this paragraph.
    41  The  commissioner  shall be provided with copies of all such resolutions
    42  and reports.
    43    (h) Inpatient rate adjustments made pursuant to paragraphs (a) through
    44  (f) of this subdivision  after  application  of  adjustments  authorized

    45  pursuant  to  subdivision thirty-three of this section shall result in a
    46  net statewide decrease in aggregate Medicaid payments of  no  less  than
    47  seventy-five million dollars for the period December first, two thousand
    48  nine  through March thirty-first, two thousand ten, and no less than two
    49  hundred twenty-five million dollars for  the  period  April  first,  two
    50  thousand  ten  through  March thirty-first, two thousand eleven and each
    51  state fiscal year thereafter, provided, however,  that  such  reductions
    52  shall be in addition to the reductions required pursuant to subparagraph
    53  (ii) of paragraph (a) of subdivision thirty-three of this section.
    54    § 3. Notwithstanding any contrary provision of law, if the commission-

    55  er of health determines that federal financial participation will not be
    56  available  with  regard  to the provisions of subparagraph (ii) of para-

        S. 58--B                           43                          A. 158--B
 
     1  graph (g) of subdivision 35 of section 2807-c of the public health  law,
     2  such  commissioner may deem such provision null and void and instead may
     3  allocate funds pursuant to such paragraph (g) proportionally,  based  on
     4  each eligible facility's relative share of Medicaid inpatient discharges
     5  in the year two years prior to the distribution year.
     6    § 4. Clause (A) of subparagraph (i) of paragraph (a) of subdivision 30
     7  of  section  2807-c of the public health law, as amended by section 22-b
     8  of part B of chapter 58 of the laws of  2008,  is  amended  to  read  as
     9  follows:

    10    (A) ninety-three million two hundred thousand dollars on an annualized
    11  basis  for  the  period  April  first, two thousand two through December
    12  thirty-first, two thousand two; one hundred eighty-seven  million  eight
    13  hundred  thousand  dollars on an annualized basis for the period January
    14  first, two thousand three through December  thirty-first,  two  thousand
    15  three;  two hundred sixty-two million one hundred thousand dollars on an
    16  annualized basis for the period January first, two thousand four through
    17  December thirty-first, two thousand six; one hundred thirty-one  million
    18  one  hundred thousand dollars for the period January first, two thousand
    19  seven through June  thirtieth,  two  thousand  seven,  and  two  hundred
    20  forty-three  million  five  hundred thousand dollars for the period July
    21  first, two thousand  seven  through  March  thirty-first,  two  thousand

    22  eight, two hundred forty-three million five hundred thousand dollars for
    23  the  period  April first, two thousand eight through March thirty-first,
    24  two thousand nine; [two hundred  forty-three]  one  hundred  sixty-three
    25  million  [five]  one  hundred forty-five thousand dollars for the period
    26  April first, two thousand nine  through  [March  thirty-first]  November
    27  thirtieth,  two  thousand  [ten;  two  hundred  forty-three million five
    28  hundred thousand dollars for the period April first,  two  thousand  ten
    29  through March thirty-first, two thousand eleven] nine.
    30    § 5. Clause (A) of subparagraph (i) of paragraph (b) of subdivision 30
    31  of  section  2807-c of the public health law, as amended by section 22-b

    32  of part B of chapter 58 of the laws of  2008,  is  amended  to  read  as
    33  follows:
    34    (A)  eighteen  million  five hundred thousand dollars on an annualized
    35  basis for the period April first,  two  thousand  two  through  December
    36  thirty-first,  two thousand two; thirty-seven million four hundred thou-
    37  sand dollars on an annualized basis for the period  January  first,  two
    38  thousand  three  through  December  thirty-first,  two  thousand  three;
    39  fifty-two million two hundred thousand dollars on  an  annualized  basis
    40  for  the  period January first, two thousand four through December thir-
    41  ty-first, two thousand six;  twenty-six  million  one  hundred  thousand
    42  dollars  for  the  period January first, two thousand seven through June
    43  thirtieth, two thousand seven[;], forty-nine  million  dollars  for  the

    44  period  July  first,  two thousand seven through March thirty-first, two
    45  thousand eight[;], and forty-nine million dollars for the  period  April
    46  first,  two  thousand  eight  through  March  thirty-first, two thousand
    47  nine[; forty-nine million dollars for the period April first, two  thou-
    48  sand  nine  through March thirty-first, two thousand ten; and forty-nine
    49  million dollars for the period April first,  two  thousand  ten  through
    50  March thirty-first, two thousand eleven].
    51    §  6. Paragraphs (x) and (y) of subdivision 1 of section 2807-v of the
    52  public health law, as amended by section 5 of part B of  chapter  58  of
    53  the laws of 2008, are amended to read as follows:
    54    (x)  Funds  shall  be  deposited  by  the commissioner, within amounts

    55  appropriated,  and  the  state  comptroller  is  hereby  authorized  and
    56  directed  to  receive  for  deposit  to  the credit of the state special

        S. 58--B                           44                          A. 158--B
 
     1  revenue funds - other, HCRA transfer fund, medical  assistance  account,
     2  or  any  successor  fund  or  account, for purposes of funding the state
     3  share of the non-public general hospital rates increases for recruitment
     4  and retention of health care workers from the tobacco control and insur-
     5  ance  initiatives  pool  established  for  the  following periods in the
     6  following amounts:
     7    (i) twenty-seven million one hundred thousand dollars on an annualized
     8  basis for the period January first, two thousand  two  through  December
     9  thirty-first, two thousand two;
    10    (ii)  fifty  million  eight  hundred thousand dollars on an annualized

    11  basis for the period January first, two thousand three through  December
    12  thirty-first, two thousand three;
    13    (iii)  sixty-nine million three hundred thousand dollars on an annual-
    14  ized basis for the period  January  first,  two  thousand  four  through
    15  December thirty-first, two thousand four;
    16    (iv)  sixty-nine million three hundred thousand dollars for the period
    17  January first, two thousand  five  through  December  thirty-first,  two
    18  thousand five;
    19    (v)  sixty-nine  million three hundred thousand dollars for the period
    20  January first, two thousand six through December thirty-first, two thou-
    21  sand six;
    22    (vi) sixty-five million three hundred thousand dollars for the  period
    23  January  first,  two  thousand  seven through December thirty-first, two
    24  thousand seven;
    25    (vii) sixty-one million one hundred fifty  thousand  dollars  for  the

    26  period  January first, two thousand eight through December thirty-first,
    27  two thousand eight; and
    28    (viii) [fifty-three] forty-eight million [one] seven  hundred  [fifty]
    29  twenty-one  thousand  dollars for the period January first, two thousand
    30  nine through [December thirty-first] November  thirtieth,  two  thousand
    31  nine[;
    32    (ix)  thirty million twenty-five thousand dollars for the period Janu-
    33  ary first, two thousand ten through December thirty-first, two  thousand
    34  ten; and
    35    (x)  eight million eight hundred thousand dollars for the period Janu-
    36  ary first, two thousand eleven through March thirty-first, two  thousand
    37  eleven].

    38    (y)  Funds  shall  be  reserved  and accumulated from year to year and
    39  shall be available, including income from invested funds,  for  purposes
    40  of  grants  to public general hospitals for recruitment and retention of
    41  health care workers pursuant to paragraph (b) of subdivision  thirty  of
    42  section  twenty-eight  hundred  seven-c of this article from the tobacco
    43  control and insurance initiatives pool  established  for  the  following
    44  periods in the following amounts:
    45    (i)  eighteen  million  five hundred thousand dollars on an annualized
    46  basis for the period January first, two thousand  two  through  December
    47  thirty-first, two thousand two;
    48    (ii)  thirty-seven million four hundred thousand dollars on an annual-
    49  ized basis for the period January  first,  two  thousand  three  through
    50  December thirty-first, two thousand three;

    51    (iii)  fifty-two million two hundred thousand dollars on an annualized
    52  basis for the period January first, two thousand four  through  December
    53  thirty-first, two thousand four;
    54    (iv)  fifty-two  million  two  hundred thousand dollars for the period
    55  January first, two thousand  five  through  December  thirty-first,  two
    56  thousand five;

        S. 58--B                           45                          A. 158--B
 
     1    (v)  fifty-two  million  two  hundred  thousand dollars for the period
     2  January first, two thousand six through December thirty-first, two thou-
     3  sand six;
     4    (vi)  forty-nine  million  dollars  for  the period January first, two
     5  thousand seven through December thirty-first, two thousand seven;
     6    (vii) forty-nine million dollars for the  period  January  first,  two

     7  thousand eight through December thirty-first, two thousand eight; and
     8    (viii)  [forty-nine] twelve million two hundred fifty thousand dollars
     9  for the period January first, two thousand nine through [December] March
    10  thirty-first, two thousand nine[;
    11    (ix) forty-nine million dollars for  the  period  January  first,  two
    12  thousand ten through December thirty-first, two thousand ten; and
    13    (x)  twelve  million two hundred fifty thousand dollars for the period
    14  January first, two thousand eleven through March thirty-first, two thou-
    15  sand eleven].
    16    Provided, however, amounts pursuant to this paragraph may  be  reduced
    17  in  an  amount  to  be approved by the director of the budget to reflect

    18  amounts received from the federal  government  under  the  state's  1115
    19  waiver  which  are directed under its terms and conditions to the health
    20  workforce recruitment and retention program.
    21    § 7. Paragraphs (ggg) and (hhh) of subdivision 1 of section 2807-v  of
    22  the  public health law, as added by section 5 of part B of chapter 58 of
    23  the laws of 2008, are amended to read as follows:
    24    (ggg) Funds shall be deposited by  the  commissioner,  within  amounts
    25  appropriated,  and  the  state  comptroller  is  hereby  authorized  and
    26  directed to receive for deposit to  the  credit  of  the  state  special
    27  revenue fund - other, HCRA transfer fund, medical assistance account, or
    28  any  successor  fund or account, for the purpose of supporting the state
    29  share of Medicaid expenditures  for  hospital  translation  services  as

    30  authorized pursuant to paragraph (k) of subdivision one of section twen-
    31  ty-eight  hundred  seven-c  of this article from the tobacco control and
    32  initiatives pool established for the following periods in the  following
    33  amounts:
    34    (i)  sixteen  million  dollars for the period July first, two thousand
    35  eight through December thirty-first, two thousand eight; and
    36    (ii) [sixteen million] fourteen million seven hundred thousand dollars
    37  for the period January first, two thousand nine through [December  thir-
    38  ty-first] November thirtieth, two thousand nine[;
    39    (iii)  sixteen million dollars for the period January first, two thou-
    40  sand ten through December thirty-first, two thousand ten; and

    41    (iv) four million dollars for the period January first,  two  thousand
    42  eleven through March thirty-first, two thousand eleven].
    43    (hhh)  Funds  shall  be  deposited by the commissioner, within amounts
    44  appropriated,  and  the  state  comptroller  is  hereby  authorized  and
    45  directed  to  receive  for  deposit  to  the credit of the state special
    46  revenue fund - other, HCRA transfer fund, medical assistance account, or
    47  any successor fund or account, for the purpose of supporting  the  state
    48  share  of  Medicaid  expenditures  for adjustments to inpatient rates of
    49  payment for general hospitals located in  the  counties  of  Nassau  and
    50  Suffolk  as  authorized  pursuant to paragraph (l) of subdivision one of
    51  section twenty-eight hundred seven-c of this article  from  the  tobacco
    52  control  and  initiatives  pool established for the following periods in

    53  the following amounts:
    54    (i) two million five hundred thousand dollars  for  the  period  April
    55  first,  two  thousand  eight through December thirty-first, two thousand
    56  eight; and

        S. 58--B                           46                          A. 158--B
 
     1    (ii) two million [five hundred thousand] two hundred ninety-two  thou-
     2  sand  dollars  for  the  period January first, two thousand nine through
     3  [December thirty-first] November thirtieth, two thousand nine[;
     4    (iii) two million five hundred thousand dollars for the period January
     5  first, two thousand ten through December thirty-first, two thousand ten;
     6  and
     7    (iv)  six  hundred twenty-five thousand dollars for the period January

     8  first, two thousand eleven through March thirty-first two thousand elev-
     9  en].
    10    § 8. Paragraph (s) of subdivision 1 of section 2807-v  of  the  public
    11  health  law, as amended by section 5 of part B of chapter 58 of the laws
    12  of 2008, is amended to read as follows:
    13    (s) Funds shall be deposited by the commissioner within amounts appro-
    14  priated, and the state comptroller is hereby authorized and directed  to
    15  receive  for  deposit to the credit of the state special revenue funds -
    16  other, HCRA transfer fund, medical assistance account, or any  successor
    17  fund  or  account,  for  purposes of providing distributions pursuant to
    18  paragraphs (s-5), (s-6),  (s-7)  and  (s-8)  of  subdivision  eleven  of
    19  section  twenty-eight  hundred  seven-c of this article from the tobacco
    20  control and insurance initiatives pool  established  for  the  following

    21  periods in the following amounts:
    22    (i)  eighteen  million dollars for the period January first, two thou-
    23  sand through December thirty-first, two thousand;
    24    (ii) twenty-four million dollars  annually  for  the  periods  January
    25  first, two thousand one through December thirty-first, two thousand two;
    26    (iii)  up to twenty-four million dollars for the period January first,
    27  two thousand three through December thirty-first, two thousand three;
    28    (iv) up to twenty-four million dollars for the period  January  first,
    29  two thousand four through December thirty-first, two thousand four;
    30    (v)  up  to  twenty-four million dollars for the period January first,
    31  two thousand five through December thirty-first, two thousand five;
    32    (vi) up to twenty-four million dollars for the period  January  first,
    33  two thousand six through December thirty-first, two thousand six;

    34    (vii)  up to twenty-four million dollars for the period January first,
    35  two thousand seven through December thirty-first, two thousand seven;
    36    (viii) up to twenty-four million dollars for the period January first,
    37  two thousand eight through December thirty-first,  two  thousand  eight;
    38  and
    39    (ix)  up  to  [twenty-four]  twenty-two million dollars for the period
    40  January first, two thousand nine through [December thirty-first]  Novem-
    41  ber thirtieth, two thousand nine[;
    42    (x)  up  to  twenty-four million dollars for the period January first,
    43  two thousand ten through December thirty-first, two thousand ten; and
    44    (xi) up to six million dollars for the period January first, two thou-

    45  sand eleven through March thirty-first, two thousand eleven].
    46    § 9. Paragraph (n) of subdivision 1 of section 2807-l  of  the  public
    47  health  law, as amended by section 4 of part B of chapter 58 of the laws
    48  of 2008, is amended to read as follows:
    49    (n) Funds shall be accumulated and transferred from  the  health  care
    50  reform act (HCRA) resources fund as follows: for the period April first,
    51  two  thousand  seven through March thirty-first, two thousand eight, and
    52  on an annual basis for the  periods  April  first,  two  thousand  eight
    53  through  [March  thirty-first] November thirtieth, two thousand [eleven]
    54  nine, funds within amounts appropriated shall be transferred and  depos-
    55  ited  and  credited  to  the credit of the state special revenue funds -

    56  other, HCRA transfer fund, medical assistance account, for  purposes  of

        S. 58--B                           47                          A. 158--B
 
     1  funding the state share of rate adjustments made to public and voluntary
     2  hospitals  in  accordance with paragraphs (i) and (j) of subdivision one
     3  of section twenty-eight hundred seven-c of this article.
     4    §  10. Paragraph (xx) of subdivision 1 of section 2807-v of the public
     5  health law, as amended by section 5 of part B of chapter 58 of the  laws
     6  of 2008, is amended to read as follows:
     7    (xx)  Funds  shall  be  deposited  by the commissioner, within amounts
     8  appropriated,  and  the  state  comptroller  is  hereby  authorized  and
     9  directed  to  receive for the deposit to the credit of the state special
    10  revenue funds - other, HCRA transfer fund, medical  assistance  account,

    11  or  any  successor  fund  or  account, for purposes of funding the state
    12  share of the general hospital rates increases for rural hospitals pursu-
    13  ant to subdivision thirty-two of section twenty-eight hundred seven-c of
    14  this article from the tobacco control  and  insurance  initiatives  pool
    15  established for the following periods in the following amounts:
    16    (i) three million five hundred thousand dollars for the period January
    17  first,  two  thousand  five  through December thirty-first, two thousand
    18  five;
    19    (ii) three million five hundred thousand dollars for the period  Janu-
    20  ary  first, two thousand six through December thirty-first, two thousand
    21  six;
    22    (iii) three million five hundred thousand dollars for the period Janu-
    23  ary first, two thousand seven through December thirty-first,  two  thou-
    24  sand seven;

    25    (iv)  three million five hundred thousand dollars for the period Janu-
    26  ary first, two thousand eight through December thirty-first,  two  thou-
    27  sand eight; and
    28    (v)  three  million  [five hundred] two hundred eight thousand dollars
    29  for the period January first, two thousand nine through [December  thir-
    30  ty-first] November thirtieth, two thousand nine[;
    31    (vi)  three million five hundred thousand dollars for the period Janu-
    32  ary first, two thousand ten through December thirty-first, two  thousand
    33  ten; and
    34    (vii) eight hundred seventy-five thousand dollars for the period Janu-
    35  ary  first, two thousand eleven through March thirty-first, two thousand
    36  eleven; and

    37    (viii) provided, however, in the event federal financial participation
    38  is not available with regard to rate adjustments pursuant to subdivision
    39  thirty-two of section twenty-eight  hundred  seven-c  of  this  article,
    40  allocations  pursuant to this paragraph shall, on an annualized basis be
    41  increased to seven million dollars for the  period  January  first,  two
    42  thousand five through March thirty-first, two thousand eleven].
    43    §  11.  Paragraph (1) of subdivision 4 of section 2807-c of the public
    44  health law, as added by section 15 of part C of chapter 58 of  the  laws
    45  of 2008, is amended to read as follows:
    46    (l)  Notwithstanding  any  inconsistent  provision of this section and
    47  subject to the availability of federal financial participation, rates of

    48  payment by governmental agencies for general hospitals which are  certi-
    49  fied by the office of alcoholism and substance abuse services to provide
    50  inpatient  detoxification  and  withdrawal  services and, with regard to
    51  inpatient services provided to patients discharged on and after December
    52  first, two thousand eight and who are determined to be in  diagnosis-re-
    53  lated  groups  numbered  seven hundred forty-three, seven hundred forty-
    54  four, seven hundred forty-five, seven hundred forty-six,  seven  hundred
    55  forty-seven,  seven hundred forty-eight, seven hundred forty-nine, seven

        S. 58--B                           48                          A. 158--B
 
     1  hundred fifty, or seven hundred fifty-one, shall be made on a  per  diem
     2  basis in accordance with the following:
     3    (i)  for the period December first, two thousand eight through [Decem-

     4  ber thirty-first] March thirty-first, two  thousand  nine,  seventy-five
     5  percent  of the operating cost component of such rates of payments shall
     6  reflect the operating cost component of rates of payment  effective  for
     7  December  thirty-first,  two  thousand  seven, as adjusted for inflation
     8  pursuant to paragraph (c) of subdivision ten of this section, as  other-
     9  wise  modified  by  any  applicable statutes, and twenty-five percent of
    10  such rates shall reflect the use of two thousand six operating costs  as
    11  reported  by each facility to the department prior to two thousand eight
    12  and as computed in accordance with the provisions of subparagraph  [(v)]
    13  (iv) of this paragraph;
    14    (ii)  for  the  period  [January] April first, two thousand [ten] nine

    15  through [December] March thirty-first, two thousand ten,  [fifty]  thir-
    16  ty-seven and five tenths percent of the operating cost component of such
    17  rates  of payment shall reflect the operating cost component of rates of
    18  payment effective December thirty-first, two thousand seven, as adjusted
    19  for inflation pursuant to paragraph  (c)  of  subdivision  ten  of  this
    20  section,  as  otherwise modified by any applicable statutes, and [fifty]
    21  sixty-two and five tenths percent of such rates of payment shall reflect
    22  the use of two thousand six operating costs as reported by each facility
    23  to the department prior to two thousand eight and as computed in accord-
    24  ance with the provisions of subparagraph [(v)] (iv) of this paragraph;

    25    (iii) [for the period  January  first,  two  thousand  eleven  through
    26  December  thirty-first,  two thousand eleven, twenty-five percent of the
    27  operating cost component of such rates  of  payment  shall  reflect  the
    28  operating  cost component of rates of payment effective December thirty-
    29  first, two thousand seven, as adjusted for inflation pursuant  to  para-
    30  graph  (c)  of subdivision ten of this section, as otherwise modified by
    31  any applicable statutes, and  seventy-five  percent  of  such  rates  of
    32  payment  shall  reflect  the  use of two thousand six operating costs as
    33  reported by each facility to the department prior to two thousand  eight
    34  and as computed in accordance with the provisions of subparagraph (v) of
    35  this paragraph; and

    36    (iv)]  for  periods  on  and after [January] April first, two thousand
    37  [twelve] ten, one hundred percent of the  operating  cost  component  of
    38  such  rates of payment shall reflect the use of two thousand six operat-
    39  ing costs as reported to the department prior to two thousand eight  and
    40  as computed in accordance with the provisions of subparagraph [(v)] (iv)
    41  of this paragraph.
    42    [(v)] (iv) rates of payment computed in accordance with this paragraph
    43  and  reflecting  the  use  of two thousand six base year operating costs
    44  shall be in accord  with  the  following,  provided,  however  that  the
    45  commissioner  may  establish  criteria  under which reimbursement may be
    46  provided at higher percentages and for longer periods.

    47    (A) For each of the regions within the state as  described  in  clause
    48  (E)  of  this  subparagraph the commissioner shall determine the average
    49  per diem cost incurred by general hospitals in that  region  subject  to
    50  the  provisions  of  this  paragraph with regard to inpatients requiring
    51  medically managed detoxification  services,  as  defined  by  applicable
    52  regulations  promulgated by the office of alcoholism and substance abuse
    53  services. In determining such costs the commissioner shall  utilize  two
    54  thousand  six  costs and statistics as reported by such hospitals to the
    55  department prior to two thousand eight.

        S. 58--B                           49                          A. 158--B
 
     1    (B) Per diem payments for inpatients requiring medically managed inpa-
     2  tient detoxification services shall reflect one hundred percent  of  the

     3  per  diem  amounts  computed pursuant to clause (A) of this subparagraph
     4  for the applicable region in which the facility is located and as trend-
     5  ed forward to adjust for inflation, provided however, that such payments
     6  shall  be  reduced by fifty percent for any such services provided on or
     7  after the sixth day of services through the tenth day of  services,  and
     8  further  provided  that  no  payments  shall  be  made  for any services
     9  provided on or after the eleventh day.
    10    (C) Per diem payments for inpatients  requiring  medically  supervised
    11  withdrawal services, as defined by applicable regulations promulgated by
    12  the office of alcoholism and substance abuse services, shall reflect one
    13  hundred  percent of the per diem amounts computed pursuant to clause (A)
    14  of this subparagraph for the applicable region in which the facility  is

    15  located for the period January first, two thousand nine through December
    16  thirty-first,  two  thousand  nine, and as trended forward to adjust for
    17  inflation, and shall reflect  seventy-five  percent  of  such  per  diem
    18  amounts  for  periods  on  and after January first, two thousand ten, as
    19  trended forward to adjust for inflation, provided,  however,  that  such
    20  payments  shall be reduced by fifty percent for any services provided on
    21  or after the sixth day of services through the tenth  day  of  services,
    22  and  further  provided  that  no payments shall be made for any services
    23  provided on and after the eleventh day.
    24    (D) Per diem payments for inpatients placed in  observation  beds,  as
    25  defined  by applicable regulations promulgated by the office of alcohol-
    26  ism and substance abuse services, shall be at the same level as would be

    27  paid pursuant to clause (A) of this paragraph, provided,  however,  that
    28  such  payments  shall  not  apply  for more than two days of care, after
    29  which payments for such inpatients shall reflect  their  designation  as
    30  requiring  either medically managed detoxification services or medically
    31  supervised withdrawal services, and further provided that days  of  care
    32  provided  in such observation beds shall, for reimbursement purposes, be
    33  fully reflected in the computation of the initial five days of  care  as
    34  set forth in clauses (A) and (B) of this [paragraph] subparagraph.
    35    (E) For the purposes of this paragraph, the regions of the state shall
    36  be as follows:
    37    (I)  New  York  city,  consisting  of the counties of Bronx, New York,
    38  Kings, Queens and Richmond;
    39    (II) Long Island, consisting of the counties of Nassau and Suffolk;

    40    (III) Northern metropolitan, consisting of the counties  of  Columbia,
    41  Delaware, Dutchess, Orange, Putnam, Rockland, Sullivan, Ulster and West-
    42  chester;
    43    (IV)  Northeast, consisting of the counties of Albany, Clinton, Essex,
    44  Fulton, Greene, Hamilton, Montgomery, Rensselaer, Saratoga, Schenectady,
    45  Schoharie, Warren and Washington;
    46    (V) Utica/Watertown, consisting of the counties of Franklin, Herkimer,
    47  Lewis, Oswego, Otsego, St. Lawrence, Jefferson,  Chenango,  Madison  and
    48  Oneida;
    49    (VI)  Central,  consisting of the counties of Broome, Cayuga, Chemung,
    50  Cortland, Onondaga, Schuyler, Seneca, Steuben, Tioga and Tompkins;
    51    (VII) Rochester, consisting of Monroe, Ontario, Livingston, Wayne  and
    52  Yates;
    53    (VIII)  Western,  consisting of the counties of Allegany, Cattaraugus,
    54  Chautauqua, Erie, Genesee, Niagara, Orleans and Wyoming.


        S. 58--B                           50                          A. 158--B
 
     1    (F) Capital cost reimbursement for general hospitals otherwise subject
     2  to the  provisions  of  this  paragraph  shall  remain  subject  to  the
     3  provisions of subdivision eight of this section.
     4    §  12.  Subdivision  4  of  section 2807-c of the public health law is
     5  amended by adding a new paragraph (e-1) to read as follows:
     6    (e-1) Notwithstanding any inconsistent provision of paragraph  (e)  of
     7  this  subdivision  or any other contrary provision of law and subject to
     8  the availability of federal financial participation, per diem  rates  of
     9  payment  by  governmental  agencies for a general hospital or a distinct
    10  unit of a general hospital for inpatient psychiatric services that would

    11  otherwise be subject to the provisions of paragraph (e) of this subdivi-
    12  sion, and rates of payment for outpatient psychiatric services  provided
    13  by such facilities as specified in this paragraph, shall, with regard to
    14  days  of  service  and visits occurring on and after December first, two
    15  thousand nine, be in accordance with the following:
    16    (i) For rate periods on and after December first, two  thousand  nine,
    17  the commissioner, in consultation with the commissioner of the office of
    18  mental health, shall promulgate regulations, and may promulgate emergen-
    19  cy regulations, establishing methodologies for determining the operating
    20  cost  components  of  rates  of  payments for services described in this

    21  paragraph. Such regulations shall utilize two  thousand  five  operating
    22  costs  as submitted to the department prior to December first, two thou-
    23  sand eight and shall provide for  methodologies  establishing  per  diem
    24  inpatient  rates that utilize case mix adjustment mechanisms and provide
    25  for post-discharge referral to  outpatient  services.  Such  regulations
    26  shall contain criteria for adjustments based on length of stay.
    27    (ii)  Rates  of  payment  established pursuant to subparagraph (ii) of
    28  this paragraph shall reflect an  aggregate  net  statewide  increase  in
    29  reimbursement  for such services of up to twenty-five million dollars on
    30  an annual basis.
    31    (iii) Capital  cost  reimbursement  for  general  hospitals  otherwise

    32  subject  to the provisions of this paragraph shall remain subject to the
    33  provisions of subdivision eight of this section.
    34    § 13.  Subdivision 4 of section 2807-c of the  public  health  law  is
    35  amended by adding a new paragraph (e-2) to read as follows:
    36    (e-2)  Notwithstanding  any inconsistent provision of paragraph (e) of
    37  this subdivision or any other contrary provision of law and  subject  to
    38  the  availability  of federal financial participation, per diem rates of
    39  payment by governmental agencies for inpatient services  provided  by  a
    40  general  hospital or a distinct unit of a general hospital for services,
    41  as described below, that would otherwise be subject to the provisions of
    42  paragraph (e) of this subdivision, shall, with regard to days of service

    43  occurring on and after December first, two thousand nine, be  in  accord
    44  with the following:
    45    (i)  For  physical  medical  rehabilitation  services and for chemical
    46  dependency rehabilitation services, the operating cost component of such
    47  rates shall reflect the use of two thousand  five  operating  costs  for
    48  each respective category of services as reported by each facility to the
    49  department  prior  to  July first, two thousand nine and as adjusted for
    50  inflation pursuant to paragraph (c) of subdivision ten of this  section,
    51  as otherwise modified by any applicable statute, provided, however, that
    52  such  two  thousand  five  reported  operating  costs, but not including
    53  reported  direct  medical  education  cost,  shall,   for   rate-setting

    54  purposes, be held to a ceiling of one hundred ten percent of the average
    55  of  such  reported costs in the region in which the facility is located,

        S. 58--B                           51                          A. 158--B
 
     1  as determined pursuant to clause (E) of subparagraph (iii) of  paragraph
     2  (1) of this subdivision.
     3    (ii)  For  services provided by rural hospitals designated as critical
     4  access hospitals in accordance with title XVIII of  the  federal  social
     5  security  act,  the operating cost component of such rates shall reflect
     6  the use of two thousand five operating costs as reported by each facili-
     7  ty to the department prior to July  first,  two  thousand  nine  and  as

     8  adjusted  for  inflation pursuant to paragraph (c) of subdivision ten of
     9  this  section,  as  otherwise  modified  by  any  applicable   statutes,
    10  provided,  however, that such two thousand five reported operating costs
    11  shall, for rate-setting purposes, be held to a ceiling  of  one  hundred
    12  ten  percent  of  the average of such reported costs for all such desig-
    13  nated hospitals statewide.
    14    (iii) For inpatient services provided by  specialty  long  term  acute
    15  care  hospitals  and for inpatient services provided by cancer hospitals
    16  as so designated as of December thirty-first, two  thousand  eight,  the
    17  operating  cost  component  of  such  rates shall reflect the use of two
    18  thousand five operating costs for each respective category  of  facility

    19  as  reported by each facility to the department prior to July first, two
    20  thousand nine and as adjusted for inflation pursuant to paragraph (c) of
    21  subdivision ten of this section, as otherwise modified by any applicable
    22  statutes.
    23    (iv) For facilities designated by the federal department of health and
    24  human services as exempt acute care children's hospitals as of  December
    25  thirty-first,  two  thousand  eight,  for which a discrete institutional
    26  cost report was filed for the two  thousand  seven  calendar  year,  and
    27  which  has  reported  Medicaid  discharges greater than fifty percent of
    28  total discharges in such cost report, shall be determined in  accordance
    29  with the following:

    30    (A)  The  operating cost component of such rates shall reflect the use
    31  of two thousand seven operating costs as reported by  each  facility  to
    32  the  department  prior  to July first, two thousand nine and as adjusted
    33  for the inflation pursuant to paragraph (c) of subdivision ten  of  this
    34  section,  as  otherwise  modified  by  any  applicable  statutes, and as
    35  further adjusted as the commissioner deems appropriate, including  tran-
    36  sition  adjustments.  Such rates shall be determined on a per case basis
    37  or per diem basis, as  set  forth  in  regulations  promulgated  by  the
    38  commissioner.
    39    (B) The operating component of outpatient specialty rates of hospitals
    40  subject to this subparagraph shall reflect the use of two thousand seven

    41  operating  costs  as reported to the department prior to December first,
    42  two thousand eight, and shall include such adjustments  as  the  commis-
    43  sioner deems appropriate.
    44    (C)  The  base period reported operating costs used to establish inpa-
    45  tient and outpatient rates  determined  pursuant  to  this  subparagraph
    46  shall  be  updated no less frequently than every two years and each such
    47  hospital shall submit such  additional  data  as  the  commissioner  may
    48  require to assist in the development of ambulatory patient groups (APGs)
    49  rates for such hospitals' outpatient specialty services.
    50    (v)  Rates  established  pursuant to this paragraph shall be deemed as
    51  excluding reimbursement for physician services  for  inpatient  services

    52  and  claims  for  Medicaid  fee payments for such physician services for
    53  such inpatient care may be submitted separately from the rate in accord-
    54  ance with otherwise applicable law.

        S. 58--B                           52                          A. 158--B
 
     1    (vi)  Capital  cost  reimbursement  for  general  hospitals  otherwise
     2  subject  to the provisions of this paragraph shall remain subject to the
     3  provisions of subdivision eight of this section.
     4    (vii) The commissioner may promulgate regulations, including emergency
     5  regulations, implementing the provisions of this paragraph.
     6    (viii)  The  operating  cost component of rates of payment pursuant to
     7  this paragraph for a general hospital or  distinct  unit  of  a  general

     8  hospital without adequate cost experience shall be based on the lower of
     9  the  facility's  or  unit's  inpatient budgeted operating costs per day,
    10  adjusted to actual, or the applicable regional ceiling, if any.
    11    (ix) The operating cost component of inpatient medicaid rates  subject
    12  to  subparagraphs  (i),  (ii)  and  (iii)  of this paragraph shall, with
    13  regard to alternative level of care (ALC) days of  care  be  subject  to
    14  computation pursuant to paragraph (h) of this subdivision.
    15    §  13-a.  Paragraph  (s-8)  of subdivision 11 of section 2807-c of the
    16  public health law, as amended by section 57 of part C of chapter  58  of
    17  the laws of 2008, is amended to read as follows:
    18    (s-8)  To the extent funds are available and otherwise notwithstanding

    19  any inconsistent provision of law to the contrary, for rate  periods  on
    20  and  after  April first, two thousand seven through [March thirty-first]
    21  November thirtieth, two thousand nine, the commissioner  shall  increase
    22  rates  of  payment  for  patients  eligible  for  payments made by state
    23  governmental agencies by an amount not to exceed sixty  million  dollars
    24  annually  in  the aggregate.  Such amount shall be allocated among those
    25  voluntary non-profit general hospitals which continue to  provide  inpa-
    26  tient services as of April first, two thousand seven through March thir-
    27  ty-first,   two   thousand  eight  and  which  have  medicaid  inpatient
    28  discharges percentages equal to or  greater  than  thirty-five  percent.
    29  This  percentage  shall  be  computed  based  upon  data reported to the
    30  department in each  hospital's  two  thousand  four  institutional  cost

    31  report,  as  submitted to the department on or before January first, two
    32  thousand seven. The rate adjustments calculated in accordance with  this
    33  paragraph  shall  be  allocated  proportionally  based  on each eligible
    34  hospital's total reported medicaid inpatient discharges in two  thousand
    35  four,  to  the total reported medicaid inpatient discharges for all such
    36  eligible hospitals in two thousand four, provided,  however,  that  such
    37  rate  adjustments shall be subject to reconciliation to ensure that each
    38  hospital receives in the aggregate its proportionate share of  the  full
    39  allocation  to the extent allowable under federal law. Such payments may
    40  be added to rates of payment or made as aggregate payments  to  eligible
    41  hospitals, provided, however, that subject to the availability of feder-
    42  al  financial  participation  and solely for the period April first, two

    43  thousand seven through  March  thirty-first,  two  thousand  eight,  six
    44  million  dollars in the aggregate of this sixty million dollars shall be
    45  allocated to voluntary non-profit hospitals which  continue  to  provide
    46  inpatient  services  as of April first, two thousand seven through March
    47  thirty-first, two thousand  eight  and  which  have  Medicaid  inpatient
    48  discharge  percentages  of  less  than thirty-five percent and which had
    49  previously qualified for distributions pursuant to  paragraph  (s-7)  of
    50  this subdivision. The rate adjustment calculated in accordance with this
    51  paragraph shall be allocated proportionally based on the amount of money
    52  the hospital had received in two thousand six.
    53    § 13-b. The commissioner is hereby authorized to seek through a feder-
    54  al waiver, or through the extension of a federal waiver, enhanced feder-

    55  al  financial participation in excess of that authorized by the American
    56  Recovery and Reinvestment Act, in order to support state  reform  activ-

        S. 58--B                           53                          A. 158--B
 
     1  ities,  including  reimbursement  reform,  enacted by the legislature to
     2  promote patient centered care and  improve  access  to  and  quality  of
     3  primary and ambulatory care.
     4    § 13-c. Subdivision 4-c of section 2807-p of the public health law, as
     5  amended  by section 28-a of part B of chapter 58 of the laws of 2008, is
     6  amended to read as follows:
     7    4-c. Notwithstanding any provision of law to the contrary, the commis-
     8  sioner shall make additional payments for uncompensated care  to  volun-
     9  tary  non-profit  diagnostic and treatment centers that are eligible for

    10  distributions under subdivision four of this section  in  the  following
    11  amounts:  for  the  period June first, two thousand six through December
    12  thirty-first, two thousand six, in the  amount  of  seven  million  five
    13  hundred  thousand  dollars,  for  the period January first, two thousand
    14  seven through December thirty-first, two thousand seven,  seven  million
    15  five  hundred  thousand dollars, for the period January first, two thou-
    16  sand eight through December  thirty-first,  two  thousand  eight,  seven
    17  million five hundred thousand dollars, for the period January first, two
    18  thousand  nine through December thirty-first, two thousand nine, [seven]
    19  fifteen million five hundred thousand dollars, for  the  period  January
    20  first, two thousand ten through December thirty-first, two thousand ten,
    21  seven  million five hundred thousand dollars, and for the period January

    22  first, two thousand eleven  through  March  thirty-first,  two  thousand
    23  eleven, in the amount of one million eight hundred seventy-five thousand
    24  dollars, provided, however, that for periods on and after January first,
    25  two  thousand  eight,  such  additional payments shall be distributed to
    26  voluntary, non-profit diagnostic and treatment  centers  and  to  public
    27  diagnostic  and  treatment  centers  in accordance with paragraph (g) of
    28  subdivision four of this section. In the event  that  federal  financial
    29  participation  is  available  for  rate  adjustments  pursuant  to  this
    30  section, the commissioner shall make such payments as additional adjust-
    31  ments to rates of payment for voluntary non-profit diagnostic and treat-
    32  ment centers that  are  eligible  for  distributions  under  subdivision
    33  four-a  of  this  section  in the following amounts: for the period June

    34  first, two thousand six through December thirty-first, two thousand six,
    35  fifteen million dollars in the aggregate, and  for  the  period  January
    36  first,  two  thousand  seven through June thirtieth, two thousand seven,
    37  seven million five  hundred  thousand  dollars  in  the  aggregate.  The
    38  amounts  allocated  pursuant  to this paragraph shall be aggregated with
    39  and distributed pursuant to  the  same  methodology  applicable  to  the
    40  amounts  allocated  to  such  diagnostic  and treatment centers for such
    41  periods pursuant to subdivision four of this section if  federal  finan-
    42  cial  participation  is not available, or pursuant to subdivision four-a
    43  of  this  section  if  federal  financial  participation  is  available.
    44  Notwithstanding  section  three  hundred  sixty-eight-a  of  the  social
    45  services law, there shall be no local  share  in  a  medical  assistance

    46  payment adjustment under this subdivision.
    47    § 14. Paragraphs (a) and (b) of subdivision 2-a of section 2807 of the
    48  public health law, as added by section 18 of part C of chapter 58 of the
    49  laws of 2008, are amended to read as follows:
    50    (a)(i)  for  the  period  December  first,  two thousand eight through
    51  [December thirty-first] November thirtieth, two thousand nine,  seventy-
    52  five percent of such rates of payment for each general hospital's outpa-
    53  tient  services shall reflect the average Medicaid payment per claim, as
    54  determined by the commissioner, for services provided by  that  facility
    55  in  the two thousand seven calendar year, but excluding any payments for
    56  services covered by the facility's licensure, if any, under  the  mental

        S. 58--B                           54                          A. 158--B
 

     1  hygiene law, and twenty-five percent of such rates of payment shall, for
     2  the  operating cost component, reflect the utilization of the ambulatory
     3  patient groups reimbursement methodology described in paragraph  (e)  of
     4  this subdivision;
     5    (ii)  for the period [January] December first, two thousand [ten] nine
     6  through December thirty-first, two thousand ten, fifty percent  of  such
     7  rates  for  each facility shall reflect the average Medicaid payment per
     8  claim, as determined by the commissioner, for services provided by  that
     9  facility  in  the  two  thousand  seven calendar year, but excluding any
    10  payments for services covered by the facility's licensure, if any, under
    11  the mental hygiene law, and fifty  percent  of  such  rates  of  payment
    12  shall,  for the operating cost component, reflect the utilization of the

    13  ambulatory patient groups reimbursement methodology described  in  para-
    14  graph (e) of this subdivision;
    15    (iii) for the period January first, two thousand eleven through Decem-
    16  ber thirty-first, two thousand eleven, twenty-five percent of such rates
    17  shall  reflect  the average Medicaid payment per claim, as determined by
    18  the commissioner, for services provided by that  facility  for  the  two
    19  thousand  seven  calendar  year, but excluding any payments for services
    20  covered by the facility's licensure, if any, under  the  mental  hygiene
    21  law,  and  seventy-five  percent of such rates of payment shall, for the
    22  operating cost component, reflect  the  utilization  of  the  ambulatory
    23  patient  groups  reimbursement methodology described in paragraph (e) of
    24  this subdivision; and
    25    (iv) for periods on and after January first, two thousand twelve,  one

    26  hundred  percent  of such rates of payment shall reflect the utilization
    27  of the ambulatory patient groups reimbursement methodology described  in
    28  paragraph (e) of this subdivision.
    29    (v)  This  paragraph  shall  be  effective  the later of: (i) December
    30  first, two thousand eight, or (ii) after the commissioner receives final
    31  approval of federal financial participation in payments made for benefi-
    32  ciaries eligible for medical assistance under title XIX of  the  federal
    33  social  security  act  for  the rate methodology established pursuant to
    34  subparagraph (i) of paragraph (a) of subdivision thirty-three of section
    35  twenty-eight hundred seven-c of this article.
    36    (b)(i) for the period March first, two thousand nine through  December
    37  [thirty-first]  first,  two  thousand nine, seventy-five percent of such

    38  rates of payment for services provided by each diagnostic and  treatment
    39  center  and  each  free-standing ambulatory surgery center shall reflect
    40  the average Medicaid payment per claim, as determined by the commission-
    41  er, for services provided by that facility in  the  two  thousand  seven
    42  calendar  year,  but  excluding any payments for services covered by the
    43  facility's licensure, if any, under the mental hygiene law, and  twenty-
    44  five  percent  of  such  rates  of payment shall, for the operating cost
    45  component, reflect the utilization  of  the  ambulatory  patient  groups
    46  reimbursement  methodology  described  in paragraph (e) of this subdivi-
    47  sion;
    48    (ii) for the period January first, two thousand ten  through  December
    49  thirty-first,  two  thousand  ten,  fifty percent of such rates for each
    50  facility shall reflect the average Medicaid payment per claim, as deter-

    51  mined by the commissioner, for services provided by that facility in the
    52  two thousand  seven  calendar  year,  but  excluding  any  payments  for
    53  services  covered  by the facility's licensure, if any, under the mental
    54  hygiene law, and fifty percent of such rates of payment shall,  for  the
    55  operating  cost  component,  reflect  the  utilization of the ambulatory

        S. 58--B                           55                          A. 158--B
 
     1  patient groups reimbursement methodology described in paragraph  (e)  of
     2  this subdivision;
     3    (iii) for the period January first, two thousand eleven through Decem-
     4  ber thirty-first, two thousand eleven, twenty-five percent of such rates
     5  for  each facility shall reflect the average Medicaid payment per claim,
     6  as determined by the commissioner, for services provided by that facili-

     7  ty in the two thousand seven calendar year, but excluding  any  payments
     8  for  services  covered  by  the  facility's licensure, if any, under the
     9  mental hygiene law, and seventy-five percent of such  rates  of  payment
    10  shall,  for the operating cost component, reflect the utilization of the
    11  ambulatory patient groups reimbursement methodology described  in  para-
    12  graph (e) of this subdivision; and
    13    (iv)  for periods on and after January first, two thousand twelve, one
    14  hundred percent of such rates of payment shall reflect  the  utilization
    15  of  the ambulatory patient groups reimbursement methodology described in
    16  paragraph (e) of this subdivision.
    17    § 15. Paragraph (e) subdivision 2-a of  section  2807  of  the  public
    18  health  law,  as added by section 18 of part C of chapter 58 of the laws
    19  2008, is amended to read as follows:

    20    (e) (i) notwithstanding any inconsistent provisions of  this  subdivi-
    21  sion,   the  commissioner  shall  promulgate  regulations  establishing,
    22  subject to the approval of the state director of the  budget,  methodol-
    23  ogies  for  determining  rates  of payment for the services described in
    24  this subdivision. Such regulations  shall  reflect  utilization  of  the
    25  ambulatory  patient  group  (APG)  methodology,  in  which  patients are
    26  grouped based on their diagnosis, the intensity of the services provided
    27  and the medical procedures performed,  and  with  each  APG  assigned  a
    28  weight  reflecting  the  projected  utilization of resources. Such regu-
    29  lations shall provide for the development of one or more base rates  and
    30  the  multiplication  of  such base rates by the assigned weight for each
    31  APG to establish the appropriate payment level for each such APG.   Such

    32  regulations  may  also utilize bundling, packaging and discounting mech-
    33  anisms.
    34    If the commissioner determines that the use of the APG methodology  is
    35  not, or is not yet, appropriate or practical for specified services, the
    36  commissioner   may  utilize  existing  payment  methodologies  for  such
    37  services or may promulgate regulations,  and  may  promulgate  emergency
    38  regulations,  establishing  alternative  payment  methodologies for such
    39  services.
    40    (ii) Notwithstanding this subdivision and any other contrary provision
    41  of law, the commissioner may incorporate within the payment  methodology
    42  described  in  subparagraph  (i)  of this paragraph payment for services
    43  provided by facilities pursuant to licensure under  the  mental  hygiene

    44  law,  provided, however, that such APG payment methodology may be phased
    45  into effect in accordance with a schedule or schedules as jointly deter-
    46  mined by the  commissioner,  the  commissioner  of  mental  health,  the
    47  commissioner of alcoholism and substance abuse services, and the commis-
    48  sioner of mental retardation and developmental disabilities.
    49    §  16.  Paragraph (i) of subdivision 2-a of section 2807 of the public
    50  health law, as added by section 19 of part OO of chapter 57 of the  laws
    51  of 2008, is amended to read as follows:
    52    (i)  Notwithstanding  any  provision  of law to the contrary, rates of
    53  payment  by  governmental  agencies  for  general  hospital   outpatient
    54  services,  general  hospital  emergency services and ambulatory surgical

    55  services provided by a general hospital established  pursuant  to  para-
    56  graphs (a), (c) and (d) of this subdivision shall result in an aggregate

        S. 58--B                           56                          A. 158--B
 
     1  increase  in  such rates of payment of fifty-six million dollars for the
     2  period December first, two thousand eight  through  March  thirty-first,
     3  two  thousand  nine  and  one  hundred seventy-eight million dollars for
     4  periods  after  April  first, two thousand nine, provided, however, that
     5  for periods on and after April first, two thousand  nine,  such  amounts
     6  may  be adjusted to reflect projected decreases in fee-for-service Medi-
     7  caid utilization and changes in case-mix with regard  to  such  services

     8  from  the  two thousand seven calendar year to the applicable rate year,
     9  and provided further, however, that funds made available as a result  of
    10  any such decreases may be utilized by the commissioner to increase capi-
    11  tation  rates paid to Medicaid managed care plans and family health plus
    12  plans to cover increased payments to health care providers for ambulato-
    13  ry care services and to increase  such  other  ambulatory  care  payment
    14  rates  as  the commissioner determines necessary to facilitate access to
    15  quality ambulatory care services.
    16    § 16-a. Subparagraph (ii) of  paragraph  (f)  of  subdivision  2-a  of
    17  section  2807 of the public health law, as added by section 18 of part C
    18  of chapter 58 of the laws of 2008, is amended to read as follows:

    19    (ii) notwithstanding the provisions of paragraphs (a) and (b) of  this
    20  subdivision,  for periods on and after January first, two thousand nine,
    21  the following services provided by general hospital  outpatient  depart-
    22  ments  and  diagnostic  and  treatment  centers shall be reimbursed with
    23  rates of payment based entirely upon the ambulatory patient group  meth-
    24  odology  as  described  in  paragraph (e) of this subdivision, provided,
    25  however, that the commissioner may utilize  existing  payment  methodol-
    26  ogies  or  may  promulgate  regulations establishing alternative payment
    27  methodologies for one or more of the services specified in  clauses  (C)
    28  and  (D)  of this subparagraph, effective for periods on and after March
    29  first, two thousand nine:

    30    (A) services provided in accordance with the provisions of  paragraphs
    31  (q)  and (r) of subdivision two of section three hundred sixty-five-a of
    32  the social services law; and
    33    (B) all services, but only with regard to additional payment  amounts,
    34  as  determined  in accordance with regulations issued in accordance with
    35  paragraph (e) of this subdivision, for the provision  of  such  services
    36  during times outside the facility's normal hours of operation, as deter-
    37  mined in accordance with criteria set forth in such regulations; and
    38    (C)  individual  psychotherapy  services  provided  by licensed social
    39  workers, in accordance with licensing criteria set forth  in  applicable
    40  regulations, to persons under the age of nineteen and to persons requir-
    41  ing  such  services  as  a  result  of or related to pregnancy or giving
    42  birth[.]; and

    43    (D) individual psychotherapy  services  provided  by  licensed  social
    44  workers,  in  accordance with licensing criteria set forth in applicable
    45  regulations, at diagnostic and treatment centers that  provided,  billed
    46  for,  and received payment for these services between January first, two
    47  thousand seven and December thirty-first, two thousand seven[.]; and
    48    (E) services provided to pregnant women pursuant to paragraph  (s)  of
    49  subdivision  two  of  section  three  hundred sixty-five-a of the social
    50  services law and, for periods on and after January first,  two  thousand
    51  ten,  all  other  services  provided  pursuant to such paragraph (s) and
    52  services provided pursuant  to  paragraph  (t)  of  subdivision  two  of
    53  section three hundred sixty-five-a of the social services law.

    54    §  17.  Notwithstanding  any contrary provision of law, except section
    55  43.02 of the mental hygiene law,  subject  to  availability  of  federal
    56  financial  participation,  and  within  amounts  appropriated therefore,

        S. 58--B                           57                          A. 158--B
 
     1  commencing on or after October  1,  2009  the  commissioners  of  mental
     2  health  and health are jointly authorized to implement and enhance fund-
     3  ing of the Ambulatory Patient Group (APG) reimbursement methodology, for
     4  clinic  services rendered by providers pursuant to their licensure under
     5  article 31 of the mental hygiene law.
     6    § 18. The commissioners of mental health and health,  subject  to  the
     7  approval  of the state director of the budget, are jointly authorized to
     8  implement and enhance funding of  the  Ambulatory  Patient  Group  (APG)

     9  reimbursement  methodology  for  determining rates of payment for outpa-
    10  tient clinic services rendered pursuant to  providers'  licensure  under
    11  article 31 of the mental hygiene law. The commissioner of mental health,
    12  subject  to  the approval of the commissioner of health and the director
    13  of the budget, shall promulgate regulations pursuant to  article  31  of
    14  the mental hygiene law which shall reflect utilization of the Ambulatory
    15  Patient  Group  (APG)  methodology,  as  described in subdivision 2-a of
    16  section 2807 of the public health law, in  which  patients  are  grouped
    17  based on their diagnosis, the intensity of the services provided and the
    18  medical  procedures  performed,  and  with  each  APG  assigned a weight
    19  reflecting the projected  utilization  of  resources.  Such  regulations
    20  shall  provide  for  the  development  of one or more base rates and the

    21  multiplication of such base rates by the assigned weight for each APG to
    22  establish the appropriate payment level for each such APG.   Such  regu-
    23  lations may also utilize bundling, packaging and discounting mechanisms.
    24    § 19. Intentionally omitted.
    25    §  20.  Notwithstanding  any contrary provision of law, and subject to
    26  federal financial participation under Title XIX of the  Social  Security
    27  Act,  and  within amounts appropriated therefore, commencing on or after
    28  October 1, 2009, the commissioners of health and mental retardation  and
    29  developmental disabilities are jointly authorized to implement the Ambu-
    30  latory   Patient  Group  (APG)  reimbursement  methodology,  for  clinic
    31  services rendered by providers pursuant to their licensure under article
    32  16 of the mental hygiene law.
    33    § 21. The commissioners of mental retardation and developmental  disa-

    34  bilities,  and  health, subject to the approval of the state director of
    35  the budget, are jointly authorized to implement the  Ambulatory  Patient
    36  Group  (APG)  reimbursement methodology for determining rates of payment
    37  for clinic services rendered  pursuant  to  providers'  licensure  under
    38  article  16 of the mental hygiene law. The commissioner of mental retar-
    39  dation and developmental disabilities, subject to the  approval  of  the
    40  commissioner  of  health  and  director  of the budget, shall promulgate
    41  regulations pursuant to article 16 of the mental hygiene law which shall
    42  reflect utilization of the Ambulatory Patient Group  (APG)  methodology,
    43  as  described  in  subdivision  2-a of section 2807 of the public health
    44  law, in which patients are grouped based on their diagnosis, the  inten-
    45  sity  of  the  services  provided and the procedures performed, and with

    46  each APG assigned a  weight  reflecting  the  projected  utilization  of
    47  resources.  Such regulations shall provide for the development of one or
    48  more  base  rates  and  the  multiplication  of  such  base rates by the
    49  assigned weight for each APG to establish the appropriate payment  level
    50  for each such APG. Such regulations may also utilize bundling, packaging
    51  and discounting mechanisms.
    52    § 22. Notwithstanding any contrary provision of law, subject to feder-
    53  al  financial  participation under Title XIX of the Social Security Act,
    54  and within amounts appropriated therefore, commencing on or after  Octo-
    55  ber  1,  2009  the commissioners of health, and alcoholism and substance
    56  abuse services are authorized to implement and enhance  funding  of  the

        S. 58--B                           58                          A. 158--B
 

     1  Ambulatory  Patient  Group  (APG)  reimbursement  methodology for clinic
     2  services rendered pursuant to providers'  operating  certificates  under
     3  article 32 of the mental hygiene law.
     4    §  23.  The  commissioners of alcoholism and substance abuse services,
     5  and health, subject to the approval of the state director of the budget,
     6  are jointly authorized to implement and enhance funding of the Ambulato-
     7  ry Patient Group (APG) reimbursement methodology for  determining  rates
     8  of  payment  for outpatient clinic services rendered pursuant to provid-
     9  ers' operating certificates under article 32 of the mental hygiene  law.
    10  The  commissioner of alcoholism and substance abuse services, subject to
    11  the approval of the commissioner of health   and  the  director  of  the
    12  budget,  shall  promulgate  regulations  pursuant  to  article 32 of the

    13  mental hygiene law which shall reflect  utilization  of  the  Ambulatory
    14  Patient  Group  (APG)  methodology,  as  described in subdivision 2-a of
    15  section 2807 of the public health law, in  which  patients  are  grouped
    16  based on their diagnosis, the intensity of the services provided and the
    17  procedures performed, and with each APG assigned a weight reflecting the
    18  projected  utilization  of resources. Such regulations shall provide for
    19  the development of one or more base rates and the multiplication of such
    20  base rates by the assigned weight for each APG to establish  the  appro-
    21  priate  payment  level  for  each  such  APG.  Such regulations may also
    22  utilize bundling, packaging and discounting mechanisms.
    23    § 23-a. Notwithstanding any contrary  provision  of  law,  and  within
    24  amounts  appropriated,  commencing December 1, 2009 the commissioners of

    25  alcoholism and substance abuse services, and health are jointly  author-
    26  ized  to increase medical assistance fees for medically supervised with-
    27  drawal services.
    28    § 24. Section 2 of the social services law is amended by adding a  new
    29  subdivision 38 to read as follows:
    30    38.  When  used  in  this  chapter, the following terms shall have the
    31  following meanings, unless otherwise  expressly  stated  or  unless  the
    32  context or subject matter requires a different interpretation:
    33    (a)  "Medicaid"  or "medical assistance" means title eleven of article
    34  five of this chapter and the program thereunder.
    35    (b) "Family health plus" means title eleven-D of article five of  this
    36  chapter and the program thereunder.

    37    (c)  "Child  health  plus" means title one-A of article twenty-five of
    38  the public health law and the program thereunder.
    39    (d) "Medicaid managed care"  means  Medicaid  provided  under  section
    40  three hundred sixty-four-j of this chapter.
    41    (e)  "Medicaid  fee-for-service"  means  Medicaid  provided other than
    42  under Medicaid managed care.
    43    § 25. The social services law is amended by adding a new section 364-m
    44  to read as follows:
    45    § 364-m. Statewide patient  centered  medical  home  program.  1.  The
    46  commissioner  of  health is authorized to certify certain clinicians and
    47  clinics as health care homes in order to  improve  health  outcomes  and
    48  efficiency  through  patient  care continuity and coordination of health

    49  services. These providers will be eligible  for  enhanced  payments  for
    50  services provided to:  recipients eligible for Medicaid fee-for-service;
    51  enrollees eligible for Medicaid managed care; enrollees eligible for and
    52  enrolled  in Family Health Plus organizations pursuant to title eleven-D
    53  of this article ("Family Health Plus"); and enrollees eligible  for  and
    54  enrolled in Child Health Plus.  As used in this section "clinic" means a
    55  general hospital providing outpatient care or a diagnostic and treatment
    56  center, licensed under article twenty-eight of the public health law.

        S. 58--B                           59                          A. 158--B
 
     1    2.  By  December  first, two thousand nine, the commissioner of health

     2  shall develop and  implement  standards  of  certification  for  patient
     3  centered medical homes for Medicaid fee-for-service and Medicaid managed
     4  care,  Family  Health Plus and Child Health Plus programs. In developing
     5  such  standards, the commissioner of health shall: (a) consider existing
     6  standards developed by national accrediting and  professional  organiza-
     7  tions;  and (b) consult with national and local organizations working on
     8  medical home models, physicians, hospitals, clinics,  health  plans  and
     9  consumers and their representatives.
    10    3.  To  maintain  their  certification, patient centered medical homes
    11  must: (a) renew their certification at a  frequency  determined  by  the

    12  commissioner of health; and (b) provide data to the department of health
    13  and  to  health  plans  in  which  the patient is enrolled to permit the
    14  commissioner of health  to  evaluate  the  impact  of  patient  centered
    15  medical homes on quality, outcomes and cost.
    16    4.  Subject  to  the  availability  of  funding  and federal financial
    17  participation, the commissioner of health is authorized:
    18    (a) To pay enhanced rates of payment to clinics  and  clinicians  that
    19  are certified as patient centered medical homes under this section. Such
    20  enhancements  may  be  tiered based on the level of standard achieved by
    21  the clinician or clinic; and
    22    (b) To pay additional amounts for patient centered medical homes  that

    23  meet specific process or outcome standards specified by the commissioner
    24  of health.
    25    5.  By December thirty-first, two thousand twelve, the commissioner of
    26  health shall report to the governor and the legislature on the impact of
    27  the statewide patient centered medical home program on quality, cost and
    28  outcomes for enrollees in  Medicaid  fee-for-service,  Medicaid  managed
    29  care, Family Health Plus and Child Health Plus.
    30    §  26. Sections 2950 through 2958 of article 29-A of the public health
    31  law are designated title 1 and a new title heading is added to  read  as
    32  follows:
    33                          RURAL HEALTH CARE ACCESS
    34    §  26-a.  Article 29-A of the public health law is amended by adding a
    35  new title 2 to read as follows:

    36                                   TITLE 2
    37                     ADIRONDACK MEDICAL HOME MULTIPAYOR
    38                            DEMONSTRATION PROGRAM
    39    Section  2959.  Adirondack  medical  home   multipayor   demonstration
    40  program.
    41    §  2959.  Adirondack medical home multipayor demonstration program. 1.
    42  The commissioner is authorized to establish an Adirondack  medical  home
    43  multipayor  demonstration program and may certify certain clinicians and
    44  clinics in the upper northeastern region of New York  as  medical  homes
    45  eligible  for  enhanced  payments  for services provided to:  recipients
    46  eligible for medical assistance pursuant to title eleven of article five

    47  of the  social  services  law  ("Medicaid  fee-for-service");  enrollees
    48  eligible  for  medical assistance pursuant to such title and enrolled in
    49  approved managed care organizations pursuant to  section  three  hundred
    50  sixty-four-j of such title ("Medicaid managed care"); enrollees eligible
    51  for  Family  Health Plus and enrolled in approved organizations pursuant
    52  to title eleven-D of article five of the social  services  law  ("Family
    53  Health Plus"); enrollees eligible for the child health insurance program
    54  and  enrolled in approved organizations pursuant to title one-A of arti-
    55  cle twenty-five of this chapter ("Child Health Plus Program"); enrollees
    56  and subscribers of commercial managed care plans operating in accordance


        S. 58--B                           60                          A. 158--B
 
     1  with the provisions of article forty-four of this chapter or  by  health
     2  maintenance  organizations  organized  and  operating in accordance with
     3  article forty-three of the insurance law; enrollees and  subscribers  of
     4  other commercial insurance products; and employees of employer-sponsored
     5  self-insured  plans.  The  purpose  of  this demonstration program is to
     6  improve health care outcomes and efficiency through patient care  conti-
     7  nuity and coordination of health services.
     8    2.  (a) In order to promote improved quality of, and access to, health
     9  care services and promote improved clinical outcomes to the residents in

    10  the upper northeastern region of New York, it shall be the policy of the
    11  state relating to the demonstration program  to  encourage  cooperative,
    12  collaborative and integrative arrangements between payors of health care
    13  services  and  health  care  services  providers  who might otherwise be
    14  competitors, under the active supervision of the  commissioner.  To  the
    15  extent  such  arrangements  might be anti-competitive within the meaning
    16  and intent of the federal antitrust laws, the intent of the state is  to
    17  supplant  competition  with  such arrangement to the extent necessary to
    18  accomplish the purposes of this article relating  to  the  demonstration
    19  program,  and  provide state action immunity under the state and federal

    20  antitrust laws with respect to the planning, implementation  and  opera-
    21  tion of the Adirondack medical home multipayor demonstration program and
    22  payors of medical services and health care services providers.
    23    (b)  The commissioner or his or her duly authorized representative may
    24  also engage in appropriate state supervision necessary to promote  state
    25  action  immunity  under  the  state  and federal antitrust laws, and may
    26  inspect or request additional documentation to verify  that  the  demon-
    27  stration is implemented in accordance with its intent and purpose.
    28    3.  The  commissioner,  for  purpose  of the demonstration program, is
    29  authorized to participate in, actively supervise, facilitate and approve

    30  a primary care medical home  collaborative  with  health  care  services
    31  providers,   which  may  include  hospitals,  diagnostic  and  treatment
    32  centers, and private practices, and  payors  of  health  care  services,
    33  including  employers,  health  plans and insurers, to establish: (a) the
    34  boundaries of the demonstration and the providers  eligible  to  partic-
    35  ipate;  (b)  practice  standards  for  the  medical home consistent with
    36  existing standards developed by national  accrediting  and  professional
    37  organizations  including the joint principles of the American College of
    38  Physicians ("ACP"), the American Academy of Family Physicians  ("AAFP"),
    39  the  American  Academy  of  Pediatrics ("AAP"), the American Osteopathic

    40  Association ("AOA"), and as further defined by "Patient Centered Medical
    41  Home,"  as  represented  in  certification  programs  developed  by  the
    42  National  Committee for Quality Assurance ("NCQA"); (c) methodologies by
    43  which payors will provide enhanced rates of payment to certified medical
    44  homes; and (d) methodologies to pay additional amounts for medical homes
    45  that meet specific process  or  outcome  standards  established  by  the
    46  Adirondack medical home collaborative.
    47    4.  Patient  and  health  care  services provider participation in the
    48  Adirondack medical home multipayor demonstration program shall be  on  a
    49  voluntary basis.
    50    5.  Clinics and clinicians participating in this demonstration are not

    51  eligible for additional enhancements  or  bonuses  under  the  statewide
    52  medical  home  program,  established  pursuant  to section three hundred
    53  sixty-four-m of the  social  services  law,  for  services  provided  to
    54  participants  in Medicaid fee-for-service, Medicaid managed care, Family
    55  Health Plus or Child Health Plus.

        S. 58--B                           61                          A. 158--B
 
     1    6. Subject to  the  availability  of  funding  and  federal  financial
     2  participation, the commissioner is authorized:
     3    (a)  To  pay enhanced rates of payment under Medicaid fee-for-service,
     4  Medicaid managed care, Family Health Plus and Child Health Plus to clin-

     5  ics and clinicians that are certified as medical homes under this title;
     6  and
     7    (b) To pay additional amounts for medical  homes  that  meet  specific
     8  process or outcome standards specified by the commissioner, in consulta-
     9  tion with the Adirondack medical home collaborative.
    10    §  27.  Subdivision  2  of section 365-a of the social services law is
    11  amended by adding three new paragraphs (s),  (t)  and  (u)  to  read  as
    12  follows:
    13    (s)  smoking  cessation  counseling services for pregnant women on any
    14  day of pregnancy through the end of the month in which the  one  hundred
    15  eightieth  day  following  the end of the pregnancy occurs, and children
    16  and adolescents ten to nineteen years of age,  during  a  medical  visit

    17  when  provided  by  a  general hospital outpatient department or a free-
    18  standing clinic, or by a physician,  registered  physician's  assistant,
    19  registered  nurse  practitioner  or  licensed  midwife  in  office-based
    20  settings; provided, however,  that  the  provisions  of  this  paragraph
    21  relating  to smoking cessation counseling services shall not take effect
    22  unless all necessary approvals under federal  law  and  regulation  have
    23  been obtained to receive federal financial participation in the costs of
    24  such services.
    25    (t)  cardiac  rehabilitation  services  when  ordered by the attending
    26  physician and provided in a hospital-based or free-standing clinic in an
    27  area set aside for cardiac rehabilitation, or in a  physician's  office;

    28  provided,  however,  that  the  provisions of this paragraph relating to
    29  cardiac rehabilitation services shall not take effect unless all  neces-
    30  sary  approvals  under  federal law and regulation have been obtained to
    31  receive federal financial participation in the costs of such services.
    32    (u) screening, brief intervention, and referral to treatment in hospi-
    33  tal emergency departments of individuals at  risk  for  substance  abuse
    34  including  referral  to the appropriate level of intervention and treat-
    35  ment in a community setting; provided, however, that the  provisions  of
    36  this  paragraph  relating to screening, brief intervention, and referral
    37  to treatment  services  shall  not  take  effect  unless  all  necessary

    38  approvals under federal law and regulation have been obtained to receive
    39  federal financial participation in such costs.
    40    § 28. Intentionally omitted.
    41    § 28-a. Notwithstanding any contrary provision of section 14 of part B
    42  of chapter 1 of the laws of 2002 or any other contrary provision of law,
    43  distributions  made pursuant to section 14 of part B of chapter 1 of the
    44  laws of 2002, shall be based on each eligible  hospital's  proportionate
    45  share  of  the  sum  of  all Medicaid outpatient visits for all eligible
    46  hospitals in the base year two years prior to the rate year.
    47    § 29. Intentionally omitted.
    48    § 30. Section 364-f of the social services law, as  added  by  chapter
    49  904 of the laws of 1984, is amended to read as follows:
    50    §  364-f.  [Physician]  Primary  care case management programs. 1. The

    51  department is authorized to  establish  [physician]  primary  care  case
    52  management   [demonstration]  programs,  under  the  medical  assistance
    53  program, in accordance with  applicable  federal  law  and  regulations.
    54  Primary  care case management programs shall only be authorized in areas
    55  of the state where comprehensive health services plans,  as  defined  in
    56  section  forty-four  hundred  one  of the public health law, are not yet

        S. 58--B                           62                          A. 158--B
 
     1  available. Subject to the approval of the director of  the  budget,  the
     2  commissioner  is  authorized  to apply for the appropriate waivers under
     3  federal law and regulation, and may  waive  any  of  the  provisions  of

     4  sections  three  hundred  sixty-five-a,  three  hundred sixty-six, three
     5  hundred sixty-seven-b  [and],  three  hundred  sixty-eight-a  and  three
     6  hundred sixty-four-j of this chapter or any regulation of the department
     7  when  such  action  would be necessary to assist in promoting the objec-
     8  tives of this section.
     9    2. (a) A  [physician]  primary  care  case  management  program  shall
    10  provide individuals eligible for medical assistance with the opportunity
    11  to select [voluntarily] a primary care case [management provider] manag-
    12  er  who shall provide medical assistance services to such eligible indi-
    13  viduals, either directly, or  through  referral  [by  a  physician  case
    14  manager].

    15    (b)  [Physician] Primary care case managers shall be limited to quali-
    16  fied, licensed primary care [physicians] practitioners,  as  defined  in
    17  paragraph  (f)  of subdivision one of section three hundred sixty-four-j
    18  of this chapter, who meet standards established by the commissioner  [of
    19  health] for the purposes of this program.
    20    (c)  Services [for which a physician case manager will be responsible]
    21  that may be covered by the primary  care  case  management  program  are
    22  defined by the commissioner in the benefit package. Covered services may
    23  include  all  medical  assistance  services  defined under section three
    24  hundred sixty-five-a of this chapter, except:

    25    (i) services excluded under paragraph  (e)  of  subdivision  three  of
    26  section  three  hundred  sixty-four-j  of this chapter shall be excluded
    27  under this section;
    28    (ii) services provided by residential  health  care  facilities,  long
    29  term home health care programs, child care agencies, and entities offer-
    30  ing comprehensive health services plans;
    31    [(ii)] (iii) services provided by dentists and optometrists; and
    32    [(iii)]  (iv)  eyeglasses,  emergency care, mental health services and
    33  family planning services.
    34    (d) Case management services provided by [physician] primary care case
    35  managers shall include, but need not be limited to:
    36    (i) management of the medical and health care  of  each  recipient  to

    37  assure  that  all services provided under paragraph (c) of this subdivi-
    38  sion and which are found to be necessary, are made available in a timely
    39  manner;
    40    (ii) referral to,  and  coordination,  monitoring  and  follow-up  of,
    41  appropriate  providers  for  diagnosis and treatment, the need for which
    42  has been identified by the [physician] primary  care  case  manager  but
    43  which  is  not directly available from the [physician] primary care case
    44  manager, and assisting medical  assistance  recipients  in  the  prudent
    45  selection of medical services;
    46    (iii)  arrangements  for referral of recipients to appropriate provid-
    47  ers; and
    48    (iv) [services provided in  accordance  with  child  health  assurance
    49  program  standards  for  individuals  under twenty-one years of age] all

    50  early periodic screening, diagnosis and treatment services, as  well  as
    51  interperiodic  screening and referral, to each participant under the age
    52  of twenty-one at regular intervals.
    53    3. (a) [Physician]  Primary  care  case  management  programs  may  be
    54  conducted  only  in  accordance with [plans submitted by social services
    55  districts and approved] guidelines  established  by  the  commissioner[,
    56  after  consultation  with  the  commissioner  of health, and only to the

        S. 58--B                           63                          A. 158--B

     1  extent and period for which such plans have been approved by the commis-
     2  sioner. The commissioner shall not authorize the implementation of  such

     3  plans  in  more  than  ten social services districts. For the purpose of
     4  implementing  and  administering the physician case management programs,
     5  social services districts may].   For the purpose  of  implementing  and
     6  administering the primary care case management programs, the commission-
     7  er  may  contract  with  private  not-for-profit  and public agencies as
     8  defined in guidelines established by the commissioner for the management
     9  and  administration  of  [these  plans  provided,  however,  that   such
    10  contracts  shall require prior approval by the commissioner] the primary
    11  care case management program.
    12    (b) The [commissioner shall only approve plans submitted  pursuant  to

    13  this  section  which:  (i)  identify  and document the specific problems
    14  which the physician case management program is designed to address with-
    15  in the social services district;] primary care case  management  program
    16  must:
    17    [(ii)]  (i) assure access to and delivery of high quality, appropriate
    18  medical services;
    19    [(iii) include a description of the quality assurance mechanisms to be
    20  implemented]  (ii)  participate  in  quality  assurance  activities   as
    21  required  by  the  commissioner, as well as other mechanisms designed to
    22  protect recipient rights under such program;
    23    [(iv) designate the entity to be responsible for the administration of

    24  the program within the social services district and describe the respon-
    25  sibilities of this entity;
    26    (v) include a fiscal impact statement which describes the  anticipated
    27  savings  to  federal, state and local governments, including an estimate
    28  of those costs, including both inpatient  and  ambulatory  costs,  which
    29  would have been incurred in the absence of the program and the projected
    30  costs under the program;
    31    (vi)]  (iii)  ensure that persons eligible for medical assistance will
    32  be provided sufficient information regarding  the  program  to  make  an
    33  informed and voluntary choice whether to participate; and
    34    [(vii)]  (iv)  provide  for  adequate safeguards to protect recipients

    35  from being misled concerning the program and  from  being  coerced  into
    36  participating   in   the   [physician]   primary  care  case  management
    37  program[;].
    38    [(viii) assure adequate opportunity  for  public  review  and  comment
    39  prior  to  implementation  of the program and provide adequate grievance
    40  procedures for recipients who participate in the program; and
    41    (ix) include any other information which  the  department  shall  deem
    42  appropriate.]
    43    4. (a) Individuals eligible [for medical assistance] to participate in
    44  Medicaid managed care, [as defined in section three hundred sixty-six of
    45  this chapter,] to participate in Medicaid managed care may [voluntarily]

    46  participate  in  a  [physician]  primary  care  case management program,
    47  subject to the availability of such  a  program  within  the  applicable
    48  social  services district, except for individuals: (i) required by Medi-
    49  caid managed care to be enrolled in an entity offering  a  comprehensive
    50  health  services  plan as defined in paragraph (k) of subdivision two of
    51  section three hundred sixty-five-a of this chapter;  (ii)  participating
    52  in another medical assistance reimbursed demonstration or pilot project,
    53  or  (iii)  receiving  services  as  an  inpatient from a nursing home or
    54  intermediate care facility or residential services  from  a  child  care
    55  agency or services from a long term home health care program.

        S. 58--B                           64                          A. 158--B
 

     1    (b)  [All  individuals  eligible  for  medical assistance] Individuals
     2  choosing to participate [voluntarily] in a [physician] primary care case
     3  management program will be given thirty days from the effective date  of
     4  enrollment  in the program to disenroll without cause. After this thirty
     5  day  disenrollment  period, all individuals participating in the program
     6  will be enrolled for a period of [six] twelve months,  except  that  all
     7  participants  will  be permitted to disenroll for good cause, as defined
     8  in guidelines established by the commissioner [in regulation].
     9    5. (a) [Physician] Primary care case management programs  may  include
    10  provisions for innovative payment mechanisms, including, but not limited

    11  to,  [sharing of any savings with providers,] payment of case management
    12  fees [and], capitation arrangements, and fee-for-service payments.
    13    (b) Any new payment mechanisms and levels of payment implemented under
    14  the [physician] primary care case management program shall be  developed
    15  [jointly]  by  the commissioner [and the commissioner of health] subject
    16  to the approval of the director of the budget.
    17    6. Notwithstanding any inconsistent provision of this section, partic-
    18  ipation in a primary care case management program will not diminish  the
    19  scope of available medical services to which a recipient is entitled.
    20    7.  This section shall be effective if, and as long as, federal finan-
    21  cial participation is available therefor.

    22    § 31. The public health law is amended by adding a new section 2821 to
    23  read as follows:
    24    § 2821. State electronic health records (EHR) loan program.  1.  Defi-
    25  nitions.  As used in this section, the following words and phrases shall
    26  have the following  meanings  unless  a  different  meaning  is  plainly
    27  required by the context:
    28    (a) "Authority" shall mean the dormitory authority of the state of New
    29  York  created  by  title four of article eight of the public authorities
    30  law which has succeeded to the  powers,  functions  and  duties  of  the
    31  medical  care facilities finance agency pursuant to chapter eighty-three
    32  of the laws of nineteen hundred ninety-five.
    33    (b) "Eligible health care provider" shall mean any health care provid-

    34  er organized under the laws of this state eligible  to  receive  federal
    35  funds,  which has been approved for participation in this program by the
    36  commissioner.
    37    (c) "EHR loan fund" shall mean the certified electronic health records
    38  technology loan fund authorized  to  be  established  by  the  authority
    39  pursuant to this section.
    40    2.  The  authority  shall  establish the EHR loan fund. Funds shall be
    41  transferred or appropriated to the authority for deposit in the EHR loan
    42  fund as authorized pursuant to any provision of law. Funds  in  the  EHR
    43  loan  fund  shall  be  held by the authority pursuant to this section as
    44  custodian, administered by the authority pursuant to an  agreement  with

    45  the  commissioner  and  invested by the authority in accordance with the
    46  investment guidelines of the authority. All investment income  shall  be
    47  credited  to,  and any repayments of loans as hereinafter provided shall
    48  be deposited in, the EHR loan fund, and spent  therefrom  only  for  the
    49  purposes set forth in this section.
    50    3.  The  commissioner and the authority shall enter into an agreement,
    51  subject to the approval of the director of the division of  the  budget,
    52  for  the  purpose  of administering the moneys in the EHR loan fund in a
    53  manner that will benefit the public health by  encouraging  improvements
    54  in  the health care delivery system through the use of information tech-

    55  nology in the state. Such agreement shall include, but  not  be  limited
    56  to, the following provisions:

        S. 58--B                           65                          A. 158--B
 
     1    (a)  for  the receipt, management and expenditure of funds held in the
     2  EHR loan fund by the authority;
     3    (b)  for  the  development  of  program  components, including but not
     4  limited to provider eligibility and terms and conditions of  loans,  and
     5  for  the  development and implementation of strategic plans for eligible
     6  health care providers, addressing the development  of  meaningful  elec-
     7  tronic health record improvements, including strategies for facilitating
     8  the  purchase of certified electronic health records technology, enhanc-

     9  ing the utilization of certified electronic health  records  technology,
    10  training  personnel  in  the  use  of such technology and supporting the
    11  secure exchange of electronic health information to and from  electronic
    12  health records; and
    13    (c) other requirements set forth by the Secretary of the United States
    14  Department  of  Health  and Human Services with respect to the state EHR
    15  loan fund for the expenditure by the authority from the EHR loan fund to
    16  reimburse the authority and the department for the cost of administering
    17  the loan fund.
    18    4. Any eligible health care provider may apply for EHR loan  funds  to
    19  the  extent such funds are derived from deposits made pursuant to law by

    20  the state. The commissioner and the authority shall consider the  extent
    21  to  which  an  eligible  health care provider can provide matching funds
    22  that may be required by law.
    23    5. To the extent funds are available  from  an  eligible  health  care
    24  provider, expenditures from the EHR loan fund shall be repaid to the EHR
    25  loan  fund  from  repayments received by the authority, from an eligible
    26  health care provider pursuant to the terms of any  financing  agreement,
    27  mortgage  or  loan  document  permitting  the recovery from the eligible
    28  health care provider of such expenditures. The  authority  shall  record
    29  the  account  for all such payments, which shall be deposited in the EHR
    30  loan fund account.

    31    6. Loans from the EHR loan fund shall be made pursuant to an agreement
    32  with the eligible health care provider  specifying  the  terms  thereof,
    33  including  repayment  terms.  The authority shall record and account for
    34  all such repayments, which shall be deposited in the EHR loan fund.  The
    35  authority shall report annually to the director of the division of budg-
    36  et,  the  chair  of  the  senate  finance committee and the chair of the
    37  assembly ways and means committee, on the transactions in the  EHR  loan
    38  fund, including but not limited to deposits to the fund, loans made from
    39  the  fund,  investment  income, and the balance on hand as of the end of
    40  each year.
    41    7. The commissioner is authorized, with the assistance and cooperation

    42  of the authority, to provide  a  program  of  technical  assistance  for
    43  eligible health care providers.
    44    8.  The  commissioner  may promulgate regulations, including emergency
    45  regulations, to implement the provisions of this section.
    46    § 32. The commissioner is hereby authorized to  submit  such  applica-
    47  tions,  strategic  plans,  reports to, and to comply with other require-
    48  ments specified by, the federal secretary of health and  human  services
    49  in order to obtain federal funding for the certified EHR technology loan
    50  program.
    51    §  33.  Section 2818 of the public health law is amended by adding two
    52  new subdivisions 4 and 5 to read as follows:
    53    4. Notwithstanding the provisions of subdivision one of this  section,
    54  the  commissioner and the director of the dormitory authority may award,

    55  in an amount not to exceed twenty-five million  dollars  of  the  health
    56  care  system  improvement  capital  grant program allocated in any given

        S. 58--B                           66                          A. 158--B
 
     1  fiscal year, grants to eligible applicants without the process set forth
     2  in subdivision one of this section to  provide  necessary  restructuring
     3  support to hospitals for transition to a new reimbursement methodology.
     4    (a) With respect to the process for the awarding of such funds without
     5  the  process  set  forth in subdivision one of this section, the commis-
     6  sioner and director of the dormitory authority shall determine  eligible
     7  awardees  based  solely  on an applicant's ability to meet the following

     8  criteria:
     9    (i) have a loss of  operations  for  each  of  the  three  consecutive
    10  preceding years as evidence by audited financial statements; and
    11    (ii)  have a negative fund balance or negative equity position in each
    12  of the three preceding years as evidence  by  audited  financial  state-
    13  ments; and
    14    (iii)  have a current ratio of less than 1:1 for each of three consec-
    15  utive preceding days; or
    16    (iv) be deemed to the satisfaction of the commissioner to be a provid-
    17  er that fulfills an unmet health care need for the community  as  deter-
    18  mined  by the department through consideration of the volume of Medicaid
    19  and medically indigent patients served;  the  service  volume  and  mix,

    20  including but not limited to maternity, pediatrics, trauma, behavior and
    21  neurobehavioral, ventilator, and emergency room volume; and, the signif-
    22  icance  of  the  institution  in ensuring health care services access as
    23  measured by market share within the region; or
    24    (v) be deemed to the satisfaction of the commissioner to have incurred
    25  operating losses resulting from the implementation of reimbursement rate
    26  reforms and other reductions enacted by a chapter of  the  laws  of  two
    27  thousand  nine,  to provide for the continued financial viability of the
    28  applicant.
    29    (b) Prior to an award being granted to an eligible applicant without a
    30  competitive bid or request for proposal process,  the  commissioner  and

    31  the  director  of  the dormitory authority shall notify the chair of the
    32  senate finance committee, the chair  of  the  assembly  ways  and  means
    33  committee  and the director of the budget of the intent to grant such an
    34  award. Such notice shall include information regarding how the  eligible
    35  applicant meets criteria established pursuant to this section.
    36    5.  (a) Notwithstanding subdivision one, two or three of this section,
    37  the  commissioner,  with the approval of the director of the budget, may
    38  expend funds for the  purpose  of  providing  cost  effective  increased
    39  access  to the capital markets, including but not limited to through the
    40  use of mortgage insurance, credit enhancement, letters of  credit,  bond

    41  insurance  or  other  arrangements, for capital projects that are deter-
    42  mined to meet one or more of  the  following  objectives  for  hospitals
    43  licensed under this article:
    44    (i)  securing  financing  for facilities in a manner that will improve
    45  the operation and efficiency of the health care delivery  system  within
    46  the state;
    47    (ii) securing financing for facilities in a manner consistent with the
    48  objectives  and  determinations of the Commission on Health Care Facili-
    49  ties in  the  Twenty-First  Century,  established  pursuant  to  chapter
    50  sixty-three of the laws of two thousand five;
    51    (iii)  securing  financing  for  facilities in a manner that will help

    52  rightsize the state's  acute  care  infrastructure,  including  reducing
    53  inpatient capacity, downsizing, restructuring, and closing facilities;
    54    (iv)  securing  financing for facilities in a manner that advances the
    55  reform of the long-term care system, including through  rightsizing  and
    56  providing community-based services;

        S. 58--B                           67                          A. 158--B
 
     1    (v)  securing  financing  for facilities in a manner that improves the
     2  primary and ambulatory care  system  including  programs  undertaken  in
     3  collaboration with a local development corporation incorporated pursuant
     4  to sections four hundred one and one thousand four hundred eleven of the

     5  not-for-profit  corporation  law to foster the development and expansion
     6  of high quality, cost effective primary health care services and related
     7  ambulatory care and ancillary services benefiting medically  underserved
     8  communities,  principally  in the state, to increase access of community
     9  residents to such services, to improve the health status of  such  resi-
    10  dents  and  to  lessen  the  burdens of government and act in the public
    11  interest; and
    12    (vi) such other objectives as the commissioner  deems  appropriate  to
    13  effectuate the intent of this subdivision.
    14    (b)  The  commissioner  may  transfer funds to other state agencies or
    15  public authorities, with the approval of  the  director  of  budget,  to

    16  effectuate the purposes of this subdivision.
    17    §  34.  Subdivision 3 of section 1680-j of the public authorities law,
    18  as amended by section 7 of part B of chapter 58 of the laws of 2008,  is
    19  amended to read as follows:
    20    3.  Notwithstanding  any  law  to the contrary, and in accordance with
    21  section four of the state finance law, the comptroller is hereby author-
    22  ized and directed to transfer from the health  care  reform  act  (HCRA)
    23  resources fund (061) to the general fund, upon the request of the direc-
    24  tor of the budget, up to $6,500,000 on or before March 31, 2006, and the
    25  comptroller  is  further hereby authorized and directed to transfer from
    26  the healthcare reform act (HCRA); Resources fund (061)  to  the  Capital
    27  Projects  Fund,  upon  the  request  of  the  director  of budget, up to
    28  $139,000,000 for the period April 1, 2006 through March 31, 2007, up  to

    29  $171,100,000  for the period April 1, 2007 through March 31, 2008, up to
    30  $208,100,000 for the period April 1, 2008 through March 31, 2009, up  to
    31  $151,600,000 for the period April 1, 2009 through March 31, 2010, and up
    32  to  [$182,000,000]  $238,000,000  for  the  period April 1, 2010 through
    33  March 31, 2011.
    34    § 35. Subdivisions 5 and 7 of section 270 of the public health law, as
    35  added by section 10 of part C of chapter 58 of the  laws  of  2005,  are
    36  amended and a new subdivision 14 is added to read as follows:
    37    5. "Non preferred drug" means a prescription drug that is [in a thera-
    38  peutic  class that is] included in the preferred drug program and is not
    39  one of the drugs on the preferred drug list [in that class]  because  it

    40  is  either: (a) in a therapeutic class that is included in the preferred
    41  drug program and is not one of the drugs on the preferred drug  list  in
    42  that  class  or  (b)  manufactured by a pharmaceutical manufacturer with
    43  whom the commissioner is negotiating or has  negotiated  a  manufacturer
    44  agreement and is not a preferred drug under a manufacturer agreement.
    45    7.  "Preferred drug" means a prescription drug that is either (a) in a
    46  therapeutic class that is included in the preferred drug program and  is
    47  one  of  the  drugs  on  the  preferred drug list in that class or (b) a
    48  preferred drug under a manufacturer agreement.
    49    14. "Manufacturer agreement" means an agreement  between  the  commis-

    50  sioner and a pharmaceutical manufacturer under paragraph (b) of subdivi-
    51  sion eleven of section two hundred seventy-two of this article.
    52    § 36. Subdivision 11 of section 272 of the public health law, as added
    53  by section 10 of part C of chapter 58 of the laws of 2005, is amended to
    54  read as follows:
    55    11.  (a)  The commissioner shall provide an opportunity for pharmaceu-
    56  tical manufacturers to provide supplemental rebates to the state  public

        S. 58--B                           68                          A. 158--B
 
     1  health  [plan]  plans for drugs within a therapeutic class; such supple-
     2  mental rebates shall be taken into consideration by  the  committee  and
     3  the commissioner in determining the cost-effectiveness of drugs within a

     4  therapeutic class under the state public health plans.
     5    (b)  The  commissioner  may designate a pharmaceutical manufacturer as
     6  one with whom the  commissioner  is  negotiating  or  has  negotiated  a
     7  manufacturer  agreement, and all of the drugs it manufactures or markets
     8  shall be included in the preferred drug program.  The  commissioner  may
     9  negotiate directly with a pharmaceutical manufacturer for rebates relat-
    10  ing to any or all of the drugs it manufactures or markets. A manufactur-
    11  er  agreement  shall  designate  any or all of the drugs manufactured or
    12  marketed by the pharmaceutical manufacturer as being  preferred  or  non
    13  preferred  drugs. When a pharmaceutical manufacturer has been designated

    14  by the commissioner under this paragraph but has not reached a  manufac-
    15  turer  agreement  with  the pharmaceutical manufacturer, then all of the
    16  drugs manufactured or marketed by the pharmaceutical manufacturer  shall
    17  be  non  preferred  drugs.  However, notwithstanding this paragraph, any
    18  drug that is selected to be on the preferred drug list  under  paragraph
    19  (b)  of  subdivision  ten  of this section on grounds that it is signif-
    20  icantly more clinically effective and safer  than  other  drugs  in  its
    21  therapeutic class shall be a preferred drug.
    22    [Such  supplemental]  (c)  Supplemental rebates under this subdivision
    23  shall be in addition to those required by  applicable  federal  law  and

    24  subdivision  seven  of section three hundred sixty-seven-a of the social
    25  services law. In order to be considered in connection with the preferred
    26  drug program, such supplemental rebates shall apply to the drug products
    27  dispensed under the Medicaid program and the EPIC program.  The  commis-
    28  sioner  is  prohibited from approving alternative rebate demonstrations,
    29  value added programs or guaranteed savings from other  program  benefits
    30  as a substitution for supplemental rebates.
    31    §  37. Subdivision 1 of section 273 of the public health law, as added
    32  by section 10 of part C of chapter 58 of the laws of 2005, is amended to
    33  read as follows:
    34    1. For the purposes of this article,  a  prescription  drug  shall  be
    35  considered to be not on the preferred drug list if it is [in a therapeu-

    36  tic  class that is included on the preferred drug list and is not one of
    37  the drugs on the preferred list in that class] a non preferred drug.
    38    § 38. Section 369-aa of the social services law is amended by adding a
    39  new subdivision 16 to read as follows:
    40    16. "Step therapy" shall mean the practice of beginning  drug  therapy
    41  for  a  medical  condition  with the most medically appropriate and cost
    42  effective therapy and progressing to other drugs as medically necessary.
    43    § 39. Subdivision 3 of section 369-cc of the social services  law,  as
    44  added by chapter 632 of the laws of 1992, is amended, and a new subdivi-
    45  sion 4 is added to read as follows:
    46    3. The prospective DUR program shall be based on the guidelines estab-
    47  lished  by  the  DUR  board  not  in  conflict  with education or social

    48  services laws and shall provide that prior  to  the  prescription  being
    49  filled or delivered, a review will be conducted by the pharmacist at the
    50  point  of  sale  to screen for potential drug therapy problems resulting
    51  from:
    52    (a) Therapeutic duplication;
    53    (b) Drug-drug interactions;
    54    (c) Incorrect dosage/duration of treatment;
    55    (d) Drug-allergy interactions;
    56    (e) Clinical abuse/misuse.

        S. 58--B                           69                          A. 158--B
 
     1  In conducting the prospective DUR, the  pharmacist  may  not  alter  the
     2  prescribed  outpatient  drug  therapy without the consent of the [physi-
     3  cian] prescriber who prescribed that therapy.
     4    4.  (a)  The  commissioner,  through  the prospective DUR program, may

     5  require step therapy when there is more than  one  drug  appropriate  to
     6  treat  a  medical condition. The purpose of step therapy is to encourage
     7  the use of medically appropriate, cost effective drugs  when  clinically
     8  indicated  and to limit use of alternative drug therapies unless certain
     9  clinical requirements are met. The DUR board shall recommend  guidelines
    10  for  specific  diagnoses and therapy regimens within which practitioners
    11  may prescribe drugs without the requirement for prior  authorization  of
    12  those  drugs. In establishing these guidelines, the board shall consider
    13  clinical effectiveness, safety, and cost effectiveness.  Prior  authori-
    14  zation  under this paragraph shall be obtained under section two hundred

    15  seventy-three of the public health law.
    16    (b) The commissioner, through the prospective DUR  program,  may  from
    17  time  to time limit the quantity, frequency, and duration of drug thera-
    18  py, using guidelines developed by the DUR board.  The  DUR  board  shall
    19  develop clinical prescribing guidelines relating to quantity, frequency,
    20  and duration of drug therapy for the commissioner's use under this para-
    21  graph.  In establishing these guidelines, the board shall consider clin-
    22  ical effectiveness, safety, and cost effectiveness.  Prior authorization
    23  under this paragraph shall be obtained under section two hundred  seven-
    24  ty-three of the public health law. Exceptions to any prior authorization

    25  imposed  as  a result of these guidelines shall include, but need not be
    26  limited to, provision for emergency circumstances where a medical condi-
    27  tion requires alleviation of severe pain or  which  threatens  to  cause
    28  disability or to take a life if not promptly treated.
    29    § 40. Intentionally omitted.
    30    § 41. Intentionally omitted.
    31    § 42. Intentionally omitted.
    32    § 43. Intentionally omitted.
    33    § 44. Intentionally omitted.
    34    § 45. Intentionally omitted.
    35    §  46. Paragraph (a-1) of subdivision 4 of section 365-a of the social
    36  services law, as amended by section 11 of part C of chapter  58  of  the
    37  laws of 2005, is amended to read as follows:
    38    (a-1)  (i)  a brand name drug for which a multi-source therapeutically

    39  and generically equivalent drug, as determined by the federal  food  and
    40  drug  administration,  is available, unless previously authorized by the
    41  department of health.  The  commissioner  of  health  is  authorized  to
    42  exempt,  for good cause shown, any brand name drug from the restrictions
    43  imposed by this [paragraph] subparagraph.  This [paragraph] subparagraph
    44  shall not apply to any drug that is in a therapeutic class  included  on
    45  the  preferred  drug  list  under section two hundred seventy-two of the
    46  public health law or is  in  the  clinical  drug  review  program  under
    47  section two hundred seventy-four of the public health law;
    48    (ii)  notwithstanding the provisions of subparagraph (i) of this para-
    49  graph, the commissioner is authorized to deny reimbursement for a gener-

    50  ic equivalent, including a generic equivalent that is on  the  preferred
    51  drug  list or the clinical drug review program, when the net cost of the
    52  brand name drug, after consideration of all rebates, is  less  than  the
    53  cost  of  the generic equivalent, unless prior authorization is obtained
    54  under section two hundred seventy-three of the public health law;

        S. 58--B                           70                          A. 158--B
 
     1    § 46-a. Paragraph (a-2) of subdivision  4  of  section  365-a  of  the
     2  social  services  law, as added by section 12 of part C of chapter 58 of
     3  the laws of 2005, is amended to read as follows:
     4    (a-2)  drugs  which  may  not  be  dispensed without a prescription as
     5  required by section sixty-eight hundred ten of the  education  law,  and

     6  which  are  [non-preferred]  non preferred drugs [in a therapeutic class
     7  subject to the preferred drug program] pursuant to section  two  hundred
     8  seventy-two  of  the  public  health  law,  or  the clinical drug review
     9  program under section two hundred seventy-four of the public health law,
    10  unless prior authorization is granted or not required;
    11    § 47. Subparagraph (iii) of paragraph (c) of subdivision 6 of  section
    12  367-a  of  the social services law, as amended by section 9 of part C of
    13  chapter 58 of the laws of 2008, is amended to read as follows:
    14    (iii) Notwithstanding any  other  provision  of  this  paragraph,  co-
    15  payments  charged  for each generic prescription drug dispensed shall be
    16  one dollar and for each brand name prescription drug dispensed shall  be

    17  three  dollars; provided, however, that the co-payments charged for each
    18  brand name prescription drug on  the  preferred  drug  list  established
    19  pursuant to section two hundred seventy-two of the public health law and
    20  the co-payments charged for each brand name prescription drug reimbursed
    21  pursuant  to subparagraph (ii) of paragraph (a-1) of subdivision four of
    22  section three hundred sixty-five-a of this title shall be one dollar.
    23    § 48. Subparagraph (ii) of paragraph (d) of subdivision 9  of  section
    24  367-a  of  the social services law, as amended by chapter 19 of the laws
    25  of 1998, is amended to read as follows:
    26    (ii) for prescription drugs  categorized  as  brand-name  prescription
    27  [drug]  drugs  by  the  prescription  drug  pricing  service used by the

    28  department, three dollars and fifty cents  per  prescription,  provided,
    29  however,  that  for brand name prescription drugs reimbursed pursuant to
    30  subparagraph (ii) of paragraph (a-1)  of  subdivision  four  of  section
    31  three  hundred  sixty-five-a  of this title, the dispensing fee shall be
    32  four dollars and fifty cents per prescription.
    33    § 49. Subdivision 9 of section 367-a of the  social  services  law  is
    34  amended by adding a new paragraph (i) to read as follows:
    35    (i)(i)  The  commissioner  of  health  is  authorized to pay financial
    36  incentives to medical practitioners and to pharmacies for the purpose of
    37  encouraging the electronic transmission of prescriptions for  drugs  for
    38  which  payments  are made under this subdivision. Such payments shall be

    39  in the following amounts: for medical practitioners,  eighty  cents  per
    40  dispensed  electronic  prescription;  for  dispensing pharmacies, twenty
    41  cents per dispensed electronic prescription. (ii) Electronic prescribing
    42  software shall not use any means or permit any other person to  use  any
    43  means,  including,  but  not limited to, advertising, instant messaging,
    44  and pop-up ads, to influence or attempt to influence,  through  economic
    45  incentives or otherwise, the prescribing decision of a prescribing prac-
    46  titioner  at  the point of care. Such means shall not be triggered or in
    47  specific response to the input, selection, or act of a prescribing prac-
    48  titioner or his or her agent in prescribing a certain pharmaceutical  or

    49  directing  a patient to a certain pharmacy. (iii) The provisions of this
    50  paragraph shall not take effect unless  all  necessary  approvals  under
    51  federal  law and regulation have been obtained to receive federal finan-
    52  cial participation in the costs of services provided  under  this  para-
    53  graph.
    54    § 50. Intentionally omitted.
    55    § 51. Intentionally omitted.
    56    § 52. Intentionally omitted.

        S. 58--B                           71                          A. 158--B
 
     1    § 53. Intentionally omitted.
     2    § 54. Intentionally omitted.
     3    § 55. Intentionally omitted.
     4    § 56. Intentionally omitted.
     5    § 57. Intentionally omitted.
     6    § 58. Clauses (ii) and (iii) of subparagraph 1 and subparagraphs 3 and

     7  4  of  paragraph  (a)  of  subdivision  1  of  section 366 of the social
     8  services law, clauses (ii) and (iii) of subparagraph  1  as  amended  by
     9  section  60  of part C of chapter 58 of the laws of 2008, subparagraph 3
    10  as amended by chapter 309 of the laws of 1996, subparagraph 4 as amended
    11  by chapter 1080 of the laws of 1974, are amended to read as follows:
    12    (ii) such person [may have resources up to  the  amount  specified  in
    13  subparagraph  four  of paragraph (a) of subdivision two of this section]
    14  shall not be subject to a resource test;
    15    (iii) a person whose income [and resources are] is within the [limits]
    16  limit set forth in [clauses] clause (i) [and (ii)] of this  subparagraph
    17  shall  be  deemed  to  have  unmet needs for purposes of the eligibility

    18  requirements of the safety net program as it existed on the first day of
    19  November, nineteen hundred ninety-seven;
    20    (3) is a child under the age of twenty-one years  receiving  care  (A)
    21  away  from  his  own home in accordance with title two of article six of
    22  this chapter; (B) during the initial thirty days of placement  with  the
    23  division  for  youth  pursuant to section 353.3 of the family court act;
    24  (C) in an authorized  agency  when  placed  pursuant  to  section  seven
    25  hundred  fifty-six or 353.3 of the family court act; or (D) in residence
    26  at a division foster family home or a division contract  home,  and  has
    27  not, according to the criteria promulgated by the department, sufficient
    28  income [and resources], including available support from his parents, to
    29  meet  all  costs  of  required medical care and services available under
    30  this title; or

    31    (4) is receiving care, in the case of and in connection with the birth
    32  of an out of wedlock child, in accordance with title two of article  six
    33  of  this  chapter, and has not, according to the criteria promulgated by
    34  the department, sufficient income [and resources],  including  available
    35  support  from  responsible  relatives,  to  meet  all  costs of required
    36  medical care and services available under this title; or
    37    § 59. Subparagraphs 5, 6 and 8 of paragraph (a) of  subdivision  1  of
    38  section  366  of  the  social services law, subparagraph 5 as amended by
    39  section 55 of part B of chapter 436 of the laws of 1997, subparagraph  6
    40  as  amended  by  chapter  710  of the laws of 1988 and subparagraph 8 as
    41  amended by section 60 of part C of chapter 58 of the laws of  2008,  are
    42  amended and a new subparagraph 5-a is added to read as follows:

    43    (5)  although  not  receiving public assistance or care for his or her
    44  maintenance under other provisions of this chapter, has [not,  according
    45  to  the  criteria and standards established by this article or by action
    46  of the department, sufficient] income and resources, including available
    47  support from responsible relatives, [to meet all the  costs  of  medical
    48  care  and services available under this title,] that does not exceed the
    49  amounts set forth in paragraph (a) of subdivision two of  this  section,
    50  and  is  (i) [under the age of twenty-one years, or] sixty-five years of
    51  age or older, or certified blind or certified disabled or (ii) [a spouse
    52  of a cash public assistance recipient living with him or her and  essen-

    53  tial  or  necessary to his or her welfare and whose needs are taken into
    54  account in determining the amount of his or her cash payment  or  (iii)]
    55  for  reasons  other  than  income  or  resources[: (A)], is eligible for
    56  federal supplemental security income benefits  and/or  additional  state

        S. 58--B                           72                          A. 158--B
 
     1  payments[,  or (B) would meet the eligibility requirements of the aid to
     2  dependent children program as it existed on the sixteenth day  of  July,
     3  nineteen hundred ninety-six]; or
     4    (5-a)  although not receiving public assistance or care for his or her
     5  maintenance under other provisions of this chapter, has income,  includ-

     6  ing  available  support from responsible relatives, that does not exceed
     7  the amounts set forth in  paragraph  (a)  of  subdivision  two  of  this
     8  section,  and is (i) under the age of twenty-one years, or (ii) a spouse
     9  of a cash public assistance recipient living with him or her and  essen-
    10  tial  or  necessary to his or her welfare and whose needs are taken into
    11  account in determining the amount of his or her cash payment,  or  (iii)
    12  for  reasons  other than income or resources, would meet the eligibility
    13  requirements of the aid to dependent children program as it  existed  on
    14  the sixteenth day of July, nineteen hundred ninety-six; or
    15    (6)  is  a resident of a home for adults operated by a social services

    16  district or a residential care center for adults or community  residence
    17  operated  or  certified  by  the  office  of mental health, and has not,
    18  according to criteria promulgated by the department consistent with this
    19  title, sufficient income, or in the case of a person sixty-five years of
    20  age or older, certified blind, or certified disabled, sufficient  income
    21  and  resources,  including available support from responsible relatives,
    22  to meet all the costs of required medical care  and  services  available
    23  under this title; or
    24    (8)  is  a  member of a family which contains a dependent child living
    25  with a caretaker relative, which has net available income not in  excess
    26  of  one  hundred  thirty  percent  of the highest amount that ordinarily
    27  would have been paid to a person without any income or  resources  under

    28  the  family  assistance program as it existed on the first day of Novem-
    29  ber, nineteen hundred ninety-seven, to be increased annually by the same
    30  percentage as the percentage increase  in  the  federal  consumer  price
    31  index[,  and  which  has  net  available  resources not in excess of the
    32  amount specified in subparagraph four of paragraph  (a)  of  subdivision
    33  two  of this section]; for purposes of this subparagraph, the net avail-
    34  able income [and resources] of a family shall be  determined  using  the
    35  methodology  of  the family assistance program as it exists on the first
    36  day of November, nineteen hundred ninety-seven, except that no  part  of
    37  the  methodology  of the family assistance program will be used which is
    38  more restrictive than the methodology of the aid to  dependent  children

    39  program  as  it  existed  on the sixteenth day of July, nineteen hundred
    40  ninety-six; for purposes of this subparagraph, the term dependent  child
    41  means a person under twenty-one years of age who is deprived of parental
    42  support  or  care by reason of the death, continued absence, or physical
    43  or mental incapacity of a parent, or by reason of  the  unemployment  of
    44  the parent, as defined by the department of health; or
    45    §  59-a.  Subparagraph 10 of paragraph (a) of subdivision 1 of section
    46  366 of the social services law, as amended by section 1  of  part  E  of
    47  chapter 57 of the laws of 2000, is amended to read as follows:
    48    (10)  is  a  child  who  is  under twenty-one years of age, who is not
    49  living with a caretaker relative, who has net available  income  not  in
    50  excess  of  the  income standards of the family assistance program as it

    51  existed on the first day of November,  nineteen  hundred  ninety-seven[,
    52  and  who  has  net  available  resources  not  in excess of one thousand
    53  dollars]; for purposes of this subparagraph, the child's  net  available
    54  income  [and resources] shall be determined using the methodology of the
    55  family assistance program as it existed on the first  day  of  November,
    56  nineteen  hundred  ninety-seven,  except that [(i) there shall be disre-

        S. 58--B                           73                          A. 158--B

     1  garded an additional amount of resources equal to the difference between
     2  the applicable resource standard of the family assistance program as  it
     3  exists  on  the first day of November, nineteen hundred ninety-seven and

     4  one  thousand dollars and (ii)] no part of the methodology of the family
     5  assistance program will be used which is more restrictive than the meth-
     6  odology of the aid to dependent children program as it  existed  on  the
     7  sixteenth day of July, nineteen hundred ninety-six; or
     8    § 59-b. Paragraph (i) of subdivision 1 of section 369-ee of the social
     9  services law is REPEALED.
    10    §  59-c.  The  opening  paragraph of paragraph (b) of subdivision 2 of
    11  section 369-ee of the social services law, as amended by section 45-d of
    12  part C of chapter 58 of the laws of 2008, is amended to read as follows:
    13    Subject to the provisions of paragraph (d)  of  this  subdivision,  in
    14  order  to  establish  [income] eligibility under this subdivision, which
    15  shall be determined without regard to  resources,  an  individual  shall

    16  provide  such documentation as is necessary and sufficient to initially,
    17  and annually thereafter, determine an applicant's eligibility for cover-
    18  age under this title. Such  documentation  shall  include,  but  not  be
    19  limited to the following, if needed to verify eligibility:
    20    § 59-d. Paragraph (c) of subdivision 2 of section 369-ee of the social
    21  services law is REPEALED.
    22    §  60.  Subdivision  1  and  paragraph (a) of subdivision 2 of section
    23  366-a of the social services law, subdivision 1 as  amended  by  chapter
    24  532  of  the laws of 1972 and paragraph (a) of subdivision 2 as added by
    25  section 51 of part A of chapter 1 of the laws of 2002,  are  amended  to
    26  read as follows:
    27    1.  Any  person  requesting  medical  assistance  may make application
    28  therefor in person, through another in his behalf  or  by  mail  to  the

    29  social  services official of the county, city or town, or to the service
    30  officer of the city or town in which the applicant resides or is  found.
    31  In  addition,  in the case of a person who is sixty-five years of age or
    32  older and is a patient in a state hospital for tuberculosis or  for  the
    33  mentally  disabled,  applications  may be made to the department or to a
    34  social services official designated as  the  agent  of  the  department.
    35  Notwithstanding  any  provision  of  law to the contrary, [in accordance
    36  with department regulations, when an application is  made  by  mail,]  a
    37  personal  interview  [shall be conducted] with the applicant or with the
    38  person who made application [in] on his or her behalf [when  the  appli-

    39  cant  cannot  be  interviewed  due  to his physical or mental condition]
    40  shall not be required as part of a determination of initial or  continu-
    41  ing eligibility pursuant to this title.
    42    (a)  Upon receipt of such application, the appropriate social services
    43  official, or the department of health or its agent when the applicant is
    44  a patient in a state hospital for the mentally  disabled,  shall  verify
    45  the eligibility of such applicant. In accordance with the regulations of
    46  the  department  of health, it shall be the responsibility of the appli-
    47  cant to provide information and documentation necessary for the determi-
    48  nation of initial and ongoing eligibility for medical assistance.  If an
    49  applicant or recipient is unable to provide necessary documentation, the
    50  public welfare official shall promptly  cause  an  investigation  to  be

    51  made.  Where an investigation is necessary, sources of information other
    52  than public records will be consulted only with permission of the appli-
    53  cant or recipient. In the event that such permission is not  granted  by
    54  the  applicant  or  recipient,  or  necessary  documentation  cannot  be
    55  obtained, the social services official or the department  of  health  or
    56  its  agent  may suspend or deny medical assistance until such time as it

        S. 58--B                           74                          A. 158--B
 
     1  may be satisfied as to the applicant's or recipient's eligibility there-
     2  for. [To the extent practicable, any interview conducted as a result  of
     3  an  application for medical assistance shall be conducted in the home of
     4  the  person  interviewed  or  in the institution in which such person is

     5  receiving medical assistance.]
     6    § 61. Paragraph (a) of subdivision 5 of section 369-ee of  the  social
     7  services  law,  as added by chapter 1 of the laws of 1999, is amended to
     8  read as follows:
     9    (a)  [Personal  interviews,  pursuant   to   section   three   hundred
    10  sixty-six-a  of  this  chapter, may be required upon initial application
    11  only and may be conducted in community settings.] A  personal  interview
    12  with the applicant or with the person who made application on his or her
    13  behalf  shall  not  be required as part of a determination of initial or
    14  continuing eligibility pursuant to this title. Recertification of eligi-
    15  bility shall take place on no more than an annual basis [and  shall  not

    16  require  a personal interview]. Nothing herein shall abridge the partic-
    17  ipant's obligation to report changes  in  residency,  financial  circum-
    18  stances or household composition.
    19    §  62.  Section  23-a  of  part  B of chapter 436 of the laws of 1997,
    20  constituting the welfare reform act of  1997,  is  amended  to  read  as
    21  follows:
    22    § 23-a. Notwithstanding any contrary provision thereof, section 266 of
    23  chapter  83 of the laws of 1995 shall apply to applicants for or recipi-
    24  ents of public assistance  and  care[,  including  medical  assistance];
    25  provided,  however,  that  [with  respect  to  medical  assistance, such
    26  section shall apply only to persons who are subject  to  the  photograph
    27  identification  requirements  established  by the commissioner of health

    28  for] such section shall not apply to the medical assistance program.
    29    § 63. Subparagraph 8 of paragraph (a) of subdivision 1 of section  366
    30  of  the social services law, as amended by section 60 of part C of chap-
    31  ter 58 of the laws of 2008, is amended to read as follows:
    32    (8) is a member of a family which contains a  dependent  child  living
    33  with a caretaker relative, which has: (i) subject to the approval of the
    34  federal  Centers for Medicare and Medicaid services, gross income not in
    35  excess of one hundred percent of the  federal  income  official  poverty
    36  line  (as  defined and annually revised by the federal office of manage-
    37  ment and budget) for a family of the same  size  as  the  families  that
    38  include the children or (ii) in the absence of such approval, net avail-

    39  able  income  not in excess of one hundred thirty percent of the highest
    40  amount that ordinarily would have been paid  to  a  person  without  any
    41  income or resources under the family assistance program as it existed on
    42  the  first  day  of  November,  nineteen  hundred  ninety-seven,  to  be
    43  increased annually by the same percentage as the percentage increase  in
    44  the  federal consumer price index, and which has net available resources
    45  not in excess of the amount specified in subparagraph four of  paragraph
    46  (a)  of  subdivision  two of this section; for purposes of this subpara-
    47  graph, the net available income and  resources  of  a  family  shall  be
    48  determined  using the methodology of the family assistance program as it
    49  exists on the first day  of  November,  nineteen  hundred  ninety-seven,
    50  except  that no part of the methodology of the family assistance program

    51  will be used which is more restrictive than the methodology of  the  aid
    52  to  dependent  children  program  as  it existed on the sixteenth day of
    53  July, nineteen hundred ninety-six; for purposes  of  this  subparagraph,
    54  the  term  dependent  child means a person under twenty-one years of age
    55  who is deprived of parental support or care  by  reason  of  the  death,
    56  continued  absence,  or physical or mental incapacity of a parent, or by

        S. 58--B                           75                          A. 158--B
 
     1  reason of the unemployment of the parent, as defined by  the  department
     2  of health; or
     3    §  64.  Paragraph  (a)  of  subdivision 1 of section 366 of the social
     4  services law is amended by adding a new  subparagraph  8-a  to  read  as
     5  follows:
     6    (8-a)  is  an individual who is at least nineteen but under twenty-one

     7  years of age and is a member of a household which has gross  income  not
     8  in  excess of one hundred percent of the federal income official poverty
     9  line (as defined and annually revised by the federal office  of  manage-
    10  ment and budget) for a household of the same size; or
    11    §  65.  Paragraph  (p)  of  subdivision 4 of section 366 of the social
    12  services law, as added by chapter 651 of the laws of 1990,  subparagraph
    13  2 as amended by section 97 of part B of chapter 436 of the laws of 1997,
    14  is amended to read as follows:
    15    (p)  (1)  Children  who  are at least one year of age but younger than
    16  [six] nineteen years of age who are not otherwise eligible  for  medical
    17  assistance  and  whose families have: (i) subject to the approval of the

    18  federal Centers for Medicare and Medicaid services, gross incomes not in
    19  excess of one hundred sixty  percent  of  the  federal  income  official
    20  poverty  line  (as defined and annually revised by the federal office of
    21  management and budget) for a family of the same  size  as  the  families
    22  that  include  the children or (ii) in the absence of such approval, net
    23  incomes equal to or less than one hundred thirty-three  percent  of  the
    24  federal income official poverty line (as defined and annually revised by
    25  the  federal  office  of management and budget) for a family of the same
    26  size as the families that include the children  shall  be  eligible  for
    27  medical  assistance  and  shall  remain eligible therefor as provided in
    28  subparagraph three of this paragraph.

    29    (2) For purposes of determining  eligibility  for  medical  assistance
    30  under  this  paragraph,  family income shall be determined by use of the
    31  same methodology used to determine eligibility for the aid to  dependent
    32  children  program  as  it existed on the sixteenth day of July, nineteen
    33  hundred ninety-six provided, however, that costs incurred for medical or
    34  remedial care shall not be considered and resources  available  to  such
    35  families  shall  not be considered nor required to be applied toward the
    36  payment or part payment of  the  cost  of  medical  care,  services  and
    37  supplies available under this paragraph.
    38    (3)  An eligible child who is receiving medically necessary in-patient
    39  services for which medical assistance is provided on the date the  child
    40  attains  [six]  nineteen  years  of age, and who, but for attaining such

    41  age, would remain eligible for medical assistance under this  paragraph,
    42  shall  continue  to  remain eligible until the end of the stay for which
    43  in-patient services are being furnished.
    44    § 65-a. Subparagraph 1 of paragraph (m) of subdivision  4  of  section
    45  366  of  the social services law, as added by chapter 584 of the laws of
    46  1989, is amended to read as follows:
    47    (1) Pregnant women and infants younger than one year of  age  who  are
    48  not  otherwise  eligible  for medical assistance and whose families have
    49  net incomes equal to or less than one hundred percent of  the  [compara-
    50  ble]  federal  [income  official]  poverty line (as defined and annually
    51  revised by the [federal office of management and budget]  United  States

    52  department  of  health and human services) for families of the same size
    53  shall be eligible for medical assistance  as  provided  in  subparagraph
    54  three  of this paragraph. Subject to the approval of the federal Centers
    55  for Medicare and Medicaid Services, financial  eligibility  pursuant  to

        S. 58--B                           76                          A. 158--B
 
     1  this  paragraph  may be determined using an equivalent methodology based
     2  on the family's gross income.
     3    §  65-b.  Subparagraph  1 of paragraph (n) of subdivision 4 of section
     4  366 of the social services law, as amended by section 2  of  part  D  of
     5  chapter 57 of the laws of 2000, is amended to read as follows:
     6    (1)  Infants  younger than one year who are not otherwise eligible for

     7  medical assistance and whose families have: (i) subject to the  approval
     8  of the federal Centers for Medicare and Medicaid Services, gross incomes
     9  not  in excess of two hundred thirty percent of the federal poverty line
    10  (as defined and annually revised by  the  United  States  department  of
    11  health and human services) for a family of the same size as the families
    12  that  include  the children or (ii) in the absence of such approval, net
    13  incomes equal to or less than two hundred percent of the federal [income
    14  official] poverty line (as defined and annually revised  by  the  United
    15  States department of health and human services) for a family of the same
    16  size  as  the  families  that include the infants, shall be eligible for

    17  medical assistance as provided in subparagraph three of this  paragraph.
    18  For purposes of this paragraph, family income shall be determined by use
    19  of  the  same  methodology  used to determine eligibility for the aid to
    20  dependent children program as it existed on the sixteenth day  of  July,
    21  nineteen hundred ninety-six.
    22    §  65-c.  Subparagraph  1 of paragraph (o) of subdivision 4 of section
    23  366 of the social services law, as amended by section 3  of  part  D  of
    24  chapter 57 of the laws of 2000, is amended to read as follows:
    25    (1)  Pregnant women who are not otherwise eligible for medical assist-
    26  ance [are eligible for services provided under the prenatal care assist-
    27  ance program established pursuant to title two of article twenty-five of
    28  the public health law if the income of  the  family  that  includes  the

    29  pregnant  woman does not exceed] and whose families have: (i) subject to
    30  the approval of the federal Centers for Medicare and Medicaid  Services,
    31  gross incomes not in excess of two hundred thirty percent of the federal
    32  poverty  line  (as  defined  and  annually  revised by the United States
    33  department of health and human services) for a family of the  same  size
    34  as the families that include the children or (ii) in the absence of such
    35  approval,  net  incomes equal to or less than two hundred percent of the
    36  [comparable] federal [income official]  poverty  line  (as  defined  and
    37  annually  revised  by  the  United States department of health and human
    38  services) for families of the same size, shall be eligible for  coverage

    39  of  prenatal  care  services  as  provided in subparagraph three of this
    40  paragraph.
    41    § 65-d. Paragraph (a) of subdivision 2 of section 2529 of  the  public
    42  health  law, as amended by chapter 59 of the laws of 1993, is amended to
    43  read as follows:
    44    2. (a) Any inconsistent provision of law notwithstanding,  a  pregnant
    45  woman shall be presumed to be an eligible service recipient beginning on
    46  the  date that a qualified provider determines, on the basis of prelimi-
    47  nary information, that the pregnant woman's net  household  income  does
    48  not  exceed  the  applicable income level of eligibility. Subject to the
    49  approval of the federal Centers  for  Medicare  and  Medicaid  Services,
    50  financial  eligibility  pursuant  to  this subdivision may be determined

    51  using an equivalent methodology based on the family's gross income.
    52    § 66. Paragraph (q) of subdivision 4 of  section  366  of  the  social
    53  services law is REPEALED.
    54    §  67.  Subparagraph  (v) of paragraph (a) of subdivision 2 of section
    55  369-ee of the social services law, as amended by chapter 419 of the laws
    56  of 2000, is amended to read as follows:

        S. 58--B                           77                          A. 158--B
 
     1    (v) (A) in the case of a parent or stepparent of a child under the age
     2  of twenty-one who lives with such child, has gross family  income  equal
     3  to  or  less  than the applicable percent of the federal income official
     4  poverty line (as defined and updated by the United States Department  of
     5  Health  and  Human Services) for a family of the same size; for purposes

     6  of this clause, the applicable percent effective as of:
     7    (I) January first, two thousand one, is one  hundred  twenty  percent;
     8  and
     9    (II)  October  first,  two  thousand  one, is one hundred thirty-three
    10  percent; and
    11    (III) October first, two thousand two, is one hundred  fifty  percent;
    12  [or] and
    13    (IV) April first, two thousand ten, is one hundred sixty percent; or
    14    (B)  in  the case of an individual who is at least twenty-one years of
    15  age and who is not a parent or stepparent living with his or  her  child
    16  under  the  age  of twenty-one, has gross family income equal to or less
    17  than one hundred percent of the federal income official poverty line (as
    18  defined and updated by the United States Department of Health and  Human
    19  Services) for a family of the same size[.]; or

    20    (C)  in  the  case of an individual who is at least nineteen but under
    21  twenty-one years of age and who is not a  parent  or  stepparent  living
    22  with  his  or  her  child  under the age of twenty-one, has gross family
    23  income equal to or less than one hundred sixty percent  of  the  federal
    24  income  official  poverty  line  (as  defined  and updated by the United
    25  States Department of Health and Human Services) for a family of the same
    26  size; or
    27    (D) is not described in clause (A), (B) or (C)  of  this  subparagraph
    28  and has gross family income equal to or less than two hundred percent of
    29  the  federal income official poverty line (as defined and updated by the
    30  United States Department of Health and Human Services) for a  family  of

    31  the  same size; provided, however, that eligibility under this clause is
    32  subject to sources of federal and non-federal funding for  such  purpose
    33  described  in  section  sixty-seven-a  of the chapter of the laws of two
    34  thousand nine that added this clause or as may be  available  under  the
    35  waiver  agreement entered into with the federal government under section
    36  eleven hundred fifteen of the federal social security  act,  as  jointly
    37  determined  by  the commissioner and the director of the division of the
    38  budget. In no case shall state funds be utilized to support the non-fed-
    39  eral share of  expenditures  pursuant  to  this  subparagraph,  provided
    40  however  that  the  commissioner  may  demonstrate  to the United States

    41  department of health and human services the existence  of  non-federally
    42  participating  state expenditures as necessary to secure federal funding
    43  under an eleven hundred fifteen waiver for the purposes  herein.  Eligi-
    44  bility  under  this  clause may be provided to residents of all counties
    45  or, at the joint discretion of the commissioner and the director of  the
    46  division of the budget, a subset of counties of the state.
    47    §  67-a.    Notwithstanding any contrary provision of law, the commis-
    48  sioner of health is authorized to  enter  into  an  agreement  with  the
    49  United  States  department  of  health and human services establishing a
    50  waiver agreement pursuant to section 1115 of the federal social security
    51  act  which  may  include  the  redirection  of  such  Medicaid  payments

    52  described below, or a portion thereof, and the utilization of such funds
    53  to  fund  services to uninsured persons and/or expand coverage under the
    54  family health plus program to families with gross  income  equal  to  or
    55  less  than  200  percent  of  the  federal poverty level, as provided in
    56  clause (D) of subparagraph (v) of paragraph (a) of  subdivision  two  of

        S. 58--B                           78                          A. 158--B
 
     1  section  369-ee  of the social services law. Such waiver may include the
     2  following:
     3    1.  Notwithstanding  any inconsistent provisions of sections 211, 212,
     4  213 and 214 of chapter 474 of the laws of 1996, as amended, sections 13,
     5  14, 18 and 21 of part B of chapter 1 of the laws of  2002,  as  amended,
     6  and  sections  12,  14,  15 and 22 of part A of chapter 1 of the laws of

     7  2002, as amended, or any other contrary provision of law, and subject to
     8  the availability of federal financial participation and the  receipt  of
     9  all  necessary  federal approvals, Medicaid payments authorized pursuant
    10  to section 211 and paragraph (a) of subdivision  1  of  section  212  of
    11  chapter  474  of  the  laws  of  1996, but not including any payments to
    12  general hospitals operated by the state of New York or the university of
    13  the state of New York, sections 13 and 14 of part B of chapter 1 of  the
    14  laws  of 2002, and sections 12 and 14 of part A of chapter 1 of the laws
    15  of 2002, shall be in accord with the provisions of this section.
    16    2. Social services districts which voluntarily elect to participate in
    17  such program to fund services to uninsured persons and/or expand  family
    18  health  plus  coverage  may  have  the  non-federal share of the payment

    19  amounts described in subdivision one of this section, or a portion ther-
    20  eof, redirected by the commissioner of health to support the non-federal
    21  share of payments associated with such program to fund services to unin-
    22  sured persons and/or expand family health plus coverage. Such  elections
    23  may  be  revoked  effective  6  months  after such local social services
    24  district provides notice of revocation.  Such elections by  each  social
    25  services  district  shall be subject to the approval of the commissioner
    26  of health and with the consent of the public hospitals which are located
    27  within each such social services district and which are otherwise eligi-
    28  ble to receive such redirected payments.
    29    3. The  non-federal  share  payment  obligations  of  social  services
    30  districts  that voluntarily elect to participate in such program to fund

    31  services to uninsured persons and/or expand family health plus  coverage
    32  shall  be  established  at  50 percent of the amount of final reconciled
    33  Medicaid payments authorized pursuant to section 211 and  paragraph  (a)
    34  of  subdivision  1 of section 212 of chapter 474 of the laws of 1996, as
    35  amended, for the social services district for the year two  years  prior
    36  to  the social services district's election to participate and shall not
    37  be subject to further  adjustment.  Further  non-federal  share  payment
    38  obligations  of  social  services  districts  that  voluntarily elect to
    39  participate in such program to fund services to uninsured persons and/or
    40  expand family health plus coverage shall be established as follows:  (a)
    41  50  percent  of  the  amount  actually  expended  in  state  fiscal year
    42  2007-2008 for Medicaid payments authorized pursuant  to  section  12  of

    43  part  A  of  chapter 1 of the laws of 2002 and pursuant to section 13 of
    44  part B of chapter 1 of the laws of 2002, and,  (b)  50  percent  of  the
    45  amount  actually  expended  in  state fiscal year 2004-2005 for Medicaid
    46  payments authorized pursuant to section 14 of part A of chapter 1 of the
    47  laws of 2002, and pursuant to section 14 of part B of chapter 1  of  the
    48  laws of 2002.
    49    4.  For  electing  social services districts, the portion of each such
    50  payment obligation to be utilized for such program to fund  services  to
    51  uninsured  persons  and/or  expand  family health plus coverage shall be
    52  determined by the commissioner of health.
    53    5. Payments to public general hospitals, other than those operated  by
    54  the  state  of New York or the state university of New York, pursuant to
    55  section 211 and paragraph (a) of subdivision 1 of section 212 of chapter

    56  474 of the laws of 1996, sections 13 and 14 of part B of  chapter  1  of

        S. 58--B                           79                          A. 158--B
 
     1  the  laws  of  2002 and sections 12 and 14 of part A of chapter 1 of the
     2  laws of 2002, located in electing social services  districts,  shall  be
     3  reduced  to  an  amount  that  can be supported by the non-federal share
     4  payment  obligations of such social services districts as reduced by the
     5  portion of such payment obligations to be utilized for such  program  to
     6  fund  services  to  uninsured  persons  and/or expand family health plus
     7  coverage as described above.
     8    § 67-b.  Notwithstanding any contrary provision of  law,  the  commis-
     9  sioner of health is authorized to enter into a waiver agreement with the
    10  United  States  department  of  health  and  human  services pursuant to

    11  section 1115 of the federal social security act to utilize federal funds
    12  available to the state under its federal disproportionate share hospital
    13  allotment pursuant to section 1923(f) of  the  federal  social  security
    14  act,  that  are  projected  to  be in excess of the amounts necessary to
    15  fully fund existing state  authorized  disproportionate  share  hospital
    16  programs,  to  provide  funding to fund services to the uninsured and/or
    17  expand coverage under the family health  plus  program  as  provided  in
    18  clause  (D)  of  subparagraph  (v)  of paragraph (a) of subdivision 2 of
    19  section 369-ee of the social services law.
    20    § 68. Subparagraph (iii) of paragraph (a) of subdivision 2 of  section
    21  369-ee of the social services law, as amended by section 28 of part E of
    22  chapter 63 of the laws of 2005, is amended to read as follows:

    23    (iii) does not have equivalent health care coverage under insurance or
    24  equivalent  mechanisms,  as  defined by the commissioner in consultation
    25  with the superintendent of insurance[, and  is  not  a  federal,  state,
    26  county,  municipal  or  school  district  employee  that is eligible for
    27  health care coverage through his or her employer];
    28    § 69.  Subdivision 24 of section 206 of  the  public  health  law,  as
    29  added  by  section  39  of  part C of chapter 58 of the laws of 2008, is
    30  amended to read as follows:
    31    24. Notwithstanding any inconsistent provision of law to the contrary,
    32  the commissioner is authorized to receive applications and to  determine
    33  initial and continuing eligibility for enrollment under the child health
    34  plus  program established under title I-A of article twenty-five of this

    35  chapter, the medical assistance program established under  title  eleven
    36  of  article  five of the social services law, and the family health plus
    37  program established under title eleven-D of such  article.  The  commis-
    38  sioner  may  exercise such authority with respect to all residents, or a
    39  subset of residents, of one or more local social services districts. The
    40  commissioner is authorized to enter into one or  more  contracts,  which
    41  contracts shall be procured on a competitive basis pursuant to a request
    42  for proposal process, for the purpose of exercising his or her authority
    43  under  this  subdivision.    State employees shall supervise and provide
    44  oversight and quality assurance monitoring of contract staff activities.
    45  Provided further, the department shall endeavor to use  state  employees

    46  in exercising the commissioner's authority under this subdivision.
    47    § 70. Intentionally omitted.
    48    § 71. Intentionally omitted.
    49    § 72. Intentionally omitted.
    50    §  72-a.  Subdivision  9  of  section 2510 of the public health law is
    51  amended by adding a new paragraph (d) to read as follows:
    52    (d) for periods on or after July first, two thousand nine, amounts  as
    53  follows:
    54    (i)  no payments are required for eligible children whose family gross
    55  household income is less than one hundred sixty percent of the  non-farm
    56  federal poverty level and for eligible children who are American Indians

        S. 58--B                           80                          A. 158--B
 

     1  or  Alaskan  Natives,  as  defined  by the U.S. Department of Health and
     2  Human Services, whose family gross household income  is  less  than  two
     3  hundred fifty-one percent of the  non-farm federal poverty level; and
     4    (ii) nine dollars per month for each eligible child whose family gross
     5  household  income  is  between one hundred sixty percent and two hundred
     6  twenty-two percent of the non-farm federal poverty level,  but  no  more
     7  than twenty-seven dollars per month per family; and
     8    (iii)  fifteen  dollars per month for each eligible child whose family
     9  gross household income is between two hundred twenty-three  percent  and
    10  two  hundred fifty percent of the non-farm federal poverty level, but no

    11  more than forty-five dollars per month per family; and
    12    (iv) thirty dollars per month for each  eligible  child  whose  family
    13  gross  household  income  is  between  two hundred fifty-one percent and
    14  three hundred percent of the non-farm federal poverty level, but no more
    15  than ninety dollars per month per family;
    16    (v) forty-five dollars per month for each eligible child whose  family
    17  gross  household  income  is between three hundred one percent and three
    18  hundred fifty percent of the non-farm federal poverty level, but no more
    19  than one hundred thirty-five dollars per month per family; and
    20    (vi) sixty dollars per month for  each  eligible  child  whose  family
    21  gross  household  income  is between three hundred fifty-one percent and

    22  four hundred percent of the non-farm federal poverty level, but no  more
    23  than one hundred eighty dollars per month per family.
    24    § 73. Intentionally omitted.
    25    § 74. Intentionally omitted.
    26    § 75. Intentionally omitted.
    27    § 76. Intentionally omitted.
    28    § 77. Intentionally omitted.
    29    §  78.  Subdivision  8  of  section  2511  of the public health law is
    30  amended by adding a new paragraph (d) to read as follows:
    31    (d)(i) Effective April first, two thousand nine, payment for marketing
    32  and facilitated enrollment activities set forth in subdivision  nine  of
    33  this section and included in subsidy payments made to approved organiza-
    34  tions  providing  such  services  pursuant  to a contract with the state

    35  shall be limited to an amount determined annually by the commissioner.
    36    (ii) Such subsidy payments shall be adjusted by  the  commissioner  to
    37  remove  any  costs  of  approved  organizations  in excess of the amount
    38  determined in accordance with subparagraph (i) of this  paragraph  based
    39  on cost reports submitted to the department by approved organizations.
    40    § 79. Intentionally omitted.
    41    § 80. Intentionally omitted.
    42    § 81. Intentionally omitted.
    43    § 82. Intentionally omitted.
    44    § 83. Intentionally omitted.
    45    § 84. Intentionally omitted.
    46    § 85. Intentionally omitted.
    47    §  86.  Section 2801-a of the public health law is amended by adding a
    48  new subdivision 16 to read as follows:

    49    16. (a) The commissioner shall charge to applicants for the establish-
    50  ment of hospitals the following application fee:
    51    (i) For general hospitals:                 $3,000
    52    (ii) For nursing homes:                    $3,000
    53    (iii) For safety net diagnostic
    54    and treatment centers as
    55    defined in paragraph (c) of
    56    this subdivision:                          $1,000

        S. 58--B                           81                          A. 158--B
 
     1    (iv) For all other diagnostic
     2    and treatment centers:                     $2,000
     3    (b) An applicant for both establishment and construction of a hospital

     4  shall  not  be  subject to this subdivision and shall be subject to fees
     5  and charges as set forth in section twenty-eight  hundred  two  of  this
     6  article.
     7    (c)  The  commissioner may designate a diagnostic and treatment center
     8  or proposed diagnostic and treatment center as a "safety net  diagnostic
     9  and  treatment center" if it is operated or proposes to be operated by a
    10  not-for-profit corporation or local health department;  participates  or
    11  intends  to  participate in the medical assistance program; demonstrates
    12  or projects that a significant percentage of its visits,  as  determined
    13  by  the  commissioner,  were  by  uninsured individuals; and principally
    14  provides primary care services as defined by the commissioner.

    15    (d) The fees and charges paid by an applicant pursuant to this  subdi-
    16  vision  for  any application for establishment of a hospital approved in
    17  accordance with this section shall be deemed allowable capital costs  in
    18  the  determination  of  reimbursement rates established pursuant to this
    19  article. The cost of such fees and  charges  shall  not  be  subject  to
    20  reimbursement  ceiling  or  other penalties used by the commissioner for
    21  the purpose of establishing reimbursement rates pursuant to  this  arti-
    22  cle.  All  fees pursuant to this section shall be payable to the depart-
    23  ment of health for deposit into  the  special  revenue  funds  -  other,
    24  miscellaneous special revenue fund - 339, certificate of need account.

    25    §  87.  Subdivision  7  of  section  2802 of the public health law, as
    26  amended by section 1 of part C of chapter 1 of  the  laws  of  2002,  is
    27  amended to read as follows:
    28    7. (a) The commissioner shall charge to applicants for construction of
    29  hospitals  the following fees and charges for administrative services so
    30  as to recover departmental costs in  performing  these  functions.  Each
    31  applicant  for construction of a hospital shall pay to the department an
    32  application fee of [one thousand two hundred fifty dollars] two thousand
    33  dollars, provided, however, that diagnostic and treatment centers desig-
    34  nated by  the  commissioner  as  safety  net  diagnostic  and  treatment
    35  centers,  as  defined in paragraph (c) of subdivision sixteen of section

    36  twenty-eight hundred one-a of this article, shall pay a fee of one thou-
    37  sand two hundred fifty dollars.
    38    (b) At such  time  as  the  commissioner's  written  approval  of  the
    39  construction  is  granted,  each  applicant shall pay [an] the following
    40  additional fee [of forty-five hundredths of one  percent  of  the  total
    41  capital  value of the application, provided that only those applications
    42  requiring review by the State Hospital Review and Planning Council shall
    43  be subject to such fee.]:
    44    (i) for hospital, nursing home and  diagnostic  and  treatment  center
    45  applications  that  require  approval by the council, the additional fee

    46  shall be fifty-five hundredths of one percent of the total capital value
    47  of the application, provided however that applications for  construction
    48  of a safety net diagnostic and treatment center, as defined in paragraph
    49  (c) of subdivision sixteen of section twenty-eight hundred one-a of this
    50  article,  shall  be  subject  to  a  fee of forty-five hundredths of one
    51  percent of the total capital value of the application; and
    52    (ii) for hospital, nursing home and diagnostic  and  treatment  center
    53  applications that do not require approval by the council, the additional
    54  fee shall be thirty hundredths of one percent of the total capital value
    55  of  the  application,  provided  however  that safety net diagnostic and

    56  treatment center applications, as defined in paragraph (c)  of  subdivi-

        S. 58--B                           82                          A. 158--B
 
     1  sion  sixteen  of  section  twenty-eight  hundred one-a of this article,
     2  shall be subject to a fee of twenty-five hundredths of  one  percent  of
     3  the total capital value of the application.
     4    (c)  The  commissioner  is  authorized  to  establish reduced fees for
     5  applications subject to limited review, as described in regulation, that
     6  do not require review by the council.
     7    (d) The fees and charges paid by an applicant pursuant to this  subdi-
     8  vision  for  any  application for construction of a hospital approved in
     9  accordance with this section shall be deemed allowable capital costs  in

    10  the  determination  of  reimbursement rates established pursuant to this
    11  article. The cost of such fees and  charges  shall  not  be  subject  to
    12  reimbursement  ceiling  or  other penalties used by the commissioner for
    13  the purpose of establishing reimbursement rates pursuant to  this  arti-
    14  cle.  All  fees pursuant to this section shall be payable to the depart-
    15  ment of health for deposit into  the  special  revenue  funds  -  other,
    16  miscellaneous special revenue fund - 339, certificate of need account.
    17    § 88. Section 3605 of the public health law is amended by adding a new
    18  subdivision 13 to read as follows:
    19    13.  The  commissioner shall charge to applicants for the licensure of
    20  home care services agencies an application fee of two thousand  dollars.
    21  All  fees pursuant to this section shall be payable to the department of

    22  health for deposit into the special revenue funds - other, miscellaneous
    23  special revenue fund - 339, certificate of need account.
    24    § 89. Section 3606 of the public health law is amended by adding a new
    25  subdivision 4 to read as follows:
    26    4. (a) The commissioner shall charge to applicants for the  establish-
    27  ment  of  certified home health agencies an application fee of two thou-
    28  sand dollars.
    29    (b) An applicant for both establishment and construction of  a  certi-
    30  fied  home  health  agency  shall not be subject to this subdivision and
    31  shall be subject to fees and charges as set forth in section  thirty-six
    32  hundred six-a of this article.
    33    (c)  The fees and charges paid by an applicant pursuant to this subdi-

    34  vision for any application approved  in  accordance  with  this  section
    35  shall  be  deemed  allowable costs in the determination of reimbursement
    36  rates established pursuant to this article. All fees  pursuant  to  this
    37  section  shall  be  payable to the department of health for deposit into
    38  the special revenue funds - other, miscellaneous special revenue fund  -
    39  339, certificate of need account.
    40    §  90.  Section 3606-a of the public health law is amended by adding a
    41  new subdivision 9 to read as follows:
    42    9. (a) The commissioner shall charge to applicants for construction of
    43  certified home health  agencies  an  application  fee  of  two  thousand
    44  dollars.  Each  such applicant shall, at such time as the commissioner's

    45  written approval of the construction is granted, pay an  additional  fee
    46  of  thirty  hundredths  of one percent of the total capital value of the
    47  application.
    48    (b) The fees and charges paid by an applicant pursuant to this  subdi-
    49  vision  for  any  application  approved  in accordance with this section
    50  shall be deemed allowable costs in the  determination  of  reimbursement
    51  rates  established  pursuant  to this article. All fees pursuant to this
    52  section shall be payable to the department of health  for  deposit  into
    53  the  special revenue funds - other, miscellaneous special revenue fund -
    54  339, certificate of need account.
    55    § 91. Section 3610 of the public  health law is amended  by  adding  a
    56  new subdivision 6 to read as follows:

        S. 58--B                           83                          A. 158--B
 
     1    6.  (a)  The  commissioner shall charge to applicants for the authori-
     2  zation or construction of long term home health care programs an  appli-
     3  cation  fee  of two thousand dollars. Each such applicant shall, at such
     4  time as the commissioner's written approval of a  construction  applica-
     5  tion  is  granted,  pay  an  additional  fee of thirty hundredths of one
     6  percent of the total capital value of the application.
     7    (b) The fees paid by an applicant pursuant to this subdivision for any
     8  application approved in accordance with this  section  shall  be  deemed
     9  allowable  costs in the determination of reimbursement rates established

    10  pursuant to this article. All fees pursuant to  this  section  shall  be
    11  payable to the department of health for deposit into the special revenue
    12  funds  - other, miscellaneous special revenue fund - 339, certificate of
    13  need account.
    14    § 92. Section 3611-a of the public health law, as added by chapter 959
    15  of the laws of 1984, is amended to read as follows:
    16    § 3611-a. Change in the operator or owner. 1. Any change in the person
    17  who, or any transfer, assignment, or other disposition of an interest or
    18  voting rights of ten percent or more, or  any  transfer,  assignment  or
    19  other disposition which results in the ownership or control of an inter-
    20  est  or  voting  rights  of  ten percent or more, in a limited liability

    21  company or a partnership which is the operator of a licensed  home  care
    22  services  agency  or a certified home health agency shall be approved by
    23  the public health council in accordance with the provisions of  subdivi-
    24  sion  four  of  section  [three thousand six] thirty-six hundred five of
    25  this [chapter] article relative  to  licensure  or  subdivision  two  of
    26  section  [three  thousand  six] thirty-six hundred six of this [chapter]
    27  article relative to certificate of approval, except that:
    28    (a) Public health council approval shall be required only with respect
    29  to the person, or the member or partner that is acquiring  the  interest
    30  or voting rights; and

    31    (b)  With respect to certified home health agencies, such change shall
    32  not be subject to the public need assessment described in paragraph  (a)
    33  of subdivision two of section thirty-six hundred six of this article.
    34    (c)  No  prior approval of the public health council shall be required
    35  with respect to a transfer, assignment or disposition of:
    36    (i) an interest or voting rights to any person previously approved  by
    37  the public health council for that operator; or
    38    (ii)  an  interest  or  voting  rights of less than ten percent in the
    39  operator. However, no such transaction  shall  be  effective  unless  at
    40  least  ninety  days  prior  to  the intended effective date thereof, the

    41  partner or member completes and files with  the  public  health  council
    42  notice  on  forms  to  be  developed by the public health council, which
    43  shall disclose such information as may reasonably be necessary  for  the
    44  public  health  council  to  determine  whether it should bar the trans-
    45  action. Such transaction will be final as of the intended effective date
    46  unless, prior thereto, the public health council  shall  state  specific
    47  reasons  for  barring  such  transactions under this paragraph and shall
    48  notify each party to the proposed transaction.
    49    2. Any transfer, assignment or other disposition  of  ten  percent  or
    50  more  of the stock or voting rights thereunder of a corporation which is
    51  the operator of a licensed home care services agency or a certified home

    52  health agency, or any transfer, assignment or other disposition  of  the
    53  stock or voting rights thereunder of such a corporation which results in
    54  the ownership or control of more than ten percent of the stock or voting
    55  rights  thereunder of such corporation by any person shall be subject to
    56  approval by the public health council in accordance with the  provisions

        S. 58--B                           84                          A. 158--B
 
     1  of  subdivision  four of section [three thousand six] thirty-six hundred
     2  five of this [chapter] article relative to licensure or subdivision  two
     3  of section [three thousand six] thirty-six hundred six of this [chapter]
     4  article relative to certificate of approval , except that:

     5    (a) Public health council approval shall be required only with respect
     6  to the person or entity acquiring such stock or voting rights; and
     7    (b)  With respect to certified home health agencies, such change shall
     8  not be subject to the public need assessment described in paragraph  (a)
     9  of  subdivision  two  of section thirty-six hundred six of this article.
    10  In the absence of such approval, the license or certificate of  approval
    11  shall be subject to revocation or suspension.
    12    (c)  No  prior approval of the public health council shall be required
    13  with respect to a transfer, assignment or disposition of an interest  or
    14  voting  rights  to  any  person previously approved by the public health
    15  council for that operator. However, no such transaction shall be  effec-

    16  tive  unless  at  least  one  hundred  twenty days prior to the intended
    17  effective date thereof, the partner or member completes and  files  with
    18  the  public health council notice on forms to be developed by the public
    19  health council, which shall disclose such information as may  reasonably
    20  be  necessary  for  the  public  health  council to determine whether it
    21  should bar the transaction. Such transaction will be  final  as  of  the
    22  intended effective date unless, prior thereto, the public health council
    23  shall  state  specific  reasons for barring such transactions under this
    24  paragraph and shall notify each party to the proposed transaction.
    25    3. (a) The commissioner shall charge to applicants  for  a  change  in

    26  operator or owner of a licensed home care services agency or a certified
    27  home  health  agency  an  application  fee in the amount of two thousand
    28  dollars.
    29    (b) The fees paid by certified home health agencies pursuant  to  this
    30  subdivision for any application approved in accordance with this section
    31  shall  be  deemed  allowable costs in the determination of reimbursement
    32  rates established pursuant to this article. All fees  pursuant  to  this
    33  section  shall  be  payable to the department of health for deposit into
    34  the special revenue funds - other, miscellaneous special revenue fund  -
    35  339, certificate of need account.
    36    § 93. Section 4004 of the public health law is amended by adding a new
    37  subdivision 5 to read as follows:

    38    5.  (a) The commissioner shall charge to applicants for the establish-
    39  ment of a hospice an application fee  in  the  amount  of  two  thousand
    40  dollars.
    41    (b)  An applicant for both establishment and construction of a hospice
    42  shall not be subject to this subdivision and shall be  subject  to  fees
    43  and charges as set forth in section four thousand six of this article.
    44    (c)  All fees pursuant to this section shall be payable to the depart-
    45  ment of health for deposit into  the  special  revenue  funds  -  other,
    46  miscellaneous special revenue fund - 339, certificate of need account.
    47    § 94. Section 4006 of the public health law is amended by adding a new
    48  subdivision 9 to read as follows:

    49    9. (a) The commissioner shall charge to applicants for construction of
    50  a hospice an application fee of two thousand dollars.
    51    (b)  At  such  time  as  the  commissioner's  written  approval of the
    52  construction is granted, each such applicant shall pay an additional fee
    53  of thirty hundredths of one percent of the total capital  value  of  the
    54  application.

        S. 58--B                           85                          A. 158--B
 
     1    (c)  All fees pursuant to this section shall be payable to the depart-
     2  ment of health for deposit  into  the  special  revenue  fund  -  other,
     3  miscellaneous special revenue fund - 339, certificate of need account.
     4    §  95.  The  opening  paragraph  of  paragraph (s) of subdivision 1 of

     5  section 2807-m of the public health law, as amended  by  section  16  of
     6  part B of chapter 58 of the laws of 2008, is amended to read as follows:
     7    "Adjustment  amount"  means  an  amount  determined  for each teaching
     8  hospital for periods prior to January first, two thousand nine by:
     9    § 96. Paragraph (b) of subdivision 2 of section 2807-m of  the  public
    10  health  law,  as amended by chapter 1 of the laws of 1999, is amended to
    11  read as follows:
    12    (b) [Each] For periods prior to January first, two thousand nine, each
    13  regional pool shall be distributed on a monthly basis to teaching gener-
    14  al hospitals  for  costs  associated  with  graduate  medical  education
    15  provided  by  such  teaching  general  hospitals  in accordance with the
    16  distribution methodology set forth in subdivision three of this section;

    17  provided however, teaching general hospitals with a  resident  count  of
    18  zero  as  of  July  first  of the year preceding the distribution period
    19  shall not be  eligible  for  distributions  pursuant  to  this  section.
    20  General  hospitals may elect to have their distribution paid through the
    21  consortium.
    22    § 97. Paragraphs (a), (c), (e) and (f) and the opening  paragraphs  of
    23  paragraphs  (b) and (d) of subdivision 3 of section 2807-m of the public
    24  health law, paragraph (a) and the opening paragraph of paragraph (b)  as
    25  added  by  chapter  639 of the laws of 1996, paragraph (c) as amended by
    26  chapter 419 of the laws of 2000, the opening paragraph of paragraph  (d)
    27  as  amended  by  section 17 of part B of chapter 58 of the laws of 2008,
    28  paragraph (e) as amended by section 11 of part OO of chapter 57  of  the
    29  laws  of  2008  and  paragraph (f) as amended by section 13 of part E of

    30  chapter 63 of the laws of 2005, are amended to read as follows:
    31    (a) Distributions to teaching general hospitals shall be made from the
    32  regional pools described in subdivision two of  this  section  for  each
    33  period prior to January first, two thousand nine, less amounts set aside
    34  pursuant  to subdivision five of this section. To be eligible to partic-
    35  ipate in distributions pursuant to  this  section,  a  teaching  general
    36  hospital  and  consortium  must  be  in compliance with graduate medical
    37  education reporting requirements set forth in subdivision four  of  this
    38  section.
    39    [Each]  For  periods  prior  to January first, two thousand nine, each
    40  teaching general hospital in a region shall have a proxy calculated  for
    41  its graduate medical education costs as follows:

    42    (c)  [A]  For  periods  prior  to  January first, two thousand nine, a
    43  distribution amount for each teaching general hospital shall  be  calcu-
    44  lated  from the applicable regional pool described in subdivision two of
    45  this section as adjusted pursuant to paragraph (d) of  this  subdivision
    46  based  upon its percentage of the regional total of the graduate medical
    47  education proxies, except that for purposes of this paragraph the state-
    48  wide amount used to compute such  distribution  amounts  shall  be  four
    49  hundred  ninety million dollars on an annual basis for the periods Janu-
    50  ary first, two thousand through December thirty-first, two thousand  two
    51  and two hundred forty-five million dollars for the period January first,
    52  two  thousand  three  through  June  thirtieth, two thousand three, less
    53  amounts set aside each period pursuant  to  subdivision  seven  of  this

    54  section.
    55    [Each]  For  periods  prior  to January first, two thousand nine, each
    56  teaching general hospital shall receive a distribution from the applica-

        S. 58--B                           86                          A. 158--B
 
     1  ble regional pool based on  its  distribution  amount  determined  under
     2  paragraph (c) of this subdivision adjusted by a reduction amount that is
     3  determined as follows:
     4    (e)  Effective April first, two thousand four through December thirty-
     5  first, two thousand eight, the distribution amount  calculated  pursuant
     6  to paragraphs (c) and (d) of this subdivision for each non-public teach-
     7  ing  general  hospital  shall  be  reduced  by the amount calculated and
     8  included in rates pursuant to paragraph (d) of  subdivision  twenty-five

     9  of section twenty-eight hundred seven-c of this article.
    10    (f)  Effective January first, two thousand five through December thir-
    11  ty-first, two thousand  eight,  each  teaching  general  hospital  shall
    12  receive  a  distribution  from the applicable regional pool based on its
    13  distribution amount determined under paragraphs (c), (d) and (e) of this
    14  subdivision and reduced by its adjustment amount calculated pursuant  to
    15  paragraph [(1)] (s) of subdivision one of this section and, for distrib-
    16  utions  for the period January first, two thousand five through December
    17  thirty-first, two thousand five, further reduced by its extra  reduction
    18  amount  calculated pursuant to paragraph [(m)] (t) of subdivision one of
    19  this section.
    20    § 98. The opening paragraph of paragraph (b), paragraph (c), the open-

    21  ing paragraphs of paragraphs (d) and (e) and paragraphs (f) and  (g)  of
    22  subdivision  5-a of section 2807-m of the public health law, the opening
    23  paragraph of paragraph (b), paragraph  (c),  the  opening  paragraph  of
    24  paragraph  (e),  and  paragraphs (f) and (g) as added by section 75-c of
    25  part C of chapter 58 of the laws of 2008 and the  opening  paragraph  of
    26  paragraph  (d)  as amended by section 15 of part OO of chapter 57 of the
    27  laws of 2008, are amended to read as follows:
    28    Empire clinical research investigator program (ECRIP) and other gradu-
    29  ate medical education reforms.  [Thirty-one] Thirty million four hundred
    30  thousand dollars annually for the period  January  first,  two  thousand
    31  nine  through December thirty-first, two thousand ten, and seven million

    32  [seven hundred fifty] six hundred thousand dollars for the period  Janu-
    33  ary  first, two thousand eleven through March thirty-first, two thousand
    34  eleven, shall be set aside and reserved by  the  commissioner  from  the
    35  regional  pools  established pursuant to subdivision two of this section
    36  to be allocated regionally with  two-thirds  of  the  available  funding
    37  going  to  New York city and one-third of the available funding going to
    38  the rest of the  state  and  shall  be  available  for  distribution  as
    39  follows:
    40    (c)  Ambulatory  care training. [Five] Four million nine hundred thou-
    41  sand dollars for the period January first, two  thousand  eight  through
    42  December  thirty-first,  two  thousand  eight,  [five] four million nine

    43  hundred thousand dollars for the period January first, two thousand nine
    44  through December thirty-first, two thousand nine,  [five]  four  million
    45  nine hundred thousand dollars for the period January first, two thousand
    46  ten through December thirty-first, two thousand ten, and one million two
    47  hundred  [fifty]  twenty-five  thousand  dollars  for the period January
    48  first, two thousand eleven  through  March  thirty-first,  two  thousand
    49  eleven,  shall  be  set  aside and reserved by the commissioner from the
    50  regional pools established pursuant to subdivision two of  this  section
    51  and  shall  be available for distributions to sponsoring institutions to
    52  be directed to support clinical training of medical students  and  resi-
    53  dents  in  free-standing  ambulatory  care settings, including community

    54  health centers and private practices. Such funding  shall  be  allocated
    55  regionally  with  two-thirds  of the available funding going to New York
    56  city and one-third of the available funding going to  the  rest  of  the

        S. 58--B                           87                          A. 158--B
 
     1  state and shall be distributed to sponsoring institutions in each region
     2  pursuant  to  a  request for application or request for proposal process
     3  with preference being given to  sponsoring  institutions  which  provide
     4  training  in  sites located in underserved rural or inner-city areas and
     5  those that include medical students in such training.
     6    [Two] One million nine hundred sixty thousand dollars for  the  period
     7  January  first,  two  thousand  eight through December thirty-first, two

     8  thousand eight, [two] one million nine hundred  sixty  thousand  dollars
     9  for  the  period January first, two thousand nine through December thir-
    10  ty-first, two thousand nine, [two] one million nine hundred sixty  thou-
    11  sand  dollars  for  the  period  January first, two thousand ten through
    12  December thirty-first, two thousand ten, and [five] four hundred  ninety
    13  thousand  dollars  for  the  period  January  first, two thousand eleven
    14  through March thirty-first, two thousand eleven, shall be set aside  and
    15  reserved  by the commissioner from the regional pools established pursu-
    16  ant to subdivision two of  this  section  and  shall  be  available  for
    17  purposes  of physician loan repayment in accordance with subdivision ten

    18  of this section. Such funding shall be allocated  regionally  with  one-
    19  third of available funds going to New York city and two-thirds of avail-
    20  able  funds going to the rest of the state and shall be distributed in a
    21  manner to be determined by the commissioner as follows:
    22    [Five] Four million nine hundred thousand dollars for the period Janu-
    23  ary first, two thousand eight through December thirty-first,  two  thou-
    24  sand  eight,  [five] four million nine hundred thousand dollars annually
    25  for the period January first, two thousand nine through  December  thir-
    26  ty-first,  two thousand ten, and one million two hundred [fifty] twenty-
    27  five thousand dollars for the period January first, two thousand  eleven
    28  through  March thirty-first, two thousand eleven, shall be set aside and

    29  reserved by the commissioner from the regional pools established  pursu-
    30  ant  to  subdivision  two  of  this  section  and shall be available for
    31  purposes of physician practice support. Such funding shall be  allocated
    32  regionally  with one-third of available funds going to New York city and
    33  two-thirds of available funds going to the rest of the state  and  shall
    34  be  distributed  in  a  manner  to  be determined by the commissioner as
    35  follows:
    36    (f) Study on physician workforce.  [Six] Five hundred ninety  thousand
    37  dollars  annually  for  the  period  January  first,  two thousand eight
    38  through December thirty-first, two thousand ten, and one hundred [fifty]
    39  forty-eight thousand dollars for the period January first, two  thousand
    40  eleven  through  March  thirty-first,  two thousand eleven, shall be set

    41  aside and reserved by the commissioner from the  regional  pools  estab-
    42  lished  pursuant  to subdivision two of this section and shall be avail-
    43  able to fund a study of physician workforce needs and solutions  includ-
    44  ing, but not limited to, an analysis of residency programs and projected
    45  physician  workforce  and  community needs. The commissioner shall enter
    46  into agreements with one or more organizations  to  conduct  such  study
    47  based on a request for proposal process.
    48    (g)  Diversity in medicine/post-baccalaureate program. Notwithstanding
    49  any inconsistent provision of section one hundred twelve or one  hundred
    50  sixty-three of the state finance law or any other law, [two] one million
    51  nine  hundred  sixty  thousand  dollars  annually for the period January
    52  first, two thousand eight through December  thirty-first,  two  thousand

    53  ten,  and  [five]  four  hundred  ninety thousand dollars for the period
    54  January first, two thousand eleven through March thirty-first, two thou-
    55  sand eleven shall be set aside and reserved by the commissioner from the
    56  regional pools established pursuant to subdivision two of  this  section

        S. 58--B                           88                          A. 158--B
 
     1  and  shall  be  available  for  distributions  to the Associated Medical
     2  Schools of New York to fund its diversity program including existing and
     3  new post-baccalaureate programs for minority and economically  disadvan-
     4  taged  students  and encourage participation from all medical schools in
     5  New York. The associated medical schools of New York shall report to the
     6  commissioner on an annual basis regarding the  use  of  funds  for  such

     7  purpose in such form and manner as specified by the commissioner.
     8    §  99.  Subdivision  7  of section 2807-m of the public health law, as
     9  amended by section 75-d of part C of chapter 58 of the laws of 2008,  is
    10  amended to read as follows:
    11    7.  Notwithstanding  any inconsistent provision of section one hundred
    12  twelve or one hundred sixty-three of the state finance law or any  other
    13  law,  up  to one million dollars for the period January first, two thou-
    14  sand through  December  thirty-first,  two  thousand,  one  million  six
    15  hundred  thousand  dollars  annually  for the periods January first, two
    16  thousand one through December thirty-first, two thousand  [ten,]  eight,
    17  one million five hundred thousand dollars annually for the periods Janu-
    18  ary first, two thousand nine through December thirty-first, two thousand

    19  ten,  and  [four]  three  hundred  seventy-five thousand dollars for the
    20  period January first, two thousand eleven  through  March  thirty-first,
    21  two thousand eleven, shall be set aside and reserved by the commissioner
    22  from  the regional pools established pursuant to subdivision two of this
    23  section and shall be available for distributions to the New  York  state
    24  area health education center program for the purpose of expanding commu-
    25  nity-based  training  of  medical  students.  In  addition,  one million
    26  dollars annually for  the  period  January  first,  two  thousand  eight
    27  through  December  thirty-first, two thousand ten, and two hundred fifty
    28  thousand dollars for the  period  January  first,  two  thousand  eleven
    29  through  March thirty-first, two thousand eleven, shall be set aside and

    30  reserved by the commissioner from the regional pools established  pursu-
    31  ant  to  subdivision  two  of  this  section  and shall be available for
    32  distributions to the New York state area health education center program
    33  for the purpose of post-secondary training of health care  professionals
    34  who  will  achieve  specific  program outcomes within the New York state
    35  area health education center program.  The New York  state  area  health
    36  education  center  program shall report to the commissioner on an annual
    37  basis regarding the use of funds for  each  purpose  in  such  form  and
    38  manner as specified by the commissioner.
    39    §  100. Paragraph (a) of subdivision 7 of section 2807-s of the public
    40  health law, as amended by section 22 of part A of chapter 58 of the laws
    41  of 2007, subparagraphs (viii), (ix) and (xii) as amended by  section  14

    42  of  part  B  of  chapter  58  of the laws of 2008, is amended to read as
    43  follows:
    44    (a) funds shall be  accumulated  in  regional  professional  education
    45  pools  established  by  the  commissioner  or  the healthcare reform act
    46  (HCRA) resources fund established pursuant to section  ninety-two-dd  of
    47  the  state  finance  law,  whichever  is applicable, for distribution in
    48  accordance with section twenty-eight hundred seven-m of this article, in
    49  the following amounts:
    50    (i) ninety-two and forty-five-hundredths percent of the funds  accumu-
    51  lated  less  seventy-six  million  dollars for the period January first,
    52  nineteen hundred ninety-seven through  December  thirty-first,  nineteen
    53  hundred ninety-seven,
    54    (ii) ninety-two and forty-five-hundredths percent of the funds accumu-
    55  lated  less  seventy-six  million  dollars for the period January first,

        S. 58--B                           89                          A. 158--B
 
     1  nineteen hundred ninety-eight through  December  thirty-first,  nineteen
     2  hundred ninety-eight,
     3    (iii)  ninety-two and forty-five-hundredths percent of the funds accu-
     4  mulated less one hundred one million  dollars  for  the  period  January
     5  first, nineteen hundred ninety-nine through December thirty-first, nine-
     6  teen hundred ninety-nine,
     7    (iv)  four  hundred ninety-four million dollars on an annual basis for
     8  the periods January first, two thousand through  December  thirty-first,
     9  two thousand three,
    10    (v)  four  hundred  sixty-three million dollars for the period January
    11  first, two thousand four through  December  thirty-first,  two  thousand
    12  four,
    13    (vi)  four hundred eighty-eight million dollars for the period January

    14  first, two thousand five through  December  thirty-first,  two  thousand
    15  five,
    16    (vii)  four hundred ninety-four million dollars for the period January
    17  first, two thousand six through December thirty-first, two thousand six,
    18    (viii) four hundred seventy million dollars [annually] for the  period
    19  January  first,  two  thousand  seven through December thirty-first, two
    20  thousand [ten] seven, [and]
    21    (ix) [one  hundred  seventeen]  four  hundred  forty-six  million  six
    22  hundred  thousand  dollars  for  the  period January first, two thousand
    23  eight through December thirty-first, two thousand eight,
    24    (x) forty-seven million two hundred ten thousand dollars on an  annual
    25  basis  for the periods January first, two thousand nine through December

    26  thirty-first, two thousand ten; and
    27    (xi) eleven million [five] eight  hundred  thousand  dollars  for  the
    28  period  January  first,  two thousand eleven through March thirty-first,
    29  two thousand eleven;
    30    [(x)] (xii) provided, however, for periods prior to January first, two
    31  thousand nine, amounts set forth in this paragraph may be reduced by the
    32  commissioner in an amount to be approved by the director of  the  budget
    33  to  reflect  the  amount  received from the federal government under the
    34  state's 1115 waiver which is directed under its terms and conditions  to
    35  the  graduate  medical education program established pursuant to section
    36  twenty-eight hundred seven-m of this article;

    37    [(xi)] (xiii) provided further, however, for  periods  prior  to  July
    38  first,  two  thousand nine, amounts set forth in this paragraph shall be
    39  reduced by an amount equal to the total actual  distribution  reductions
    40  for  all  facilities  pursuant  to paragraph (e) of subdivision three of
    41  section twenty-eight hundred seven-m of this article; and
    42    [(xii)] (xiv) provided further, however, for  periods  prior  to  July
    43  first,  two  thousand nine, amounts set forth in this paragraph shall be
    44  reduced by an amount equal to the actual distribution reductions for all
    45  facilities pursuant to paragraph (s) of subdivision one of section twen-
    46  ty-eight hundred seven-m of this article.
    47    § 101. Section 2807-k of the public health law is amended by adding  a

    48  new subdivision 5-b to read as follows:
    49    5-b.  Notwithstanding  any  inconsistent  provision  of  this section,
    50  section twenty-eight hundred  seven-w  of  this  article  or  any  other
    51  contrary  provision  of  law  and subject to the availability of federal
    52  financial participation, for periods on and after May first,  two  thou-
    53  sand  nine,  funds  as  hereinafter  described shall be reserved and set
    54  aside and distributed in accordance with the following:
    55    (a) For the period May first, two thousand nine through December thir-
    56  ty-first, two thousand nine payments shall be made as follows:

        S. 58--B                           90                          A. 158--B
 
     1    (i) Ninety percent of funds available for the two thousand nine calen-

     2  dar year pursuant to paragraph (a-1) of subdivision four of this section
     3  shall be reserved and set aside and distributed as  Medicaid  dispropor-
     4  tionate  share  (DSH)  payments  to  the  same hospitals and in the same
     5  proportional amounts as received pursuant to such paragraph (a-1) in two
     6  thousand eight;
     7    (ii) Three hundred seven million dollars shall be distributed as Medi-
     8  caid DSH payments to facilities designated by the department as teaching
     9  hospitals  as of December thirty-first, two thousand eight in accordance
    10  with a schedule of payments to be set forth in  regulations  promulgated
    11  by the commissioner to compensate such facilities for Medicaid and self-
    12  pay  losses  reported  in each facility's two thousand seven annual cost

    13  report;
    14    (iii) Sixteen million dollars shall be proportionally  distributed  as
    15  Medicaid DSH payments to non-teaching hospitals based upon their propor-
    16  tion  of  uninsured  losses  as  defined in paragraph (c) of subdivision
    17  five-a of this section to such losses of all non-teaching hospitals on a
    18  statewide basis;
    19    (iv) Twenty-five million dollars shall be distributed as Medicaid  DSH
    20  payments  to  non-major  public  hospitals having Medicaid discharges of
    21  forty percent or greater as established by the  commissioner  from  data
    22  reported  in  each  hospital's two thousand seven annual cost report, in
    23  accordance with a schedule to be set forth in regulations promulgated by

    24  the commissioner, to compensate such facilities for  projected  Medicaid
    25  net  losses,  as determined by the commissioner, stemming from modifica-
    26  tions to Medicaid payments made pursuant to a chapter of the laws of two
    27  thousand nine.
    28    (b) For annual periods  beginning  January  first,  two  thousand  ten
    29  payments shall be made as follows:
    30    (i) Two hundred sixty-nine million five hundred thousand dollars shall
    31  be  distributed  as  Medicaid  DSH payments to non-major public teaching
    32  hospitals, and such distributions shall be made on a regional  basis  to
    33  cover,  within  amounts available for each region, each eligible facili-
    34  ty's proportional regional share of unmet need for two  thousand  seven,

    35  provided,  however,  that  such regions and regional allocations and the
    36  definition of unmet need shall be set forth in  regulations  promulgated
    37  by the commissioner;
    38    (ii)  Twenty-five million dollars shall be distributed as Medicaid DSH
    39  payments to hospitals eligible for payments made  pursuant  to  subpara-
    40  graph  (iv) of paragraph (a) of this subdivision based upon each facili-
    41  ty's proportion of uninsured losses, as  defined  in  paragraph  (c)  of
    42  subdivision  five-a  of  this  section, to such losses for all hospitals
    43  eligible for such payments;
    44    (iii) Sixteen million dollars shall be distributed in accordance  with
    45  the  provisions  of subparagraph (iii) of paragraph (a) of this subdivi-
    46  sion;

    47    (iv) Twenty-five million dollars shall be  distributed  in  accordance
    48  with the provisions of subparagraph (iv) of paragraph (a) of this subdi-
    49  vision;
    50    (v)  Twenty-four  million  five  hundred  thousand  dollars  shall  be
    51  distributed as non-Medicaid grants to non-major public academic  medical
    52  centers pursuant to a schedule to be set forth in regulations promulgat-
    53  ed by the commissioner, for funding for the following purposes:
    54    (A)  quality of care standards linked to the All Patient Refined (APR)
    55  DRGs;

        S. 58--B                           91                          A. 158--B
 
     1    (B) best practices and evidence-based guidelines with particular focus

     2  on obstetric, psychiatric and other high risk specialties;
     3    (C) inpatient psychiatric case payment system and financial incentives
     4  to divert admissions and improve linkages to outpatient programs;
     5    (D)  medical  home  standards  and  integrated delivery systems with a
     6  particular focus on chronic care patients  served  in  academic  medical
     7  centers and community-based settings; and
     8    (E)  reforms  to  residency  training  curriculum focusing on cultural
     9  competency, quality of training programs, and physician supply in needed
    10  specialties and geographic areas.
    11    § 101-a. Paragraph (a-1) of subdivision four of section 2807-k of  the
    12  public  health  law, as amended by section 1 of part OO of chapter 57 of
    13  the laws of 2008, is amended to read as follows:

    14    (a-1) From funds in the  pool  for  each  year,  twenty-seven  million
    15  dollars  shall  be  reserved  on an annual basis for the periods January
    16  first, two thousand through December thirty-first, two thousand ten, for
    17  distribution in accordance with subdivision  sixteen  of  this  section,
    18  provided,  however,  that payments on and after January first, two thou-
    19  sand nine through December thirty-first,  two  thousand  nine  shall  be
    20  subject  to  the  provisions  of  [subdivision]  subdivisions five-a and
    21  five-b of this section, and shall be subject to the provisions of subdi-
    22  vision five-b of this section for periods on and  after  January  first,
    23  two thousand ten.
    24    § 101-b. Notwithstanding any contrary provision of law, if the commis-

    25  sioner  of  health  determines that federal financial participation will
    26  not be available with regard to the provisions of subparagraph  (ii)  of
    27  paragraph  (a) of subdivision 5-b of section 2807-k of the public health
    28  law, such commissioner may deem such provision null and void and instead
    29  may allocate funds in accordance  with  the  methodology  set  forth  in
    30  subparagraph  (i)  of paragraph (b) of subdivision 5-b of section 2807-k
    31  of the public health law.
    32    § 102. Paragraph (c) of subdivision  5-a  of  section  2807-k  of  the
    33  public  health  law, as added by section 28-b of part B of chapter 58 of
    34  the laws of 2008, is amended to read as follows:
    35    (c) For the purposes of distributions in  accordance  with  paragraphs
    36  (a)  and (b) of this subdivision, each facility's relative uncompensated

    37  care need amount shall be determined [by multiplying reported  inpatient
    38  and  outpatient  units of service from the calendar year two years prior
    39  to the distribution year, but  excluding  referred  ambulatory  services
    40  units  of service, for all uninsured patients by the applicable Medicaid
    41  rates, but not including prospective rate adjustments and rate  add-ons,
    42  in effect for the calendar year two years prior to the distribution year
    43  for  such  services,  provided,  however,  that for distributions on and
    44  after January first, two thousand  ten,  each  facility's  uncompensated
    45  need amount shall be reduced by the sum of all payment amounts collected
    46  from  such patients. The total uncompensated care need for each facility

    47  subject to paragraph (a) or  (b)  of  this  subdivision  shall  then  be
    48  adjusted  by application of the nominal need scale set forth in subdivi-
    49  sion five of this section.] in accordance with the following:
    50    (i) inpatient units of services for all uninsured  patients  from  the
    51  calendar  year  two  years prior to the distribution year, but excluding
    52  referred ambulatory units of services, shall be multiplied by the appli-
    53  cable Medicaid inpatient rates in effect for such prior  year,  but  not
    54  including  prospective  rate  adjustments  and  rate  add-ons, provided,
    55  however, that for distributions on and after January first, two thousand

        S. 58--B                           92                          A. 158--B
 

     1  ten, the uncompensated amount for inpatient services shall  utilize  the
     2  inpatient rates in effect as of July first of the prior year;
     3    (ii)  outpatient  units of service for all uninsured patients from the
     4  calendar year two years prior to the distribution year, including  emer-
     5  gency department services and ambulatory surgery services, but excluding
     6  referred  ambulatory  services  units of service, shall be multiplied by
     7  Medicaid outpatient rates that reflect the exclusive utilization of  the
     8  ambulatory patient groups (APG) rate-setting methodology as set forth in
     9  regulations  promulgated  pursuant to subdivision two-a of section twen-
    10  ty-eight hundred seven of this article, as in effect  for  the  distrib-

    11  ution year, provided further, however, that for those services for which
    12  APG  rates  are  not  available  the applicable Medicaid outpatient rate
    13  shall be the rate in effect for the calendar year two years prior to the
    14  distribution year;
    15    (iii) the uncompensated care need for each facility for periods on and
    16  after January first, two thousand ten shall be reduced by the sum of all
    17  payment amounts collected from such patients; and
    18    (iv) the total uncompensated care need for each  facility  subject  to
    19  this  subdivision  shall  then be adjusted by application of the nominal
    20  need scale set forth in subdivision five of this section.
    21    § 103. Section 2807-p of the public health law is amended by adding  a
    22  new subdivision 10 to read as follows:

    23    10.  (a) Notwithstanding any inconsistent provision of this section or
    24  any other contrary provision of law, the commissioner is  authorized  to
    25  seek  a  waiver from the federal department of health and human services
    26  pursuant to section eleven hundred fifteen of the federal social securi-
    27  ty act, or such other federal law provision as may be  deemed  appropri-
    28  ate,  seeking  federal financial participation in payments made pursuant
    29  to this section, in which case the state funding made available pursuant
    30  to this section shall be utilized  as  the  non-federal  share  of  such
    31  payments.    To the extent as may be required, payments made pursuant to
    32  this section and in accordance with this subdivision, may be  deemed  to

    33  be  disproportionate  share  hospital  payments  in  accordance with the
    34  provisions of the federal social security act.
    35    (b) If federal financial participation in payments  made  pursuant  to
    36  this  section  are  made  available in accordance with the provisions of
    37  this subdivision, free-standing  clinics  licensed  solely  pursuant  to
    38  article thirty-one of the mental hygiene law shall also be deemed eligi-
    39  ble for participation in such payments to the same degree and in accord-
    40  ance  with  the same distribution methodology otherwise provided in this
    41  section, provided, however, that only those units of service provided by
    42  such free-standing clinics that constitute  medical  services  that  are

    43  otherwise  eligible  for  consideration  for  Medicaid payments shall be
    44  reflected in distributions made pursuant to this  section,  and  further
    45  provided,  however,  that the commissioner may, in consultation with the
    46  commissioner of the office of mental health, require such clinics, as  a
    47  condition  of  receiving such distributions, to provide reports and data
    48  to the department as the  commissioner  deems  necessary  to  adequately
    49  implement  the  provisions of this subdivision with regard to such clin-
    50  ics.
    51    § 104. Intentionally omitted.
    52    § 105. Intentionally omitted.
    53    § 106. Intentionally omitted.
    54    § 107. Intentionally omitted.
    55    § 107-a. Intentionally omitted.
    56    § 108. Intentionally omitted.

        S. 58--B                           93                          A. 158--B
 
     1    § 109. Intentionally omitted.
     2    §  110.  Subdivision  2 of section 241 of the elder law, as amended by
     3  section 13 of part B of chapter 57 of the laws of 2006,  is  amended  to
     4  read as follows:
     5    2.  "Provider  pharmacy" shall mean a pharmacy registered in the state
     6  of New York pursuant to section sixty-eight hundred eight of the  educa-
     7  tion  law,  a  non-resident establishment registered pursuant to section
     8  sixty-eight hundred eight-b of the education law, or a  pharmacy  regis-
     9  tered  in  a  state  bordering  the  state of New York when certified as
    10  necessary by the executive director  pursuant  to  section  two  hundred
    11  fifty-three  of  this  title, for which an agreement to provide pharmacy

    12  services for purposes of this program pursuant to  section  two  hundred
    13  forty-nine of this title is in effect.
    14    §  111.  Subdivision  1  of section 249 of the elder law is amended to
    15  read as follows:
    16    1. The state shall offer an opportunity to participate in this program
    17  to all provider pharmacies as defined in section two  hundred  forty-one
    18  of  this  title, provided, however, that the participation of pharmacies
    19  registered in the state pursuant to section sixty-eight hundred  eight-b
    20  of the education law shall be limited to state assistance provided under
    21  this  title  for  prescription  drugs covered by a program participant's
    22  medicare or other drug plan.
    23    § 112. Paragraph (e) of subdivision 3 of section 242 of the elder law,
    24  as amended by section 3 of part B of chapter 58 of the laws of 2007,  is

    25  amended to read as follows:
    26    (e)  As  a  condition of continued eligibility for benefits under this
    27  title, if a program participant's income indicates that the  participant
    28  could  be  eligible for an income-related subsidy under section 1860D-14
    29  of the federal social security act by either applying for  such  subsidy
    30  or  by  enrolling  in a medicare savings program as a qualified medicare
    31  beneficiary (QMB), a specified low-income medicare  beneficiary  (SLMB),
    32  or  a  qualifying  individual (QI), a program participant is required to
    33  provide, and to authorize the elderly pharmaceutical insurance  coverage
    34  program  to  obtain, any information or documentation required to estab-
    35  lish the participant's eligibility for such subsidy,  and  to  authorize

    36  the elderly pharmaceutical insurance coverage program to apply on behalf
    37  of  the participant for the subsidy or the medicare savings program. The
    38  elderly pharmaceutical insurance coverage program shall make  a  reason-
    39  able  effort  to  notify  the  program participant of his or her need to
    40  provide any of the above required information. After a reasonable effort
    41  has been made to contact the participant, a participant shall  be  noti-
    42  fied  in  writing that he or she has sixty days to provide such required
    43  information. If such information is not provided within  the  sixty  day
    44  period, the participant's coverage may be terminated.
    45    § 113. Intentionally omitted.
    46    §  114.  Paragraph  (b)  of  subdivision  1-a of section 2807-s of the
    47  public health law, as added by chapter 639  of  the  laws  of  1996,  is
    48  amended to read as follows:

    49    (b)  "Specified  third-party payors", for purposes of this section and
    50  sections twenty-eight hundred seven-j and twenty-eight  hundred  seven-t
    51  of  this  article, shall include corporations organized and operating in
    52  accordance with article forty-three of the insurance law,  organizations
    53  operating  in  accordance  with  the provisions of article forty-four of
    54  this chapter, self-insured funds and administrators acting on behalf  of
    55  self-insured  funds, and commercial insurers [licensed to do business in
    56  this state and] authorized to write accident and  health  insurance  and

        S. 58--B                           94                          A. 158--B
 
     1  whose  policy  provides coverage on an expense incurred basis. Specified
     2  third-party payors, for purposes of  this  section,  shall  not  include

     3  governmental  agencies  or providers of coverage pursuant to the compre-
     4  hensive  motor  vehicle  insurance reparations act, the workers' compen-
     5  sation law, the volunteer firefighters' benefit law,  or  the  volunteer
     6  ambulance workers' benefit law.
     7    § 115. Intentionally omitted.
     8    §  116.  Paragraph (b) of subdivision 2 of section 367-a of the social
     9  services law, as amended by section 58 of part C of chapter  58  of  the
    10  laws of 2007, is amended to read as follows:
    11    (b)  Any  inconsistent provision of this chapter or other law notwith-
    12  standing, upon furnishing assistance under this title to  any  applicant
    13  or  recipient  of medical assistance, the local social services district
    14  or the department shall be subrogated, to the extent of the expenditures
    15  by such district or department for medical care furnished, to any rights

    16  such person may have to medical support or [third  party  reimbursement]
    17  reimbursement  from  liable  third parties, including but not limited to
    18  health insurers, self-insured plans, group health plans, service benefit
    19  plans, managed care organizations, pharmacy benefit managers,  or  other
    20  parties  that are, by statute, contract, or agreement, legally responsi-
    21  ble for payment of a claim for a health  care  item  or  service.    For
    22  purposes  of this section, the term medical support shall mean the right
    23  to support specified as support for the purpose of  medical  care  by  a
    24  court  or administrative order. The right of subrogation does not attach
    25  to insurance benefits paid or provided under any health insurance policy
    26  prior to the receipt of written notice of the  exercise  of  subrogation

    27  rights  by  the  carrier issuing such insurance, nor shall such right of
    28  subrogation attach to any benefits which may  be  claimed  by  a  social
    29  services  official  or the department, by agreement or other established
    30  procedure, directly from an insurance carrier. No right  of  subrogation
    31  to  insurance benefits available under any health insurance policy shall
    32  be enforceable unless written notice of the exercise of such subrogation
    33  right is received by the  carrier  within  three  years  from  the  date
    34  services  for  which  benefits are provided under the policy or contract
    35  are rendered. Liable third parties shall not deny  a  claim  made  by  a
    36  social  services  official  or  the  department in conformance with this
    37  paragraph solely on the basis of the date of submission  of  the  claim,

    38  the  type  or  format  of the claim form, or a failure to present proper
    39  documentation at the point-of-sale that is the basis of the  claim.  The
    40  local  social  services district or the department shall also notify the
    41  carrier when the exercise of subrogation rights has terminated because a
    42  person is no longer receiving assistance under this title. Such  carrier
    43  shall  establish mechanisms to maintain the confidentiality of all indi-
    44  vidually identifiable information or records. Such carrier  shall  limit
    45  the  use of such information or record to the specific purpose for which
    46  such disclosure is made, and shall not further disclose such information
    47  or records.
    48    § 117. Paragraph (a) of subdivision 11 of section 367-a of the  social
    49  services  law, as amended by chapter 170 of the laws of 1994, is amended
    50  to read as follows:

    51    (a) Any inconsistent provisions of this title or  other  law  notwith-
    52  standing,  no health insurer, [health maintenance organization] self-in-
    53  sured plan, managed care  organization,  pharmacy  benefit  manager,  or
    54  other  [entity  providing  medical  benefits] party that is, by statute,
    55  contract, or agreement, legally responsible for payment of a claim for a
    56  health care item or service, employer or organization who  has  a  plan,

        S. 58--B                           95                          A. 158--B
 
     1  including  an employee retirement income security act or service benefit
     2  plan, providing care and other medical benefits for persons, whether  by
     3  insurance  or otherwise, shall exclude a person from eligibility, cover-

     4  age  or  entitlement to medical benefits by reason of the eligibility of
     5  such person for medical assistance under this title, or by reason of the
     6  fact that such person would, except for such plan, be eligible for bene-
     7  fits under this title.
     8    § 117-a. Subsections (a), (b), (d) and  (e)  of  section  320  of  the
     9  insurance  law,  subsection (e) as amended by chapter 601 of the laws of
    10  2007, are amended and a new subsection (f) is added to read as follows:
    11    (a) Every insurer [doing an insurance business in this  state  or  any
    12  pension fund, retirement system or other organization required by law to
    13  make  reports  to,  or which is subject to examination by, the insurance
    14  department, except any corporation subject  to  article  forty-three  of
    15  this  chapter,]  shall,  upon  request of the state department of social

    16  services or of a local social services district for any records, or  any
    17  information contained in such records, pertaining to the coverage of any
    18  individual  for  such individual's medical costs under any individual or
    19  group policy or other obligation made  by  such  organizations,  or  the
    20  medical  benefits  paid by or claims made to such organizations pursuant
    21  to such policy or other obligation in accordance with the limitations of
    22  subsection (c) hereof, make the requested records or information  avail-
    23  able  upon  a  certification by the department of social services or the
    24  social services district that such individual is  an  applicant  for  or
    25  recipient of medical assistance, or is a person who is legally responsi-
    26  ble  for such an applicant or recipient, pursuant to the social services
    27  law.
    28    (b) The superintendent and the commissioner of the state department of

    29  social services shall enter into a cooperative agreement  setting  forth
    30  mutually  agreeable procedures for requesting and furnishing appropriate
    31  information, not inconsistent with any law pertaining to  the  confiden-
    32  tiality and privacy of records, which procedures shall include financial
    33  arrangements as may be necessary to reimburse [insurance corporations or
    34  other] insurers [doing or authorized to do an insurance business in this
    35  state  or  any  pension  fund,  retirement  system or other organization
    36  subject to the provisions of this section] for necessary costs  incurred
    37  in furnishing requested information, and the time and manner such proce-
    38  dures  are  to  become  effective.  Such procedures may be added to [the
    39  cooperative agreement which was entered into between the  superintendent

    40  and  the  commissioner  of social services pursuant to the provisions of
    41  section four thousand three hundred eleven of this chapter or the proce-
    42  dures may be added to] a new cooperative agreement which shall supersede
    43  the agreement currently in existence between the superintendent and  the
    44  commissioner of social services.
    45    (d) Not later than the date upon which the procedures agreed to pursu-
    46  ant  to subsection (b) hereof become effective, the superintendent shall
    47  establish guidelines to assure that information relating to an  individ-
    48  ual certified to be an applicant for or recipient of medical assistance,
    49  furnished  to  any  [insurance  corporation,]  insurer,  [pension  fund,
    50  retirement system or other organization subject  to  the  provisions  of

    51  this section] is used only for the purpose of identifying the records or
    52  information  requested in such manner so as not to violate the confiden-
    53  tiality provisions of the social services law.
    54    (e) (1) Every insurer [doing an insurance business in  this  state  or
    55  any  pension  fund,  retirement system or other organization required by
    56  law to make reports to, or which  is  subject  to  examination  by,  the

        S. 58--B                           96                          A. 158--B

     1  department]  shall,  upon request of an authorized representative of the
     2  state office  of  temporary  and  disability  assistance,  or  a  social
     3  services district child support enforcement unit established pursuant to
     4  section  one  hundred eleven-c of the social services law, enter into an

     5  agreement with the state office of temporary and  disability  assistance
     6  or  a  social  services  district  to  develop  and operate a data match
     7  system, using automated data exchanges to the maximum  extent  feasible,
     8  in  which  each  such  insurer, pension fund, retirement system or other
     9  organization shall provide for each calendar quarter  the  name,  record
    10  address, social security number or other taxpayer identification number,
    11  and  other  identifying  information for each individual who maintains a
    12  demand deposit account, checking or negotiable withdrawal order account,
    13  savings account, time  deposit  account,  or  money-market  mutual  fund
    14  account at such institution and who owes past-due support, as identified
    15  by  the  state office of temporary and disability assistance or a social
    16  services district child support enforcement  unit  by  name  and  social

    17  security  number or other taxpayer identification number. Nothing herein
    18  shall be deemed to limit  the  authority  of  a  local  social  services
    19  district  support  collection  unit  pursuant  to  section  one  hundred
    20  eleven-h of the social services law.
    21    (2) No insurer[, pension fund, retirement system  or  other  organiza-
    22  tion]  which  discloses  information  pursuant  to paragraph one of this
    23  subsection, or discloses any financial record to  the  state  office  of
    24  temporary  and disability assistance or a social services district child
    25  support enforcement unit for the purpose of enforcing  a  child  support
    26  obligation  of  such person, shall be liable under any law to any person
    27  for such disclosure, or for any other action  taken  in  good  faith  to
    28  comply with paragraph one of this subsection.

    29    (f) "Insurer", as used in this section, means:
    30    (1) (i) an insurer required to be licensed to do an insurance business
    31  in  this  state  under  this chapter, including a corporation subject to
    32  article forty-three or forty-seven of this chapter;
    33    (ii) a pension fund, retirement system or other organization  required
    34  by  law  to  make reports to, or which is subject to examination by, the
    35  superintendent;
    36    (iii) a health maintenance organization subject to article  forty-four
    37  of the public health law; or
    38    (iv)  a  self-funded  plan  or  any  other insurer with respect to any
    39  medical claim or benefit of a resident of this State; and
    40    (2) any person or other entity acting  on  behalf  of  an  insurer  as

    41  described  in  paragraph  one  of  this  subsection  with respect to any
    42  medical claim or benefit of a resident of this State.
    43    § 117-b. Subparagraph (C) of paragraph 3 of subsection (e) of  section
    44  3212  of  the  insurance  law,  as amended by chapter 822 of the laws of
    45  1987, is amended to read as follows:
    46    (C) No right of subrogation to insurance benefits available under  any
    47  health  insurance  policy  shall be enforceable unless written notice of
    48  the exercise of such subrogation right is received by the carrier within
    49  [two] three years from the date services for which benefits are provided
    50  under the policy or contract are rendered.  An insurer shall not deny  a
    51  claim  made  in  conformance  with  paragraph  (b) of subdivision two of

    52  section three hundred sixty-seven-a of the social services law solely on
    53  the basis of the date of submission of the claim, the type or format  of
    54  the  claim  form,  or  a  failure to present proper documentation at the
    55  point-of-sale that is the basis of the claim.
    56    § 117-c. Section 4311 of the insurance law is REPEALED.

        S. 58--B                           97                          A. 158--B
 
     1    § 118. Intentionally omitted.
     2    § 119. Intentionally omitted.
     3    §  120.  Subparagraphs  (vi),  (vii)  and  (viii) of paragraph (uu) of
     4  subdivision 1 of section 2807-v of the public health law, as amended  by
     5  section  5  of  part B of chapter 58 of the laws of 2008, are amended to
     6  read as follows:

     7    (vi) [nine] seven million [five] eight hundred  thirty-three  thousand
     8  three  hundred  thirty-three  dollars  for the period January first, two
     9  thousand nine through December thirty-first, two thousand nine, of which
    10  seven million five hundred  thousand  dollars  shall  be  available  for
    11  disease  management  demonstration  programs  and  [two  million]  three
    12  hundred thirty-three thousand three hundred thirty-three  dollars  shall
    13  be  available  for  telemedicine  demonstration  programs for the period
    14  January first, two thousand nine through March first, two thousand nine;
    15    (vii) [nine] seven million five hundred thousand dollars for the peri-
    16  od January first, two thousand ten through  December  thirty-first,  two

    17  thousand  ten[,  of  which  seven million five hundred thousand dollars]
    18  shall be available for disease management  demonstration  programs  [and
    19  two  million  dollars  shall be available for telemedicine demonstration
    20  programs]; and
    21    (viii) [two] one million [three] eight hundred  seventy-five  thousand
    22  dollars  for the period January first, two thousand eleven through March
    23  thirty-first, two thousand eleven[, of which one million  eight  hundred
    24  seventy-five thousand dollars] shall be available for disease management
    25  demonstration  programs  [and  five  hundred  thousand  dollars shall be
    26  available for telemedicine demonstration programs].
    27    § 121. Section 3621 of the public health law is REPEALED.

    28    § 122. Intentionally omitted.
    29    § 123. Intentionally omitted.
    30    § 123-a. Intentionally omitted.
    31    § 123-b. Intentionally omitted.
    32    § 124. Paragraph (kk) of subdivision 1 of section 2807-v of the public
    33  health law, as amended by section 5 of part B of chapter 58 of the  laws
    34  of 2008, is amended to read as follows:
    35    (kk)  Funds  shall  be  deposited  by the commissioner, within amounts
    36  appropriated,  and  the  state  comptroller  is  hereby  authorized  and
    37  directed  to  receive  for  deposit  to  the credit of the state special
    38  revenue funds -- other, HCRA transfer fund, medical assistance  account,
    39  or  any  successor  fund  or  account, for purposes of funding the state
    40  share of [Medicaid] Medical Assistance Program expenditures [for pharma-

    41  cy services] from the tobacco control  and  insurance  initiatives  pool
    42  established for the following periods in the following amounts:
    43    (i) thirty-eight million eight hundred thousand dollars for the period
    44  January first, two thousand two through December thirty-first, two thou-
    45  sand two;
    46    (ii)  up  to  two  hundred  ninety-five million dollars for the period
    47  January first, two thousand three  through  December  thirty-first,  two
    48  thousand three;
    49    (iii)  up  to  four hundred seventy-two million dollars for the period
    50  January first, two thousand  four  through  December  thirty-first,  two
    51  thousand four;
    52    (iv)  up to nine hundred million dollars for the period January first,
    53  two thousand five through December thirty-first, two thousand five;
    54    (v) up to eight  hundred  sixty-six  million  three  hundred  thousand

    55  dollars  for the period January first, two thousand six through December
    56  thirty-first, two thousand six;

        S. 58--B                           98                          A. 158--B
 
     1    (vi) up to six hundred sixteen million seven hundred thousand  dollars
     2  for  the period January first, two thousand seven through December thir-
     3  ty-first, two thousand seven;
     4    (vii)  up  to  five hundred seventy-eight million nine hundred twenty-
     5  five thousand dollars for the period January first, two  thousand  eight
     6  through December thirty-first, two thousand eight; and
     7    (viii)  [up  to five hundred fifty-one million dollars for the period]
     8  within amounts appropriated on and after  January  first,  two  thousand
     9  nine [through December thirty-first, two thousand nine;

    10    (ix)  up to three hundred twenty million six hundred twenty-five thou-
    11  sand dollars for the period January  first,  two  thousand  ten  through
    12  December thirty-first, two thousand ten; and
    13    (x)  up  to sixty-one million one hundred twenty-five thousand dollars
    14  for the period January first, two thousand eleven through March  thirty-
    15  first, two thousand eleven].
    16    § 125. Paragraphs (a) and (b) of subdivision 2 of section 480-a of the
    17  tax  law,  as  added  by chapter 190 of the laws of 1990, are amended to
    18  read as follows:
    19    (a) (i) Every retail dealer and every person owning or, if  the  owner
    20  is  not  the  operator,  then  any  person operating one or more vending
    21  machines through which cigarettes or tobacco products are sold  in  this

    22  state,  who  is required under section eleven hundred thirty-six of this
    23  chapter to file a return for the quarterly period ending on the last day
    24  of August, nineteen hundred ninety or for the quarterly period ending on
    25  the last day of August in any year  thereafter,  [shall]  must  file  an
    26  application  for  registration under this section with [such] that quar-
    27  terly return, in such form as shall be prescribed  by  the  commissioner
    28  [of taxation and finance].
    29    (ii)  Each  retail  dealer  [shall]  must  pay an application fee with
    30  [such] the quarterly  return  [of  one  hundred  dollars]  described  by
    31  subparagraph  (i) of this paragraph for each retail place of business in

    32  this state through which it sells cigarettes or tobacco products,  which
    33  is  based  on  gross sales of that place of business during the previous
    34  calendar year. The application fee is: one  thousand  dollars  for  each
    35  retail place of business with gross sales totaling less than one million
    36  dollars;  two  thousand  five  hundred  dollars for each retail place of
    37  business with gross sales totaling at least one million dollars but less
    38  than ten million dollars; and five  thousand  dollars  for  each  retail
    39  place  of  business  with  gross  sales  totaling  at  least ten million
    40  dollars.
    41    (iii) Every person who owns or, if the owner is not the operator, then
    42  any person who operates one or more vending machines through which ciga-

    43  rettes or tobacco products are sold in this state, regardless of whether
    44  located on the premises of the vending machine owner or, if the owner is
    45  not the operator, then the premises of the operator or the  premises  of
    46  any  other  person,  [shall] must pay an application fee with [such] the
    47  quarterly return [of twenty-five dollars] described by subparagraph  (i)
    48  of  this  paragraph  for  each [such] vending machine, which is based on
    49  gross sales of that vending machine during the previous  calendar  year.
    50  The  application  fee  is:  two  hundred  fifty dollars for each vending
    51  machine with  gross  sales  totaling  less  than  one  hundred  thousand
    52  dollars;  six  hundred twenty-five dollars for each vending machine with

    53  gross sales totaling at least one hundred thousand dollars but less than
    54  one million dollars; and one thousand two hundred fifty dollars for each
    55  vending machine with gross sales totaling at least one million  dollars.
    56  The  department  [shall]  will  issue  a  registration  certificate,  as

        S. 58--B                           99                          A. 158--B
 
     1  prescribed by the commissioner [of taxation and finance], after  receipt
     2  of  a  registration  application  and  the appropriate registration fee,
     3  prior to the next succeeding January first.
     4    (b)  Every retail dealer and every person who owns or, if the owner is
     5  not the operator, then any person  who  operates  one  or  more  vending
     6  machines  through  which cigarettes or tobacco products are sold in this

     7  state who commences business after the  last  day  of  August,  nineteen
     8  hundred  ninety, or who commences selling cigarettes or tobacco products
     9  at retail through a new or different place of  business  in  this  state
    10  after such date, or who commences selling cigarettes or tobacco products
    11  through  new or different vending machines after such date, [shall] must
    12  file with the commissioner [of taxation and finance] an application  for
    13  registration,  in  a form prescribed by him or her, at least thirty days
    14  prior to commencing [such] business or  commencing  [such]  sales.  Each
    15  [such] application [shall] must be accompanied by an application fee [of
    16  one  hundred  dollars]  for  each retail place of business [to be regis-

    17  tered] and [twenty-five dollars for] each vending machine to  be  regis-
    18  tered.  The amount of the application fee is determined by subparagraphs
    19  (ii)  and  (iii)  of  paragraph (a) of this subdivision, except that any
    20  retail place of business or vending machine with zero dollars  in  gross
    21  sales  during the previous calendar year is subject to the lowest appli-
    22  cation fee required by such subparagraphs. The  department,  within  ten
    23  days  after  receipt of an application for registration under this para-
    24  graph and payment of the proper fee for  application  for  registration,
    25  [shall]  will  issue  a  registration  certificate, as prescribed by the
    26  commissioner, for each retail place of business or cigarette or  tobacco
    27  products vending machine registered.

    28    §  125-a. Subdivision 3 of section 480-a of the tax law, as amended by
    29  chapter 262 of the laws of 2000, is amended to read as follows:
    30    3. In addition to any other penalty imposed by this chapter:  (a)  Any
    31  retail dealer who violates the provisions of this section [shall], after
    32  due  notice and an opportunity for a hearing, for a first violation [be]
    33  is liable for a civil fine not less than five [hundred] thousand dollars
    34  but not to exceed [two] twenty-five thousand dollars and for a second or
    35  subsequent violation within three years following  a  prior  finding  of
    36  violation  [be] is liable for a civil fine not less than [one] ten thou-
    37  sand dollars but not to exceed [three thousand five hundred] thirty-five

    38  thousand dollars; or
    39    (b) Any person who owns or, if the owner is not the operator, then any
    40  person who operates one or more vending  machines  through  which  ciga-
    41  rettes  or  tobacco products are sold in this state and who violates the
    42  provisions of this section [shall], after due notice and an  opportunity
    43  for a hearing, for a first violation [be] is liable for a civil fine not
    44  less  than  [seventy-five] seven hundred fifty dollars but not to exceed
    45  two [hundred] thousand dollars and for a second or subsequent  violation
    46  within  three years following a prior finding of violation be liable for
    47  a civil fine not less than two [hundred] thousand  dollars  but  not  to
    48  exceed six [hundred] thousand dollars.

    49    §  125-b.  Section 482 of the tax law, as amended by section 3 of part
    50  RR-1 of chapter 57 of the laws of 2008, is amended to read as follows:
    51    § 482. Deposit and disposition of revenue. (a) All taxes, fees, inter-
    52  est and penalties collected or received by the commissioner  under  this
    53  article  and  article  twenty-A  of  this chapter shall be deposited and
    54  disposed of pursuant to the provisions of section one  hundred  seventy-
    55  one-a  of  this  chapter.  (b)  From  the  taxes, interest and penalties
    56  collected or received by the commissioner under  sections  four  hundred

        S. 58--B                           100                         A. 158--B
 
     1  seventy-one and four hundred seventy-one-a of this article, effective on
     2  and   after   March  first,  two  thousand,  forty-nine  and  fifty-five

     3  hundredths, and effective on and after February first, two thousand two,
     4  forty-three  and  seventy  hundredths;  and  effective  on and after May
     5  first, two thousand  two,  sixty-four  and  fifty-five  hundredths;  and
     6  effective  on  and  after April first, two thousand three, sixty-one and
     7  twenty-two hundredths percent; and effective on and  after  June  third,
     8  two thousand eight, seventy and sixty-three hundredths percent collected
     9  or received under [such] those sections [shall] must be deposited to the
    10  credit  of  the  tobacco  control  and  insurance initiatives pool to be
    11  established and distributed by the commissioner of health in  accordance
    12  with section twenty-eight hundred seven-v of the public health law.  (c)
    13  From  the  fees collected or received by the commissioner under subdivi-

    14  sion two of section four hundred eighty-a of this article, effective  on
    15  or  after  September  first,  two thousand nine, any monies collected or
    16  received under that section in excess of three million dollars  must  be
    17  deposited to the credit of the tobacco control and insurance initiatives
    18  pool  to be distributed by the commissioner of health in accordance with
    19  section twenty-eight hundred seven-v of the public health law.
    20    § 125-c. Subdivisions (a) and  (b)  of  section  92-dd  of  the  state
    21  finance  law, as added by section 89 of part B of chapter 58 of the laws
    22  of 2005, are amended to read as follows:
    23    (a) On and after April first,  two  thousand  five,  such  fund  shall
    24  consist  of  the revenues heretofore and hereafter collected or required

    25  to be deposited pursuant to paragraph (a)  of  subdivision  eighteen  of
    26  section  twenty-eight hundred seven-c, and sections twenty-eight hundred
    27  seven-j, twenty-eight hundred seven-s and twenty-eight  hundred  seven-t
    28  of  the  public  health  law,  subdivisions  (b) and (c) of section four
    29  hundred eighty-two of the tax law and required to  be  credited  to  the
    30  tobacco  control  and  insurance  initiatives  pool, subparagraph (O) of
    31  paragraph four of subsection (j) of section four thousand three  hundred
    32  one  of the insurance law, section twenty-seven of part A of chapter one
    33  of the laws of two thousand two and all other moneys credited or  trans-
    34  ferred thereto from any other fund or source pursuant to law.
    35    (b)  The  pool  administrator  under contract with the commissioner of
    36  health pursuant to section twenty-eight hundred seven-y  of  the  public

    37  health  law shall continue to collect moneys required to be collected or
    38  deposited pursuant to paragraph (a) of subdivision eighteen  of  section
    39  twenty-eight hundred seven-c, and sections twenty-eight hundred seven-j,
    40  twenty-eight  hundred  seven-s  and  twenty-eight hundred seven-t of the
    41  public health law, and shall deposit such moneys in the  HCRA  resources
    42  fund.  The  comptroller shall deposit moneys collected or required to be
    43  deposited pursuant to subdivisions (b) and (c) of section  four  hundred
    44  eighty-two  of  the  tax  law and required to be credited to the tobacco
    45  control and insurance initiatives pool, subparagraph  (O)  of  paragraph
    46  four of subsection (j) of section four thousand three hundred one of the
    47  insurance law, section twenty-seven of part A of chapter one of the laws
    48  of two thousand two and all other moneys credited or transferred thereto

    49  from  any  other  fund  or  source pursuant to law in the HCRA resources
    50  fund.
    51    § 125-d. The commissioner of health shall establish a home health care
    52  reimbursement workgroup for the purposes of  studying  the  home  health
    53  care  reimbursement  system. The commissioner of health is authorized to
    54  appoint members to the workgroup, including representatives of certified
    55  home health agencies, licensed home care services  agencies,  long  term
    56  home  health care providers, hospice providers, consumers of home health

        S. 58--B                           101                         A. 158--B
 
     1  care services, local governments, labor  organizations  and  other  home
     2  health care stakeholders.
     3    Such study shall include but not be limited to an analysis of:
     4    (a)  the  impact  of episodic payments on high-utilization and outlier

     5  thresholds, special needs populations, and dual eligible patients;
     6    (b) the relationship between, or compatibility of, Medicare and  Medi-
     7  caid episodic payments;
     8    (c) billing procedures related to cash flow of episodic payments;
     9    (d) wage index factor adjustments; and
    10    (e)  subcontracting  between certified home health agencies, long term
    11  home health care agencies, and AIDS home  care  programs  with  licensed
    12  home care services agencies.
    13    The  commissioner of health shall report to the temporary president of
    14  the senate, the speaker of  the  assembly,  the  chairs  of  the  senate
    15  finance  committee  and  assembly  committee  on ways and means, and the
    16  chairs of the senate and assembly health committees. Such  report  shall
    17  be submitted no later than December first, two thousand nine.
    18    §  125-e.  Section  364-j-2  of the social services law, as amended by

    19  section 44-a of part C of chapter 58 of the laws of 2008, is amended  to
    20  read as follows:
    21    §  364-j-2.  Transitional  supplemental  payments.  1. As used in this
    22  section, "covered provider" shall mean a voluntary not-for-profit health
    23  care provider that is any of the following:
    24    (a) a freestanding diagnostic  and  treatment  center  licensed  under
    25  article  twenty-eight  of  the  public  health  law that qualifies for a
    26  distribution pursuant to section twenty-eight hundred  seven-p  of  such
    27  article,  or  section  seven of chapter four hundred thirty-three of the
    28  laws of nineteen hundred ninety-seven, or receives funding under section
    29  three hundred thirty-three of the federal public health services act for
    30  health care for the homeless; or
    31    (b) a freestanding diagnostic and treatment center which  operates  an

    32  approved  program under the prenatal care assistance program established
    33  pursuant to article twenty-five of the public health law; or
    34    (c) a facility licensed  under  article  twenty-eight  of  the  public
    35  health  law that is sponsored by a university or dental school which has
    36  been granted an operating certificate pursuant to  article  twenty-eight
    37  of the public health law to provide dental services; or
    38    (d) a freestanding family planning clinic licensed under article twen-
    39  ty-eight of the public health law.
    40    2.  (a)  Notwithstanding  paragraphs (b) and (h) of subdivision two of
    41  section twenty-eight hundred seven of the public health law, the commis-
    42  sioner of health shall make supplemental payments of nine million  eight
    43  hundred  twenty-four thousand dollars ($9,824,000), to covered providers
    44  described in subdivision one of this section who are qualified providers

    45  as described in paragraph (a) of  subdivision  three  of  this  section,
    46  based  on  adjustments  to fee-for-service rates for the period February
    47  first through March thirty-first, two  thousand  two  and  nine  million
    48  eight  hundred  twenty-four thousand dollars ($9,824,000) for the period
    49  October first through December thirty-first, two thousand two  and  four
    50  million nine hundred twelve thousand dollars ($4,912,000) for the period
    51  October  first  through December thirty-first, two thousand three and an
    52  additional amount of four million nine hundred twelve  thousand  dollars
    53  ($4,912,000) for the period October first through December thirty-first,
    54  two  thousand  three and nine million eight hundred twenty-four thousand
    55  dollars ($9,824,000) for the period April first through June  thirtieth,
    56  two  thousand  five, and nine million eight hundred twenty-four thousand

        S. 58--B                           102                         A. 158--B
 
     1  dollars ($9,824,000) for the period October first through December thir-
     2  ty-first, two thousand six, and an additional nine million eight hundred
     3  twenty-four thousand dollars ($9,824,000) for the period  October  first
     4  through  December thirty-first, two thousand six, and nine million eight
     5  hundred twenty-four thousand dollars ($9,824,000) for the period October
     6  first through December thirty-first,  two  thousand  seven,  as  medical
     7  assistance  payments  for  services  provided pursuant to this title for
     8  persons eligible for federal financial participation under title XIX  of
     9  the  federal  social security act to reflect additional costs associated
    10  with the transition to a managed  care  environment,  and  nine  million

    11  eight  hundred  twenty-four thousand dollars ($9,824,000) for the period
    12  October first through December thirty-first,  two  thousand  eight,  and
    13  seven  million  three hundred eighty-eight thousand dollars ($7,388,000)
    14  for the period October first through December thirty-first, two thousand
    15  nine, as medical assistance payments for services provided  pursuant  to
    16  this  title  for  persons  eligible  for federal financial participation
    17  under title XIX of the federal social security act to reflect additional
    18  costs associated with the operation of electronic health record  systems
    19  that  meet  such  standards as may be established by the commissioner of
    20  health. There shall be no local share in these payments. The director of
    21  the budget shall allocate the non-federal share of such payments from an

    22  appropriation for the miscellaneous special revenue fund - 339 community
    23  service provider assistance program account for the two  thousand  one--
    24  two thousand two state fiscal year for adjustments for the period Febru-
    25  ary  first through March thirty-first, two thousand two. Adjustments for
    26  the period October first, two  thousand  two  through  December  thirty-
    27  first, two thousand two shall be within amounts appropriated for the two
    28  thousand  two--two  thousand three state fiscal year and adjustments for
    29  the period October first, two thousand three  through  December  thirty-
    30  first,  two  thousand three shall be within amounts appropriated for the
    31  two thousand three--two thousand four state fiscal year and  adjustments
    32  for  the non-federal share of the additional amount of four million nine
    33  hundred twelve thousand dollars ($4,912,000) for such  period  shall  be

    34  allocated  by the director of the budget from an appropriation for main-
    35  tenance undistributed general fund community projects fund - 007 account
    36  for the two thousand three--two thousand four  state  fiscal  year.  The
    37  director  of  the budget shall allocate the non-federal share of adjust-
    38  ments for the period April first, two thousand five through June thirti-
    39  eth, two thousand five from an appropriation for the maintenance  undis-
    40  tributed general fund community projects fund - 007 - cc account for the
    41  two  thousand four--two thousand five state fiscal year. The director of
    42  the budget shall allocate the non-federal share of adjustments  for  the
    43  period  October  first,  two thousand six through December thirty-first,
    44  two thousand six from an appropriation for  the  maintenance  undistrib-
    45  uted, general fund, community projects fund - 007-cc account for the two

    46  thousand  five--two  thousand six state fiscal year. The director of the
    47  budget shall allocate the non-federal share of  the  additional  adjust-
    48  ments  for  the  period October first, two thousand six through December
    49  thirty-first, two thousand six from such funds as may be made  available
    50  from  an  appropriation for the maintenance undistributed, general fund,
    51  community projects fund - 007-cc account for the two  thousand  six--two
    52  thousand seven state fiscal year. The director of the budget shall allo-
    53  cate  the  non-federal  share  of the adjustments for the period October
    54  first, two thousand seven through December  thirty-first,  two  thousand
    55  seven  from an appropriation for the medical assistance program, general
    56  fund, local assistance account - 001 for  the  two  thousand  seven--two


        S. 58--B                           103                         A. 158--B
 
     1  thousand eight state fiscal year. The director of the budget shall allo-
     2  cate  the  non-federal  share  of the adjustments for the period October
     3  first, two thousand eight through December  thirty-first,  two  thousand
     4  eight  from an appropriation for the medical assistance program, general
     5  fund, local assistance account - 001 for  the  two  thousand  eight--two
     6  thousand nine state fiscal year.  The director of the budget shall allo-
     7  cate  the  non-federal  share  of the adjustments for the period October
     8  first, two thousand nine through  December  thirty-first,  two  thousand
     9  nine  from  an appropriation for the medical assistance program, general
    10  fund, local assistance account - 001  for  the  two  thousand  nine--two

    11  thousand  ten  state  fiscal  year.  Such adjustments to fee for service
    12  rates shall not be subject to subsequent adjustment  or  reconciliation.
    13  Alternatively, such payments may be made as aggregate payments to eligi-
    14  ble providers.
    15    (a-1) Notwithstanding the provisions of paragraph (a) of this subdivi-
    16  sion,  for  facilities licensed under article twenty-eight of the public
    17  health law that are sponsored by a university or dental school which has
    18  been granted an operating certificate pursuant to  article  twenty-eight
    19  of the public health law and which provides dental services as its prin-
    20  cipal  mission,  two  hundred twenty-four thousand dollars ($224,000) in
    21  the aggregate for use pursuant to this section shall  be  allocated  for
    22  distribution to such facilities pursuant to the methodology described in

    23  paragraph  (b)  of subdivision two and subparagraph (i) of paragraph (b)
    24  of subdivision four of section two thousand eight hundred seven-p of the
    25  public health law for services provided for the period  February  first,
    26  two thousand two through March thirty-first, two thousand two to persons
    27  eligible  for  federal  financial  participation  under title XIX of the
    28  federal social security act, provided, however,  that  the  amount  paid
    29  pursuant to this paragraph for each such facility shall equal the facil-
    30  ity's proportional share of the total nominal payment amounts calculated
    31  under  this section of all such facilities multiplied by the total funds
    32  allocated for such payments.  There shall be no  local  share  in  these
    33  payments.  The  director  of  the  budget shall allocate the non-federal
    34  share of such payments  from  an  appropriation  for  the  miscellaneous

    35  special revenue fund - 339 community service provider assistance program
    36  account  for  the  two thousand one--two thousand two state fiscal year.
    37  Such adjustments to fee for service rates shall not be subject to subse-
    38  quent adjustment or reconciliation. Alternatively, such payments may  be
    39  made as aggregate payments to eligible providers.
    40    (a-2)  (i)  Notwithstanding  the  provisions  of paragraph (a) of this
    41  subdivision, for facilities licensed under article twenty-eight  of  the
    42  public  health  law  that are sponsored by a university or dental school
    43  which has been granted an  operating  certificate  pursuant  to  article
    44  twenty-eight of the public health law and which provides dental services
    45  as  its  principal  mission,  two  hundred  twenty-four thousand dollars
    46  ($224,000) in the aggregate of the amount appropriated for the two thou-

    47  sand two--two thousand three state fiscal year for use pursuant to  this
    48  section shall be allocated for the period October first through December
    49  thirty-first,  two  thousand two and one hundred twelve thousand dollars
    50  ($112,000) in the aggregate of the amount appropriated for the two thou-
    51  sand three--two thousand four  state  fiscal  year,  and  an  additional
    52  amount  of  one hundred twelve thousand dollars ($112,000) in the aggre-
    53  gate for use pursuant to this section shall be allocated for the  period
    54  October  first through December thirty-first, two thousand three and two
    55  hundred twenty-four thousand dollars ($224,000) in the aggregate of  the
    56  amount  appropriated  for the two thousand four--two thousand five state

        S. 58--B                           104                         A. 158--B
 

     1  fiscal year shall be allocated for the period April first, two  thousand
     2  five  through June thirtieth, two thousand five, and two hundred twenty-
     3  four thousand dollars ($224,000) in the aggregate of the  amount  appro-
     4  priated  for  the  two thousand five--two thousand six state fiscal year
     5  shall be allocated for  the  period  October  first,  two  thousand  six
     6  through  December  thirty-first, two thousand six, and an additional two
     7  hundred twenty-four thousand dollars ($224,000) in the aggregate of  the
     8  amount  appropriated  for the two thousand six--two thousand seven state
     9  fiscal year shall be allocated for the period October first,  two  thou-
    10  sand  six  through  December  thirty-first,  two  thousand  six, and two
    11  hundred twenty-four thousand dollars ($224,000) in the aggregate of  the
    12  amount appropriated for the two thousand seven--two thousand eight state

    13  fiscal  year  shall be allocated for the period October first, two thou-
    14  sand seven through December thirty-first, two thousand  seven,  and  two
    15  hundred  twenty-four thousand dollars ($224,000) in the aggregate of the
    16  amount appropriated for the two thousand eight--two thousand nine  state
    17  fiscal  year  shall be allocated for the period October first, two thou-
    18  sand eight through December thirty-first, two  thousand  eight  and  two
    19  hundred  twenty-four thousand dollars ($224,000) in the aggregate of the
    20  amount appropriated for the two thousand nine--two  thousand  ten  state
    21  fiscal  year  shall be allocated for the period October first, two thou-
    22  sand nine through December thirty-first, two thousand nine for  distrib-
    23  ution  to  such  facilities  pursuant to subparagraphs (ii) and (iii) of

    24  this paragraph. Adjustments for the non-federal share of the  additional
    25  amount  of one hundred twelve thousand dollars ($112,000) for the period
    26  October first, two thousand three  through  December  thirty-first,  two
    27  thousand  three shall be allocated by the director of the budget from an
    28  appropriation  for  maintenance  undistributed  general  fund  community
    29  projects  fund  -  007  account for the two thousand three--two thousand
    30  four state fiscal year.  The non-federal share of  adjustments  for  the
    31  period  April first, two thousand five through June thirtieth, two thou-
    32  sand five shall be allocated by the  director  of  the  budget  from  an
    33  appropriation  for  the maintenance undistributed general fund community
    34  projects fund - 007 account for the two thousand four--two thousand five
    35  state fiscal year.  The non-federal share of adjustments for the  period

    36  October first, two thousand six through December thirty-first, two thou-
    37  sand six shall be allocated by the director of the budget from an appro-
    38  priation  for  the  maintenance  undistributed,  general fund, community
    39  projects fund - 007-cc account for the two thousand  five--two  thousand
    40  six  state  fiscal year. The non-federal share of the additional adjust-
    41  ments for the period October first, two thousand  six  through  December
    42  thirty-first,  two  thousand  six  shall, subject to the availability of
    43  funds, be allocated by the director  of  the  budget  from  the  medical
    44  assistance  local assistance appropriation for the two thousand six--two
    45  thousand seven state fiscal year. The non-federal share of  the  adjust-
    46  ments  for the period October first, two thousand seven through December
    47  thirty-first, two thousand seven shall be allocated by the  director  of

    48  the  budget  from  an  appropriation for the medical assistance program,
    49  general fund, local assistance  account  -  001  for  the  two  thousand
    50  seven--two  thousand  eight  state fiscal year. The non-federal share of
    51  the adjustments for the period October first, two thousand eight through
    52  December thirty-first, two thousand eight  shall  be  allocated  by  the
    53  director  of the budget from an appropriation for the medical assistance
    54  program, general fund, local assistance account - 001 for the two  thou-
    55  sand  eight--two thousand nine state fiscal year.  The non-federal share
    56  of the adjustments for the  period  October  first,  two  thousand  nine

        S. 58--B                           105                         A. 158--B
 
     1  through  December  thirty-first, two thousand nine shall be allocated by

     2  the director of the budget from an appropriation for the medical assist-
     3  ance program, general fund, local assistance account - 001 for  the  two
     4  thousand nine--two thousand ten state fiscal year.
     5    (ii)  Forty  percent shall be allocated for equal distribution to such
     6  facilities, reduced by the amount, if any, that a  distribution  exceeds
     7  forty  percent  of  a  facility's  uncompensated care need as defined in
     8  paragraph (b) of subdivision two of section two thousand  eight  hundred
     9  seven-p  of  the public health law. Any funds allocated but not distrib-
    10  uted in accordance with  this  subparagraph  shall  be  added  to  those
    11  amounts  distributed in accordance with subparagraph (iii) of this para-
    12  graph.
    13    (iii) Sixty percent, plus any funds allocated and not  distributed  in

    14  accordance  with subparagraph (ii) of this paragraph, shall be allocated
    15  for  distribution  to  such  facilities  pursuant  to  the   methodology
    16  described  in  paragraph  (b) of subdivision two and subparagraph (i) of
    17  paragraph (b) of subdivision four of section two thousand eight  hundred
    18  seven-p  of  the  public  health law, provided, however, that the amount
    19  paid pursuant to this allocation for each such facility shall equal  the
    20  facility's  proportional  share  of  the  total  nominal payment amounts
    21  calculated under this section of all such facilities multiplied  by  the
    22  total funds allocated for such payments.
    23    (iv) There shall be no local share in these payments.
    24    (b) Notwithstanding the provisions of subdivision one of section three
    25  hundred  sixty-eight-a of this title, there shall be paid to each social

    26  services district the full amount expended on behalf of  the  department
    27  of health for medical assistance furnished pursuant to the provisions of
    28  this section, after first deducting therefrom any federal funds properly
    29  received or to be received on account thereof.
    30    3.  (a)  For  periods  prior  to  January first, two thousand eight, a
    31  covered provider described in subdivision one of this section  shall  be
    32  qualified  to receive a supplemental payment only if its number of medi-
    33  caid visits for patient care services in  the  base  year  described  in
    34  subparagraph (ii) of paragraph (b) of this subdivision equals or exceeds
    35  twenty-five  percent  of  its  total  number  of visits for patient care
    36  services and its number of medicaid visits for patient care services for
    37  medicaid managed care enrollees equals or exceeds three percent  of  its

    38  total number of medicaid visits during the base year. For periods on and
    39  after January first, two thousand eight, a covered provider described in
    40  subdivision  one of this section shall be qualified to receive a supple-
    41  mental payment only if it has in place during such period an operational
    42  electronic health record system that meets  such  standards  as  may  be
    43  established  by  the  commissioner  of health and its number of medicaid
    44  visits for patient care services in the base year described in  subpara-
    45  graph  (ii) of paragraph (b) of this subdivision equals or exceeds twen-
    46  ty-five percent of its total number of visits for patient care  services
    47  during  the base year or its number of medicaid visits combined with its
    48  number of uninsured visits for patient care services in  the  base  year
    49  described  in  subparagraph  (ii)  of  paragraph (b) of this subdivision

    50  equals or exceeds thirty percent of  its  total  number  of  visits  for
    51  patient care services during the base year.
    52    (b)  (i)  For periods prior to January first, two thousand eight, each
    53  qualified provider described in paragraph (a) of this subdivision  shall
    54  receive  a  supplemental  payment  equal to such provider's proportional
    55  share of the total funds allocated pursuant to this section, based  upon
    56  the  ratio  of its visits from medical assistance recipients enrolled in

        S. 58--B                           106                         A. 158--B
 
     1  managed care during the base year to the total number of visits  to  all
     2  such  qualified  providers  by medical assistance recipients enrolled in
     3  managed care during the base year. For  periods  on  and  after  January
     4  first,  two  thousand  eight, each qualified provider described in para-

     5  graph (a) of this subdivision shall receive a supplemental payment equal
     6  to such provider's proportional  share  of  the  total  funds  allocated
     7  pursuant  to  this  section,  based  upon  the  ratio of its visits from
     8  medical assistance recipients during the base year to the  total  number
     9  of  visits  from  medical  assistance  recipients  to all such qualified
    10  providers during the base year.
    11    (ii) For periods prior to  January  first,  two  thousand  eight,  for
    12  purposes of the calculation described in this subdivision, the base year
    13  will  be two thousand, and the commissioner of health shall utilize data
    14  as reported on the  2000  AHCF-1  cost  report  initially  submitted  by
    15  covered  providers to the department of health on or about August seven-
    16  teenth, two thousand one. For periods on and after  January  first,  two

    17  thousand eight, for purposes of the calculation described in this subdi-
    18  vision, the base year will be two years prior to the grant year, and the
    19  commissioner  of  health  shall  utilize data as reported on AHCF-1 cost
    20  report submitted by covered providers to the department  of  health  for
    21  such base year.
    22    4.  Payments made pursuant to this section shall constitute additional
    23  reimbursement to qualified providers and shall not  be  used  to  reduce
    24  levels  of other funding provided to qualified providers by governmental
    25  agencies.
    26    5. (a) The  commissioner  of  health  shall  make  medical  assistance
    27  payments  to  qualified  providers from funds made available pursuant to
    28  the provisions of this section contingent upon the receipt of all feder-
    29  al approvals necessary and subject to the availability of federal finan-

    30  cial participation under title XIX of the federal  social  security  act
    31  for  the  transitional  supplemental payments. In the event such federal
    32  approval is not received prior to March thirty-first, two thousand  two,
    33  for  adjustments for the period February first, two thousand two through
    34  March thirty-first, two thousand two and prior  to  October  first,  two
    35  thousand  two for adjustments for the period October first, two thousand
    36  two through December thirty-first, two thousand two and prior to October
    37  first, two thousand three for adjustments for the period October  first,
    38  two  thousand  three  through December thirty-first, two thousand three,
    39  and prior to October first, two thousand five for  adjustments  for  the
    40  period  April first, two thousand five through June thirtieth, two thou-
    41  sand five, and prior to October first, two thousand six for  adjustments

    42  for  the period October first, two thousand six through December thirty-
    43  first, two thousand six, and prior to October first, two thousand  seven
    44  for adjustments for the period October first, two thousand seven through
    45  December  thirty-first,  two thousand seven, and prior to October first,
    46  two thousand eight for adjustments for the  period  October  first,  two
    47  thousand  eight  through  December thirty-first, two thousand eight, and
    48  prior to October first, two thousand nine for adjustments for the period
    49  October first, two thousand  nine  through  December  thirty-first,  two
    50  thousand  nine, the commissioner of health shall make medical assistance
    51  payments to qualified providers consisting of  the  state  share  amount
    52  available  for  purposes  of  this section and apportioned in accordance

    53  with subdivisions two and three of  this  section.  In  the  event  such
    54  federal  approval  is  denied, such state share amount payments shall be
    55  deemed to be grants to  such  qualified  providers  and  such  qualified

        S. 58--B                           107                         A. 158--B
 
     1  providers  shall  not be eligible to receive any other payments pursuant
     2  to this section.
     3    (b)  The  commissioner  of  health  shall take all steps necessary and
     4  shall use best efforts to secure federal financial  participation  under
     5  title  XIX of the social security act, for the purposes of this section,
     6  including the prompt submission of appropriate amendments to  the  title
     7  XIX state plan.
     8    §  126.  Notwithstanding  any  inconsistent  provision of law, rule or
     9  regulation, for purposes of implementing the provisions  of  the  public

    10  health law and the social services law, references to titles XIX and XXI
    11  of  the  federal  social  security  act in the public health law and the
    12  social services law shall be deemed to include  and  also  to  mean  any
    13  successor titles thereto under the federal social security act.
    14    §  127.  Notwithstanding  any  inconsistent  provision of law, rule or
    15  regulation, the effectiveness of subdivisions  4,  7,  7-a  and  7-b  of
    16  section 2807 of the public health law and section 18 of chapter 2 of the
    17  laws  of  1988,  as  they  relate to time frames for notice, approval or
    18  certification of rates of payment, are hereby suspended and  shall,  for
    19  purposes  of  implementing the provisions of this act, be deemed to have
    20  been without any force or effect from and after October 1, 2008 for such
    21  rates effective for the period January  1,  2008  through  December  31,
    22  2008.

    23    § 128. Severability clause. If any clause, sentence, paragraph, subdi-
    24  vision,  section  or  part of this act shall be adjudged by any court of
    25  competent jurisdiction to be invalid, such judgment  shall  not  affect,
    26  impair or invalidate the remainder thereof, but shall be confined in its
    27  operation  to  the  clause, sentence, paragraph, subdivision, section or
    28  part thereof directly involved in the controversy in which such judgment
    29  shall have been rendered. It is hereby declared to be the intent of  the
    30  legislature  that  this act would have been enacted even if such invalid
    31  provisions had not been included herein.
    32    § 129. This act shall take effect immediately and shall be  deemed  to
    33  have  been in full force and effect on and after April 1, 2009; provided
    34  that:
    35    (a) sections fifteen, sixteen and sixteen-a shall be deemed to  be  in

    36  effect on and after March 1, 2009;
    37    (b)  sections twenty-five, twenty-six-a, sixty-two and one hundred ten
    38  through one hundred twelve of this act shall take effect July 1, 2009;
    39    (c) sections thirty-eight,  thirty-nine,  forty-six,  forty-seven  and
    40  forty-eight of this act shall take effect September 1, 2009;
    41    (d)  sections  fifty-eight,    fifty-nine, fifty-nine-a, fifty-nine-b,
    42  fifty-nine-c and fifty-nine-d of this act shall take effect  October  1,
    43  2009;
    44    (e)   sections  sixty,  sixty-one,  sixty-three  through  sixty-seven,
    45  sixty-seven-a and sixty-seven-b of this act shall take effect  April  1,
    46  2010;
    47    (f)  section  twenty-five  of  this  act  shall  expire  and be deemed
    48  repealed April 1, 2013;
    49    (g) section twenty-six-a of  this  act  shall  expire  and  be  deemed
    50  repealed April 1, 2014;

    51    (h-1) section one hundred twenty-five of this act applies only to fees
    52  related  to applications for registration for the 2010 calendar year and
    53  thereafter;
    54    (h-2) sections one hundred twenty-five-a, one  hundred  twenty-five-b,
    55  and one hundred twenty-five-c of this act shall take effect September 1,
    56  2009;

        S. 58--B                           108                         A. 158--B
 
     1    (i)  any rules or regulations necessary to implement the provisions of
     2  this act may be promulgated and any procedures, forms,  or  instructions
     3  necessary  for such implementation may be adopted and issued on or after
     4  the date this act shall have become a law;
     5    (j)  this  act shall not be construed to alter, change, affect, impair
     6  or defeat any rights, obligations, duties or interests accrued, incurred
     7  or conferred prior to the effective date of this act;

     8    (k) the commissioner of health and the superintendent of insurance and
     9  any appropriate council may take any steps necessary to  implement  this
    10  act prior to its effective date;
    11    (l)  notwithstanding  any inconsistent provision of the state adminis-
    12  trative procedure act or any other provision of law, rule or regulation,
    13  the commissioner of health and the superintendent of insurance  and  any
    14  appropriate  council is authorized to adopt or amend or promulgate on an
    15  emergency basis any regulation he or  she  or  such  council  determines
    16  necessary to implement any provision of this act on its effective date;
    17    (m)  the provisions of this act shall become effective notwithstanding
    18  the failure of the commissioner  of  health  or  the  superintendent  of
    19  insurance  or  any  council  to adopt or amend or promulgate regulations
    20  implementing this act;

    21    (n) the amendments to section 364-f of the social services law made by
    22  section thirty of this act shall  not  affect  the  expiration  of  such
    23  section and shall be deemed to expire therewith;
    24    (o)  the  amendments  to  paragraph  (a-1) of subdivision 4 of section
    25  365-a of the social services law made by section forty-six of  this  act
    26  shall not affect the expiration of such paragraph and shall be deemed to
    27  expire therewith;
    28    (p)  the amendments to subparagraph (iii) of paragraph (c) of subdivi-
    29  sion 6 of section 367-a of the  social  services  law  made  by  section
    30  forty-seven  of  this  act shall not affect the expiration of such para-
    31  graph and shall be deemed to expire therewith;
    32    (q) the amendments to subdivision 9 of section  367-a  of  the  social
    33  services  law  made  by  sections forty-eight and forty-nine of this act

    34  shall not affect the expiration of such subdivision and shall be  deemed
    35  to expire therewith;
    36    (q-1)  the  amendments  made to subdivisions 5 and 7 of section 270 of
    37  the public health law by section  thirty-five  of  this  act  shall  not
    38  affect  the  repeal of such section and shall be deemed to repeal there-
    39  with;
    40    (q-2) the amendments made to subdivision 11  of  section  272  of  the
    41  public health law by section thirty-six of this act shall not affect the
    42  repeal of such section and shall be deemed to repeal therewith;
    43    (q-3)  the  amendments  made  to  subdivision  1 of section 273 of the
    44  public health law by section thirty-seven of this act shall  not  affect
    45  the repeal of such section and shall be deemed to repeal therewith;
    46    (q-4)  the  amendments  made  to  paragraph  (a-2) of subdivision 4 of

    47  section 365-a of the social services law by section forty-six-a of  this
    48  act  shall  not affect the repeal of such section and shall be deemed to
    49  repeal therewith;
    50    (r) section sixty-eight of this act shall take effect on the same date
    51  and in the same manner as the amendments made to subparagraph  (iii)  of
    52  paragraph  (a) of subdivision 2 of section 369-ee of the social services
    53  law by section 28 of part E of chapter 63 of the  laws  of  2005,  takes
    54  effect;
    55    (s)  the amendments to section 2807-s of the public health law made by
    56  sections one hundred and one hundred fourteen  of  this  act  shall  not

        S. 58--B                           109                         A. 158--B
 
     1  affect  the  expiration  of  such  section and shall be deemed to expire
     2  therewith;
     3    (t)  the  amendments  to  paragraph  (c) of subdivision 5-a of section

     4  2807-k of the public health law made by section one hundred two of  this
     5  act  shall  not  affect  the expiration of such subdivision and shall be
     6  deemed to expire therewith; and
     7    (u) section twenty-seven shall be deemed effective on and after  Janu-
     8  ary  1,  2010,  provided, however, that with regard to smoking cessation
     9  counseling services provided to pregnant women pursuant to paragraph (s)
    10  of subdivision 2 of section  365-a  of  the  social  services  law  such
    11  section  twenty-seven  shall  be  deemed effective on and after March 1,
    12  2009, and with regard to screening,  brief  intervention,  referral  and
    13  treatment provided pursuant to paragraph (u) of subdivision 2 of section
    14  365-a  of  the social services law, such sections shall be deemed effec-
    15  tive on and after April 1, 2009.
 
    16                                   PART D
 

    17    Section 1. The legislature finds that New York  leads  the  nation  in
    18  Medicaid  spending on long-term care services and that Medicaid spending
    19  on home and personal care services are among the fastest  growing  areas
    20  of  Medicaid  expenditure  despite the fact that the number of benefici-
    21  aries receiving these services has not increased. Current processes  for
    22  assessing the service needs of elderly and disabled beneficiaries do not
    23  consistently  result in appropriate placement and services and show wide
    24  variation across the state. Current reimbursement levels  and  methodol-
    25  ogies  do  not  ensure quality or efficiency, with providers in the same
    26  community serving comparable populations  receiving  markedly  different
    27  Medicaid  payments.  It is the intent of this legislation to ensure that
    28  elderly and disabled beneficiaries have access to  the  right  level  of

    29  care in the most appropriate setting; to implement transparent and accu-
    30  rate  reimbursement  systems  for nursing and home care services; and to
    31  reward quality and efficiency as well as to make targeted investments to
    32  improve long-term care services.
    33    § 1-a. Short title. This act shall be known and may be cited  as  "The
    34  Long-Term Care Reform Act".
    35    §  2. Notwithstanding paragraph (b) of subdivision 2-b of section 2808
    36  of the public health law or any other contrary provision  of  law,  with
    37  regard  to  adjustments  to  medicaid  rates  of  payment  for inpatient
    38  services provided by residential health care facilities for  the  period
    39  April  1, 2009 through March 31, 2010, made pursuant to paragraph (b) of
    40  subdivision 2-b of section 2808 of the public health  law,  the  commis-
    41  sioner  of  health and the director of the budget shall, upon a determi-

    42  nation that such adjustments, including the application  of  adjustments
    43  authorized  by  the  provisions  of  paragraph (g) of subdivision 2-b of
    44  section 2808 of the public health law,  shall  result  in  an  aggregate
    45  increase  in  total Medicaid rates of payment for such services for such
    46  period that is less than or more than two hundred  ten  million  dollars
    47  ($210,000,000),  make such proportional adjustments to such rates as are
    48  necessary to result in an increase of such aggregate expenditures of two
    49  hundred ten million dollars ($210,000,000), and provided further, howev-
    50  er, that the operating component of such rates for the period  April  1,
    51  2009 through March 31, 2010 shall not be subject to case mix adjustments
    52  pursuant  to  subparagraph  (ii)  of paragraph (b) of subdivision 2-b of
    53  section 2808 of the public health law, as otherwise  scheduled  pursuant

    54  to such subparagraph for January of 2010, and provided further, however,

        S. 58--B                           110                         A. 158--B
 
     1  that  notwithstanding  subdivision  2-c  of  section  2808 of the public
     2  health law or any other  contrary  provision  of  law,  with  regard  to
     3  adjustments  to  inpatient rates of payment made pursuant to subdivision
     4  2-c  of  section  2808  of  the public health law for inpatient services
     5  provided by residential health care facilities for the period  April  1,
     6  2010 through March 31, 2011, the commissioner of health and the director
     7  of  the budget shall, upon a determination by such commissioner and such
     8  director that such rate adjustments shall, prior to the  application  of
     9  any applicable adjustment for inflation, result in an aggregate increase

    10  in  total Medicaid rates of payment for such services, make such propor-
    11  tional adjustments to such rates as are necessary to reduce  such  total
    12  aggregate  rate  adjustments  such  that the aggregate total reflects no
    13  such increase. Adjustments made pursuant to this section  shall  not  be
    14  subject to subsequent correction or reconciliation.
    15    §  3.  Subparagraph (i) of paragraph (b) of subdivision 2-b of section
    16  2808 of the public health law, as amended by section  3  of  part  I  of
    17  chapter 2 of the laws of 2009, is amended to read as follows:
    18    (i)  Subject  to the provisions of subparagraphs (ii) through (xiv) of
    19  this paragraph, for periods on and after April first, two thousand  nine
    20  through  March  thirty-first, two thousand ten the operating cost compo-
    21  nent of rates of payment shall  reflect  allowable  operating  costs  as

    22  reported  in each facility's cost report for the two thousand two calen-
    23  dar year, as adjusted for inflation on an  annual  basis  in  accordance
    24  with  the  methodology  set forth in paragraph (c) of subdivision ten of
    25  section twenty-eight hundred seven-c of this article, provided, however,
    26  that for those facilities which do not receive a per diem add-on adjust-
    27  ment pursuant to subparagraph (ii) of paragraph (a) of this subdivision,
    28  rates shall be further adjusted to include the proportionate benefit, as
    29  determined by the commissioner, of the expiration of the  opening  para-
    30  graph  and  paragraph  (a) of subdivision sixteen of this section and of
    31  paragraph (a) of subdivision fourteen  of  this  section,  and  provided
    32  further  that the operating cost component of rates of payment for those
    33  facilities which did not receive a per  diem  adjustment  in  accordance

    34  with subparagraph (ii) of paragraph (a) of this subdivision shall not be
    35  less  than  the  operating component such facilities received in the two
    36  thousand eight rate period, as adjusted for inflation on an annual basis
    37  in accordance with the methodology set forth in paragraph (c) of  subdi-
    38  vision  ten  of section twenty-eight hundred seven-c of this article and
    39  further provided, however, that rates  for  facilities  whose  operating
    40  cost component reflects base year costs subsequent to January first, two
    41  thousand  two  shall  have  rates computed in accordance with this para-
    42  graph, utilizing allowable operating costs as reported  in  such  subse-
    43  quent  base year period, and trended forward to the rate year in accord-
    44  ance with applicable inflation factors.
    45    § 4. Subdivision 17-a of section 2808 of the  public  health  law,  as

    46  amended  by  section  73 of part C of chapter 58 of the laws of 2008, is
    47  amended to read as follows:
    48    17-a. Notwithstanding any inconsistent provision of law or  regulation
    49  to  the  contrary,  for  purposes  of  establishing  rates of payment by
    50  governmental  agencies  for  residential  health  care  facilities   for
    51  services  provided  on and after January first, nineteen hundred ninety-
    52  eight, the regional direct and indirect input price  adjustment  factors
    53  to  be  applied  to  any such facility's rate calculation shall be based
    54  upon the utilization of either nineteen hundred  eighty-three,  nineteen
    55  hundred  eighty-seven  or  nineteen  hundred  ninety-three calendar year
    56  financial and statistical data and for periods  beginning  April  first,

        S. 58--B                           111                         A. 158--B
 

     1  two thousand four through March thirty-first, two thousand nine based on
     2  either  nineteen  hundred  eighty-three,  nineteen hundred eighty-seven,
     3  nineteen hundred ninety-three or two thousand one calendar  year  finan-
     4  cial and statistical data; provided, however, the state share amount for
     5  the  utilization of two thousand one calendar year data shall be no more
     6  than twenty-two million dollars on a pro rata basis per  calendar  year.
     7  The  determination  of  which  calendar  year's data to utilize shall be
     8  based upon a methodology that ensures that the particular year chosen by
     9  each facility results in a factor that yields no less  reimbursement  to
    10  the  facility  than  would result from the use of any of the other three
    11  years' data. Such methodology shall utilize the nineteen hundred  eight-
    12  y-three  and  nineteen hundred eighty-seven regional direct and indirect

    13  input price adjustment factor corridor percentages in existence on Janu-
    14  ary first, nineteen hundred ninety-seven as  well  as  nineteen  hundred
    15  ninety-three  regional direct and indirect input price adjustment factor
    16  corridor percentage in existence on January first, two thousand four  as
    17  well  as  a  two  thousand  one regional direct and indirect input price
    18  adjustment factor corridor percentage calculated in the same  manner  as
    19  the  nineteen  hundred  ninety-three  direct  and  indirect  input price
    20  adjustment factor corridor percentages in existence  on  January  first,
    21  two  thousand  four;  provided,  however,  for rate periods on and after
    22  April first, two thousand nine,  the  regional  input  price  adjustment
    23  factors shall be based on the case mix predicted staffing for registered
    24  nurses,  licensed  practical  nurses, nurses' aides, licensed therapists

    25  and therapist aides. For the rate  period  beginning  April  first,  two
    26  thousand  nine  through [December thirty-first, two thousand nine] March
    27  thirty-first, two thousand ten, the regional direct and  indirect  input
    28  price  adjustment factors to be applied to a facility's rate calculation
    29  shall be based upon the utilization of two thousand  two  calendar  year
    30  financial and statistical data. Such methodology shall utilize two thou-
    31  sand  two  regional  direct  and  indirect input price adjustment factor
    32  corridor percentages calculated in the same manner as the  two  thousand
    33  one  regional direct and indirect input price adjustment factor corridor
    34  percentages in existence on  December  thirty-first,  two  thousand  six
    35  except  that  every  region  shall  receive  a  corridor  to reflect the

    36  region's actual variation subject to a maximum statewide  average  vari-
    37  able corridor percentage of ten percent. [For the rate periods beginning
    38  January first, two thousand ten through December thirty-first, two thou-
    39  sand  eleven,  the  regional  direct and indirect input price adjustment
    40  factors to be applied to a facility's rate calculation  shall  be  based
    41  upon  the  utilization of two thousand eight calendar year financial and
    42  statistical data. Such methodology  shall  utilize  two  thousand  eight
    43  regional  direct  and  indirect  input  price adjustment factor corridor
    44  percentages calculated in the  same  manner  as  the  two  thousand  two
    45  regional  direct  and  indirect  input  price adjustment factor corridor

    46  percentages, with every region  receiving  a  corridor  to  reflect  the
    47  region's  actual  variation subject to a maximum statewide average vari-
    48  able corridor percentage of ten percent.   For  the  three  year  period
    49  beginning  January first, two thousand twelve, the regional direct price
    50  and indirect input price adjustment factors and the regional direct  and
    51  indirect  input  price  adjustment  factor corridor percentages shall be
    52  based upon the utilization of financial and statistical  data  from  the
    53  base  period used for the operating component of rates for the two thou-
    54  sand twelve rate period pursuant to paragraph (f) of  subdivision  two-b
    55  of this section.]


        S. 58--B                           112                         A. 158--B
 
     1    §  5. Section 2808 of the public health law is amended by adding a new
     2  subdivision 2-c to read as follows:
     3    2-c. (a) Notwithstanding any inconsistent provision of this section or
     4  any  other  contrary provision of law and subject to the availability of
     5  federal financial participation, the operating costs of rates of payment
     6  by governmental agencies for inpatient services provided by  residential
     7  health  care facilities on and after April first, two thousand ten shall
     8  be determined in accordance with the following:
     9    (i) The direct and indirect components of the operating cost component
    10  of such rates will be computed on  a  regional  basis,  using  allowable

    11  operating  costs,  as  determined by the commissioner, from two thousand
    12  seven certified cost reports on file with the department as  of  January
    13  first,  two  thousand nine, as adjusted for inflation in accordance with
    14  applicable statutes.
    15    (ii) The non-comparable component of the operating component  of  such
    16  rates  shall  be  computed on a facility specific basis, using allowable
    17  operating costs, as determined by the commissioner,  from  two  thousand
    18  seven  certified cost report submitted by each facility and on file with
    19  the department on January first, two  thousand  nine,  as  adjusted  for
    20  inflation in accordance with applicable statutes.
    21    (iii) The capital component of rates computed pursuant to this section

    22  shall  fully  reflect the cost of local property taxes and payments made
    23  in lieu of local property taxes, as reported  in  each  facility's  cost
    24  report submitted for the year two years prior to the rate year.
    25    (iv) The direct component of the operating component of rates shall be
    26  subject  to  case mix adjustment through application of the minimum data
    27  set (MDS) classification employed by the federal government with  regard
    28  to payments to skilled nursing facilities pursuant to title XVIII of the
    29  federal social security act (medicare) to reflect patient service inten-
    30  sity,  as may be adjusted by the commissioner. Such adjustments shall be
    31  made semi-annually in each calendar year, and both the  adjustments  and

    32  the related patient classifications in each facility shall be subject to
    33  audit  review  in accordance with regulations promulgated by the commis-
    34  sioner.
    35    (v) Notwithstanding any contrary provision  of  this  section  or  any
    36  other  contrary  provision  of law, rule or regulation, rates of payment
    37  shall, except for the establishment of any regional  prices,  be  calcu-
    38  lated  utilizing the number of patients reported in each patient classi-
    39  fication group and eligible for medical  assistance  pursuant  to  title
    40  eleven of article five of the social services law.
    41    (vi) Notwithstanding subparagraph (i) of this paragraph, the operating
    42  cost component of the rates, effective April first, two thousand ten for

    43  the  following  categories  of  facilities,  as  established pursuant to
    44  applicable regulations, shall reflect  the  rates  in  effect  for  such
    45  facilities  on  March  thirty-first,  two  thousand ten, as adjusted for
    46  inflation in accordance with applicable statutes: (A) AIDS facilities or
    47  discrete AIDS units within facilities, (B) discrete units for  residents
    48  receiving care in a long-term inpatient rehabilitation program for trau-
    49  matic  brain  injured  persons, (C) discrete units providing specialized
    50  programs for residents requiring behavioral interventions, (D)  discrete
    51  units  for  long-term ventilator dependent residents, and (E) facilities
    52  or discrete units within  facilities  that  provide  extensive  nursing,

    53  medical,  psychological  and counseling support services solely to chil-
    54  dren. Such rate shall remain in effect until the department, in  consul-
    55  tation with representatives of the nursing home industry, as selected by

        S. 58--B                           113                         A. 158--B
 
     1  the commissioner, develops a regional pricing or alternative methodology
     2  for determining such rates.
     3    (vii)  The  operating  component  of rates of payment, as adjusted for
     4  inflation in accordance with subparagraph (i) of this paragraph,  shall,
     5  by  no  later  than  the  two thousand thirteen rate period, be based on
     6  allowable costs, as reported on annual facility cost  reports  submitted

     7  as required by the commissioner, from a base year period no earlier than
     8  three  years  prior  to the initial rate year. Thereafter, the base year
     9  utilized for rate-setting purposes shall be updated  to  be  current  no
    10  less  frequently  than  every six years; provided, however, that for the
    11  purposes of this paragraph, current shall mean that the operating compo-
    12  nents of the initial rate year, utilizing such updated base year,  shall
    13  reflect  allowable costs as reported in annual facility cost reports for
    14  periods no earlier than three years prior to such initial rate year,  as
    15  adjusted for inflation in accordance with subparagraph (i) of this para-
    16  graph.
    17    (b)  The operating component of rates may be adjusted to reflect a per

    18  diem add-on, as  determined  by  the  commissioner,  for  the  following
    19  patients:  (i)  each patient whose body mass index is greater than thir-
    20  ty-five; (ii) each patient who  qualifies  under  the  RUG-III  impaired
    21  cognition and behavioral problems categories, or has been diagnosed with
    22  Alzheimer's disease or dementia, and is classified in the reduced physi-
    23  cian  functions A, B, or C, or in behavioral problems A or B categories,
    24  and has an activities of daily living index score of less than ten;  and
    25  (iii)  each patient who qualifies for extended care as a result of trau-
    26  matic brain injury as defined by applicable regulations.
    27    (c) The commissioner  may  promulgate  regulations  to  implement  the
    28  provisions of this subdivision.

    29    (d)  (i)  Subject  to  the  availability  of federal financial partic-
    30  ipation, the commissioner is authorized to establish a quality  of  care
    31  incentive  pool or pools for eligible residential health care facilities
    32  and increase Medicaid rates of payment for such eligible facilities from
    33  this pool or pools. Within amounts available, payments  will  be  deter-
    34  mined  by  the  commissioner  by  applying  criteria, including, but not
    35  limited to, the quality components of  the  minimum  data  set  required
    36  under  federal  law, survey information, direct care staffing, including
    37  labor costs, and other facility data.
    38    (ii) Facilities that fall within one or more of the  categories  below

    39  during a review period will be excluded from award eligibility:
    40    (A)  any residential health care facility that is currently designated
    41  by the centers for medicare and Medicaid services as  a  "special  focus
    42  facility";
    43    (B)  any residential health care facility for which the department has
    44  issued  a  finding  of  immediate  jeopardy  during  the  most  recently
    45  completed federal fiscal year;
    46    (C)  any residential health care facility that has received a citation
    47  for substandard quality of care in the areas of quality of life, quality
    48  of care, resident behavior, and/or facility practices  during  the  most
    49  recently completed federal fiscal year;
    50    (D)  any residential health care facility that is part of a continuing

    51  care retirement community;
    52    (E) any residential health care facility that operates  as  a  transi-
    53  tional care unit; and
    54    (F) any other exclusions as deemed appropriate by the commissioner.
    55    (iii)  Notwithstanding any inconsistent provision of law or regulation
    56  to the contrary, in the event that the total amount of funding allocated

        S. 58--B                           114                         A. 158--B
 
     1  for a particular fiscal year is not distributed, funds shall be reserved
     2  and accumulated from year to year so that any funds remaining at the end
     3  of a particular fiscal year will be available  for  distribution  during
     4  the following fiscal year.

     5    (e) Subject to the availability of federal financial participation and
     6  within  amounts  available, the commissioner may make transition adjust-
     7  ments to rates of payment for residential  health  care  facilities  for
     8  state fiscal years beginning April first, two thousand ten to facilitate
     9  improvements in residential health care facility operations and finances
    10  in accordance with the following:
    11    (i)  Residential  health  care  facilities  eligible for distributions
    12  pursuant to this paragraph shall  be  those  non-public  facilities  and
    13  state  operated public residential health care facilities, which have an
    14  average annual Medicaid  utilization  percentage  of  fifty  percent  or

    15  greater  for  the  two years prior to the rate year and which, as deter-
    16  mined by the commissioner, experience  a  reduction  in  their  Medicaid
    17  revenue of a percentage as determined by the commissioner as a result of
    18  the application of regional pricing as described in this subdivision.
    19    (ii)  Transition funds distributed pursuant to this paragraph shall be
    20  allocated based on each eligible facility's relative need as  determined
    21  by the commissioner.
    22    (iii) Payments made pursuant to this paragraph shall not be subject to
    23  retroactive  adjustment  or  reconciliation and may be added to rates of
    24  payment or made as lump sum payments.
    25    (iv) Each residential health care facility receiving funds pursuant to

    26  this paragraph shall, as a condition for  eligibility  for  such  funds,
    27  adopt  a  resolution of the board of directors or submit a report by the
    28  owner acceptable to the commissioner setting forth its current financial
    29  condition and a plan for reforming and improving such  financial  condi-
    30  tion,  including  ongoing board or owner oversight, and shall, after two
    31  years, issue a report as adopted by each such board or issue  a  further
    32  report  by  the  owner acceptable to the commissioner setting forth what
    33  progress has been achieved regarding such improvement, provided,  howev-
    34  er,  if  such further report is not submitted to the commissioner, or if
    35  such further report fails to set forth adequate progress, as  determined

    36  by  the commissioner, the commissioner may deem such facility ineligible
    37  for further distributions pursuant to this paragraph and may  redistrib-
    38  ute  such  further distributions to other eligible facilities in accord-
    39  ance with the provisions of this paragraph. The  commissioner  shall  be
    40  provided with copies of all such resolutions and reports.
    41    (f) Such rates shall be adjusted to reflect appropriate cost differen-
    42  tials  related  to  direct care staffing. Such adjustment may be made to
    43  the direct component of the  operating  cost  component  of  such  rate,
    44  through  a  quality  of care incentive pool pursuant to paragraph (d) of
    45  this subdivision or using such other mechanism as deemed appropriate  by

    46  the   commissioner,  after  consideration  of  any  recommendations  and
    47  discussions of the workgroup established by section forty-eight of  part
    48  C of chapter one hundred nine of the laws of two thousand six.
    49    §  5-a.  Subdivision  11  of section 2808 of the public health law, as
    50  amended by chapter 474 of the laws  of  1996,  is  amended  to  read  as
    51  follows:
    52    11.  Residential health care facility reimbursement rate promulgation.
    53  With regard to a residential health care  facility,  the  provisions  of
    54  [paragraph  (a)  of]  subdivision  seven of section twenty-eight hundred
    55  seven of this article relating to advance notification  of  rates  shall
    56  not  apply  to  prospective or retroactive adjustments to rates that are

        S. 58--B                           115                         A. 158--B
 

     1  based on rate appeals filed by such facility, audits, changes in patient
     2  conditions or acuity levels, the correction of errors  or  omissions  of
     3  data or errors in the computations of such rates, the submission of cost
     4  report data from facilities without an established cost basis, the judi-
     5  cial annulment or invalidation of existing rates or changes in the meth-
     6  odology  used  to  compute rates which changes are promulgated following
     7  the judicial annulment or invalidation of existing rates or as otherwise
     8  authorized by law. Notwithstanding any inconsistent provision of law  or
     9  regulation,  as of April first, two thousand nine, with regard to admin-
    10  istrative rate appeals, the department will only review such appeals for
    11  (a) the correction of computational errors or omissions of data  by  the

    12  department  in determining the operating rate based upon the information
    13  provided to the department prior to the computation  of  the  rate,  (b)
    14  capital  cost  reimbursement,  or  (c)  such reasons as the commissioner
    15  determines  are  appropriate.  The  department  will  not  consider  any
    16  revisions  made  to  a  facility's annual cost report for operating rate
    17  adjustment purpose later than the due date established  by  the  commis-
    18  sioner.
    19    § 6. Section 48 of part C of chapter 109 of the laws of 2006, amending
    20  the  social  services law and other laws relating to Medicaid reimburse-
    21  ment rate settings, as amended by section 65-a of part A of  chapter  58
    22  of the laws of 2007, is amended to read as follows:
    23    §  48. Notwithstanding any contrary provision of law, the commissioner

    24  of health shall, by no later than May 15, 2007,  establish  a  workgroup
    25  [to  investigate  and  develop  recommendations]  pertaining to Medicaid
    26  reimbursement rate-setting for residential health  care  facilities  for
    27  future periods, including, but not limited to, the following areas:
    28    (a) [the appropriate reimbursement for capital costs for those facili-
    29  ties which have received reimbursement reflecting one hundred percent of
    30  capital  depreciation]  operating costs that should be considered allow-
    31  able in the development of regional prices;
    32    (b) [potential mechanisms  for  reimbursement  of  costs  incurred  by
    33  facilities  with  regard  to the employment of nursing staff provided by
    34  independent companies] identification of appropriate cost  differentials

    35  among  facilities  based on factors including, but not limited to, size,
    36  affiliation,  location,  public  versus  non-public,  facility   layout,
    37  culture  exchange initiatives and labor costs, including the most appro-
    38  priate mechanism to adjust rates of payment to reflect appropriate  cost
    39  differentials  related to direct care staffing, including adjustments to
    40  the direct component of the  operating  cost  component  of  such  rate,
    41  establishment  of  a quality care incentive pool pursuant to subdivision
    42  (2-c) of section 2808 of the public health law or other mechanisms;
    43    (c) [reimbursement of costs related to insurance;
    44    (d) conversion from the RUG II patient classification  system  to  the

    45  "minimum data set" (RUG-III) patient classification system;
    46    (e)]  reimbursement for facilities providing care to specialized popu-
    47  lations with specialized care needs;
    48    (d) the relationship between facility spending on  various  costs  and
    49  quality of care and patient outcomes;
    50    (e) appropriate regions to be utilized;
    51    (f) [corridors applicable to the statewide mean prices as utilized for
    52  rate-setting purposes;
    53    (g)]  the  reasons  underlying  the  existing  proportion  of Medicaid
    54  patients to non-Medicaid patients in New York facilities;
    55    [(h)] (g) issues related to Medicare;
    56    [(i)] (h) impact of planned rightsizing of the acute care system;


        S. 58--B                           116                         A. 158--B
 
     1    [(j)] (i) impact of planned rightsizing of nursing home system;
     2    [(k)] (j) impact of using Medicaid only case mix; and
     3    [(l)] (k) other issues as determined by the commissioner.
     4    The  members of the workgroup shall include department of health staff
     5  and representatives of statewide associations representing the  residen-
     6  tial health care facility industry in New York, organizations represent-
     7  ing  employees,  [and associations with less than a statewide membership
     8  shall have the ability to  present  information  to  the  workgroup  and
     9  participate  in  the discussions on the issues outlined in this section]
    10  and, by May thirty-first, two thousand nine, advocates  for  residential

    11  health  care  facility residents and representatives of regional associ-
    12  ations representing the residential health care facility industry in New
    13  York.  The workgroup shall work in consultation with  the  assembly  and
    14  the  senate.   The commissioner of health shall appoint the chair of the
    15  workgroup [An initial report setting forth the  workgroup's  conclusions
    16  and  recommendations shall be submitted to the commissioner of health by
    17  no later than January 1, 2008 and a subsequent report shall be submitted
    18  to the commissioner of health no later than June  15,  2008.  Thereafter
    19  such workgroup shall continue until January 1, 2009, or as determined by
    20  the commissioner of health.] and designate such employees of the depart-

    21  ment of health as are reasonably necessary to provide necessary data and
    22  support  services  to  the  workgroup.  The commissioner of health shall
    23  submit an interim report summarizing the workgroup's  deliberations  and
    24  the commissioner of health's recommendations to the governor, the tempo-
    25  rary  president  of  the  senate,  the  speaker of the assembly, and the
    26  minority leaders of the senate and the assembly by  December  fifteenth,
    27  two  thousand  nine, and a subsequent report shall be submitted to these
    28  individuals no later than February  fifteenth,  two  thousand  ten.  The
    29  workgroup  shall  continue until December thirty-first, two thousand ten
    30  to evaluate the implementation of the new system.

    31    § 6-a. Paragraph d of subdivision 20 of section  2808  of  the  public
    32  health  law  is relettered paragraph e and a new paragraph d is added to
    33  read as follows:
    34    d. (i) Capital cost reimbursement for proprietary  residential  health
    35  care facilities. Any proprietary facility which otherwise would be enti-
    36  tled  to residual reimbursement as provided under applicable regulation,
    37  may have the capital cost component of  its  rate  recalculated  by  the
    38  department  to  take  into account any capital improvements and/or reno-
    39  vations made to the facility's existing infrastructure for  the  purpose
    40  of  converting beds to alternative long-term care uses or protecting the
    41  health and safety of patients, subject to the approval  of  the  commis-

    42  sioner and all applicable certificate of need requirements.
    43    (ii)  The  department  shall  evaluate the adequacy of current capital
    44  cost reimbursement for voluntary residential health care facilities.
    45    § 7. Notwithstanding any contrary provision of law, if the commission-
    46  er of health determines that federal financial participation will not be
    47  available with regard to the provisions of subparagraph  (ii)  of  para-
    48  graph  (e)  of  subdivision 2-c of section twenty-eight hundred eight of
    49  the public health law, the commissioner may deem such provision null and
    50  void and instead may allocate funds pursuant to such  subparagraph  (ii)
    51  proportionally,  based  on  each  eligible  facility's relative share of
    52  Medicaid days in the year two years prior to the distribution year.

    53    § 8. Subdivision 21 of section 2808 of the public health law, as added
    54  by section 27 of part C of chapter 58 of the laws of 2004 and paragraphs
    55  (a), (b), (f), (g) and (h) as amended by chapter  746  of  the  laws  of
    56  2004, is amended to read as follows:

        S. 58--B                           117                         A. 158--B
 
     1    21.  (a)  Notwithstanding  any  inconsistent provision of law or regu-
     2  lation to the contrary, for the purposes specified in subdivision  nine-
     3  teen  of  this section, the commissioner shall adjust medical assistance
     4  rates of payment established  pursuant  to  this  article  for  services
     5  provided  on and after October first, two thousand four through December
     6  thirty-first, two thousand four and  annually  thereafter  for  services
     7  provided  on  and  after  January first, two thousand five, to include a

     8  rate adjustment to assist qualifying facilities pursuant to this  subdi-
     9  vision,  provided,  however, that public residential health care facili-
    10  ties shall not be eligible for rate adjustments pursuant to this  subdi-
    11  vision for rate periods on and after April first, two thousand nine.
    12    (b)  Eligibility  for such rate adjustments shall be determined on the
    13  basis of each residential health care facility's operating  margin  over
    14  the most recent three-year period for which financial data are available
    15  from  the  RHCF-4  cost  report  or  the  institutional cost report. For
    16  purposes of the adjustments made for the period October first, two thou-
    17  sand four through December thirty-first, two  thousand  four,  financial
    18  information for the calendar years two thousand through two thousand two

    19  shall be utilized. For each subsequent rate year, the financial data for
    20  the three-year period ending two years prior to the applicable rate year
    21  shall be utilized for this purpose.
    22    (c)  Each  facility's operating margin for the three-year period shall
    23  be calculated by subtracting total operating expenses for the three-year
    24  period from total operating revenues  for  the  three-year  period,  and
    25  dividing  the  result by the total operating revenues for the three-year
    26  period, with the result expressed as a  percentage.  For  hospital-based
    27  residential  health care facilities for which an operating margin cannot
    28  be calculated on the basis of the submitted cost reports, the sponsoring
    29  hospital's overall three-year  operating  margin,  as  reported  in  the
    30  institutional  cost  report,  shall  be  utilized  for this purpose. All

    31  facilities with negative operating margins calculated in this  way  over
    32  the  three-year  period  shall  be  arrayed  into quartiles based on the
    33  magnitude of the operating margin. Any facility with a positive  operat-
    34  ing  margin  for the most recent three-year period, a negative operating
    35  margin that places the facility in the quartile of facilities  with  the
    36  smallest negative operating margins, a positive total margin in the most
    37  recent year of the three year period, or an average Medicaid utilization
    38  percentage  of  fifty percent or less during the most recent year of the
    39  three-year period shall be disqualified  from  receiving  an  adjustment
    40  pursuant  to  this subdivision, provided, however, that for rate periods
    41  on and after April first, two thousand nine, such disqualification:

    42    (i) shall not be applied solely on the basis of a facility's having  a
    43  positive total margin in the most recent year of such three-year period;
    44    (ii)  shall be extended to those facilities in the quartile of facili-
    45  ties with the second smallest negative operating margins; and
    46    (iii) shall also be extended to those facilities with an average Medi-
    47  caid utilization percentage of less than seventy percent during the most
    48  recent year of the three-year period.
    49    (d) For each facility remaining after the exclusions made pursuant  to
    50  paragraph  (c) of this subdivision, the commissioner shall calculate the
    51  average annual operating loss for the three-year period  by  subtracting
    52  total  operating expenses for the three-year period from total operating

    53  revenues for the three-year period, and dividing the  result  by  three,
    54  provided,  however, that for periods on and after April first, two thou-
    55  sand nine, the amount of such average annual  operating  loss  shall  be
    56  reduced  by  an  amount  equal  to  the amount received by such facility

        S. 58--B                           118                         A. 158--B
 
     1  pursuant to subparagraph (ii) of paragraph (a) of subdivision  two-b  of
     2  this  section.   For this purpose, for hospital-based residential health
     3  care facilities for which the average annual operating  loss  cannot  be
     4  calculated  on  the  basis of the submitted cost reports, the sponsoring
     5  hospital's overall average annual  operating  loss  for  the  three-year

     6  period  shall  be  apportioned  to  the residential health care facility
     7  based on the proportion the residential  health  care  facility's  total
     8  revenues  for  the  period  bears  to the total revenues reported by the
     9  sponsoring hospital, and such apportioned average annual operating  loss
    10  shall  then be reduced by an amount equal to the amount received by such
    11  facility pursuant to subparagraph (ii) of paragraph (a)  of  subdivision
    12  two-b of this section.
    13    (e)  [Each]  For periods prior to April first, two thousand nine, each
    14  such facility's qualifying operating loss shall be determined by  multi-
    15  plying  the  facility's average annual operating loss for the three-year
    16  period as calculated pursuant to paragraph (d) of  this  subdivision  by

    17  the  applicable  percentage  shown  in the tables below for the quartile
    18  within which the facility's negative operating margin for the three-year
    19  period is assigned.
    20    i. For a facility located in a county with a total population  of  two
    21  hundred thousand or more as determined by the two thousand U.S. Census:
 
    22  First Quartile (lowest operating margins): 30 percent
    23      Second Quartile: 15 percent
    24      Third Quartile: 7.5 percent
 
    25  ii.  For a facility located in a county with a total population of fewer
    26  than two hundred thousand as determined by the two thousand U.S. Census:
 
    27  First Quartile (lowest operating margins): 35 percent
    28     Second Quartile: 20 percent
    29     Third Quartile: 12.5 percent
 
    30    (f) The amount of any facility's financially disadvantaged residential
    31  health care facility distribution calculated  in  accordance  with  this

    32  subdivision shall be reduced by the facility's estimated rate year bene-
    33  fit  of  the two thousand one update to the regional input price adjust-
    34  ment factors authorized pursuant to former subdivision seventeen of this
    35  section as amended by section 24 of part C of chapter 58 of the laws  of
    36  2004,  or  as  authorized by subdivision seventeen-a of this section, as
    37  added by section 56 of part C of chapter 58 of the laws of 2007, if any,
    38  provided, however, that such reduction shall not be applied with  regard
    39  to  rate periods on and after April first, two thousand nine.  After all
    40  other adjustments to a facility's financially disadvantaged  residential
    41  health care facility distribution have been made in accordance with this
    42  subdivision, the amount of each facility's distribution shall be limited

    43  to  no more than four hundred thousand dollars during the period October
    44  first, two thousand four through  December  thirty-first,  two  thousand
    45  four  and  [during  any subsequent annual rate period], on an annualized
    46  basis, for rate periods through March thirty-first, two  thousand  nine,
    47  and  no  more  than  one million dollars for the period April first, two
    48  thousand nine through December thirty-first, two thousand nine  and  for
    49  each annual rate period thereafter.
    50    (g)  The adjustment made to each qualifying facility's medical assist-
    51  ance rate of payment determined pursuant to this article shall be calcu-
    52  lated by dividing the facility's financially  disadvantaged  residential

        S. 58--B                           119                         A. 158--B
 

     1  health  care  facility  distribution  calculated in accordance with this
     2  subdivision by the facility's  total  medical  assistance  patient  days
     3  reported  in the cost report submitted two years prior to the rate year,
     4  provided  however,  that  such  rate  adjustments for the period October
     5  first, two thousand four through  December  thirty-first,  two  thousand
     6  four shall be calculated based on twenty-five percent of each facility's
     7  reported total medical assistance patient days as reported in the appli-
     8  cable two thousand two cost report. Such amounts shall not be reconciled
     9  to  reflect  changes  in medical assistance utilization between the year
    10  two years prior to the rate year and the rate year.
    11    (h) The total amount of funds  to  be  allocated  and  distributed  as
    12  medical assistance for financially disadvantaged residential health care

    13  facility  rate  adjustments  to eligible facilities for a rate period in
    14  accordance with this subdivision shall be thirty million dollars for the
    15  period October first, two thousand four through  December  thirty-first,
    16  two  thousand four and thirty million dollars [for annual] on an annual-
    17  ized basis for rate periods on and after  January  first,  two  thousand
    18  five  through  December  thirty-first,  two  thousand  eight  and thirty
    19  million dollars on an annualized basis on and after January  first,  two
    20  thousand  nine.    The  nonfederal share of such [total shall be fifteen
    21  million dollars which] rate adjustments shall be paid by the state, with
    22  no local share, from allocations made  pursuant  to  paragraph  (hh)  of

    23  subdivision  one  of section twenty-eight hundred seven-v of this [chap-
    24  ter] article.   In the event the statewide  total  of  the  annual  rate
    25  adjustments  determined  pursuant  to  paragraph (g) of this subdivision
    26  varies from [thirty million dollars] the amounts set forth in this para-
    27  graph, each qualifying facility's rate adjustment shall  be  proportion-
    28  ately  increased  or  decreased  such  that the total of the annual rate
    29  adjustments made pursuant  to  this  subdivision  is  equal  to  [thirty
    30  million  dollars] the amounts set forth in this paragraph on a statewide
    31  basis.
    32    (i) This subdivision shall be effective if, and as  long  as,  federal
    33  financial participation is available for expenditures made for benefici-

    34  aries  eligible  for  medical  assistance under title XIX of the federal
    35  social security act for the rate adjustments  determined  in  accordance
    36  with this subdivision.
    37    (j)  For periods on and after April first, two thousand nine, residen-
    38  tial health care  facilities  which  are  otherwise  eligible  for  rate
    39  adjustments  pursuant to this subdivision shall also, as a condition for
    40  receipt of such rate adjustments, submit to the commissioner  a  written
    41  restructuring  plan  that is acceptable to the commissioner and which is
    42  in accord with the following:
    43    (i) such an acceptable plan shall be  submitted  to  the  commissioner
    44  within sixty days of the facility's receipt of rate adjustments pursuant

    45  to  this subdivision for a rate period subsequent to March thirty-first,
    46  two thousand eight, provided, however, that facilities which  are  allo-
    47  cated four hundred thousand dollars or less on an annualized basis shall
    48  be  required  to  submit  such plans within one hundred twenty days, and
    49  further provided that these periods may be extended by the  commissioner
    50  by no more than thirty days, for good cause shown; and
    51    (ii)  such  plan shall provide a detailed description of the steps the
    52  facility will take to  improve  operational  efficiency  and  align  its
    53  expenditures  with  its revenues, and shall include a projected schedule
    54  of quantifiable benchmarks to be achieved in the implementation  of  the
    55  plan; and

        S. 58--B                           120                         A. 158--B
 
     1    (iii) such plan shall require periodic reports to the commissioner, in
     2  accordance with a schedule acceptable to the commissioner, setting forth
     3  the progress the facility has made in implementing its plan; and
     4    (iv)  such  plan  may  include the facility's retention of a qualified
     5  chief restructuring officer to assist in the implementation of the plan,
     6  provided, however, that this requirement may be waived  by  the  commis-
     7  sioner, for good cause shown, upon written application by the facility.
     8    (k)  If a residential health care facility fails to submit an accepta-
     9  ble restructuring plan in accordance with the  provisions  of  paragraph

    10  (j)  of this subdivision, the facility shall, from that time forward, be
    11  precluded from receipt of all further rate adjustments made pursuant  to
    12  this  subdivision  and shall be deemed ineligible from any future re-ap-
    13  plication for such adjustments. Further, if the commissioner  determines
    14  that  a facility has failed to make substantial progress in implementing
    15  its plan or in achieving the benchmarks set forth in such plan, then the
    16  commissioner may, upon thirty days notice to that  facility,  disqualify
    17  the  facility from further participation in the rate adjustments author-
    18  ized by this subdivision and the commissioner may require  the  facility
    19  to repay some or all of the previous rate adjustments.

    20    § 9. Clause (A) of subparagraph (i) of paragraph (a) of subdivision 18
    21  of  section 2808 of the public health law, as amended by section 73-b of
    22  part C of chapter 58 of the laws of 2008, is amended to read as follows:
    23    (A) fifty-three million five hundred thousand dollars on an annualized
    24  basis for the period April first,  two  thousand  two  through  December
    25  thirty-first, two thousand two; eighty-three million three hundred thou-
    26  sand  dollars  on  an annualized basis for the period January first, two
    27  thousand three through December thirty-first, two  thousand  three;  one
    28  hundred  fifteen million eight hundred thousand dollars on an annualized
    29  basis for the period January first, two thousand four  through  December
    30  thirty-first,  two  thousand six; fifty-seven million nine hundred thou-
    31  sand dollars for the period January first, two  thousand  seven  through

    32  June  thirtieth,  two  thousand  seven, fifty-seven million nine hundred
    33  thousand dollars for the period July first, two thousand  seven  through
    34  March  thirty-first,  two  thousand  eight,  and [sixty-four] fifty-nine
    35  million [eight] four hundred  thousand  dollars  for  the  period  April
    36  first,  two thousand eight through March thirty-first, two thousand nine
    37  [and twenty-six million two hundred  thousand  dollars  for  the  period
    38  April  first, two thousand nine through March thirty-first, two thousand
    39  ten and each state fiscal year thereafter].
    40    § 10.  Clause (A) of subparagraph (i) of paragraph (b) of  subdivision
    41  18  of section 2808 of the public health law, as amended by section 73-a
    42  of part C of chapter 58 of the laws of  2008,  is  amended  to  read  as
    43  follows:

    44    (A) seven million five hundred thousand dollars on an annualized basis
    45  for  the  period  April first, two thousand two through December thirty-
    46  first, two thousand two; eleven million seven hundred  thousand  dollars
    47  on  an annualized basis for the period January first, two thousand three
    48  through December thirty-first, two thousand three; sixteen  million  two
    49  hundred  thousand  dollars on an annualized basis for the period January
    50  first, two thousand four through  December  thirty-first,  two  thousand
    51  six; and eight million one hundred thousand dollars for the period Janu-
    52  ary  first,  two  thousand  seven  through  June thirtieth, two thousand
    53  seven, eight million one hundred thousand dollars for  the  period  July
    54  first,  two  thousand  seven  through  March  thirty-first, two thousand

    55  eight, [seven] six million [three] six hundred ninety  thousand  dollars
    56  for  the  period  April  first, two thousand eight through March thirty-

        S. 58--B                           121                         A. 158--B
 
     1  first, two thousand nine [and one million nine hundred thousand  dollars
     2  for  the  period  April  first,  two thousand nine through March thirty-
     3  first, two thousand ten and each state fiscal year thereafter].
     4    §  11.  Subdivision  5  of  section  2808  of the public health law is
     5  amended by adding a new paragraph (c) to read as follows:
     6    (c) Notwithstanding any inconsistent provision of this subdivision, on
     7  and after April first, two  thousand  nine,  no  non-public  residential

     8  health  care  facility,  whether operated as for-profit facility or as a
     9  not-for-profit facility, may withdraw equity or transfer assets which in
    10  the aggregate exceed three percent of  such  facility's  total  Medicaid
    11  revenue  in  the prior calendar year, without the prior written approval
    12  of the commissioner. The commissioner  shall  make  a  determination  to
    13  approve or disapprove a request for withdrawal of equity or assets under
    14  this subdivision within sixty days of the date of the receipt of a writ-
    15  ten request from the facility. Requests shall be made in a form accepta-
    16  ble to the department by certified or registered mail. In reviewing such
    17  requests  the  commissioner shall consider the facility's overall finan-

    18  cial condition, any  indications  of  financial  distress,  whether  the
    19  facility  is  delinquent  in any payment owed to the department, whether
    20  the facility has been cited for immediate jeopardy or substandard quali-
    21  ty of care, and such other factors as the commissioner  deems  appropri-
    22  ate.  In  addition  to  any other remedy or penalty available under this
    23  chapter, and after opportunity  for  a  hearing,  the  commissioner  may
    24  require  replacement  of the withdrawn equity or assets and may impose a
    25  penalty for violation of the provisions of this subdivision in an amount
    26  not to  exceed  ten  percent  of  any  amount  withdrawn  without  prior
    27  approval.
    28    § 12. Notwithstanding any inconsistent provision of law or regulation,

    29  effective April 1, 2009, for rates of payment by government agencies for
    30  impatient  services  provided  by residential health care facilities, in
    31  determining the operating  component  of  a  facility's  rate  for  care
    32  provided  for  an  AIDS  patient  in  a residential health care facility
    33  designated as an AIDS facility or having a discrete AIDS unit, the oper-
    34  ating component shall not reflect an occupancy factor increase.
    35    § 13. Intentionally omitted.
    36    § 14. Intentionally omitted.
    37    § 15. Intentionally omitted.
    38    § 16. Subdivision 3 of section 461-l of the  social  services  law  is
    39  amended by adding a new paragraph (i) to read as follows:
    40    (i) The commissioner of health is authorized to add up to six thousand
    41  assisted  living  program  beds  to  the gross number of assisted living

    42  program beds having been determined to be available as of  April  first,
    43  two  thousand  nine, provided that, for each assisted living program bed
    44  so added, a nursing home bed has been decertified upon  the  application
    45  of  the  nursing  home  operator  or that the commissioner of health has
    46  found pursuant to subdivision six of section twenty-eight hundred six of
    47  the public health law that any assisted  living  program  bed  so  added
    48  would  serve  as  a  more appropriate alternative to a certified nursing
    49  home bed and has accordingly limited or revoked  the  operating  certif-
    50  icate  of  the  nursing  home providing that certified nursing home bed,
    51  provided further that nothing herein shall be interpreted as prohibiting

    52  any eligible applicant from submitting an application for  any  assisted
    53  living  program  bed so added.   The commissioner of health shall not be
    54  required to review on a comparative  basis  applications  submitted  for
    55  assisted  living  program  beds made available under this paragraph. The

        S. 58--B                           122                         A. 158--B
 
     1  commissioner of health shall only authorize the addition of six thousand
     2  beds pursuant to a five year plan.
     3    §  17.  Paragraph  (a)  of subdivision 6 of section 3614 of the public
     4  health law, as amended by chapter 645 of the laws of 2003, is amended to
     5  read as follows:
     6    (a) The commissioner shall, subject  to  the  approval  of  the  state

     7  director  of  the  budget,  establish  capitated  rates  of  payment for
     8  services provided by assisted living programs as  defined  by  paragraph
     9  (a) of subdivision one of section four hundred sixty-one-l of the social
    10  services  law.  Such rates of payment shall be related to costs incurred
    11  by residential health care facilities. The rates shall reflect the  wage
    12  equalization  factor  established  by  the  commissioner for residential
    13  health care facilities in  the  region  in  which  the  assisted  living
    14  program is provided and real property capital construction costs associ-
    15  ated  with  the  construction of a free-standing assisted living program
    16  such rate shall include a payment equal to the cost of interest owed and
    17  depreciation costs of such construction. The rates  shall  also  reflect
    18  the  efficient  provision  of  a  quality  and  quantity  of services to

    19  patients in such residential health care facilities, with needs compara-
    20  ble to the needs of residents served in such assisted  living  programs.
    21  Such  rates  of  payment  shall be equal to fifty percent of the amounts
    22  which otherwise would have been expended, based upon the mean prices for
    23  the first of  July,  nineteen  hundred  ninety-two  (utilizing  nineteen
    24  hundred  eighty-three costs) for freestanding, low intensity residential
    25  health care facilities with less than three hundred beds, and for  years
    26  subsequent  to  nineteen  hundred  ninety-two, adjusted for inflation in
    27  accordance with the provisions of subdivision  ten  of  section  twenty-
    28  eight  hundred seven-c of this chapter, to provide the appropriate level
    29  of care for such residents in residential health care facilities in  the

    30  applicable  wage  equalization  factor  regions  plus an amount equal to
    31  capital construction  costs  associated  with  the  construction  of  an
    32  assisted living program facility as provided for in this subdivision.
    33    §  18. Section 21 of chapter 1 of the laws of 1999 amending the public
    34  health law and other laws relating to enacting the New York Health  Care
    35  Reform  Act  of 2000, as amended by section 8 of part A of chapter 57 of
    36  the laws of 2000, is amended to read as follows:
    37    § 21. Notwithstanding any inconsistent  provision  of  law,  effective
    38  April  1,  2000,  in determining rates of payment for residential health
    39  care facilities pursuant to section  2808  of  the  public  health  law,
    40  hospital outpatient services and diagnostic and treatment centers pursu-
    41  ant  to  section 2807 of the public health law, unless otherwise subject

    42  to the limits set forth in section 4 of chapter 81 of the laws of  1995,
    43  as  amended  by  this  act, certified home health agencies and long term
    44  home health care programs pursuant  to  section  3614-a  of  the  public
    45  health  law  and personal care services pursuant to section 367-i of the
    46  social services law, and for periods on and after April 1,  2009,  adult
    47  day  health  care  services  provided to patients diagnosed with AIDS as
    48  defined by applicable regulations,  the  commissioner  of  health  shall
    49  apply  trend factors using the methodology described in paragraph (c) of
    50  subdivision 10 of section 2807-c of the public health law,  except  that
    51  such  trend  factors shall not be applied to services for which rates of
    52  payment are established by the commissioners of the department of mental

    53  hygiene.  Nothing in this section is intended to reduce a change in  any
    54  existing provision of law establishing maximum reimbursement rates.
    55    § 19. Intentionally omitted.

        S. 58--B                           123                         A. 158--B
 
     1    § 20. Subparagraph (iii) of paragraph (a) of subdivision 23 of section
     2  2808 of the public health law, as added by section 29 of part C of chap-
     3  ter 109 of the laws of 2006, is amended to read as follows:
     4    (iii)  For such programs which have not achieved an occupancy percent-
     5  age of ninety percent or greater for a  calendar  year  prior  to  April
     6  first,  two  thousand  seven,  the  operating  component  of the rate of
     7  payment established pursuant to this article shall be calculated utiliz-
     8  ing allowable costs reported in the first calendar year after two  thou-

     9  sand  six  in  which  such a program achieves an occupancy percentage of
    10  ninety percent or greater effective January first of such calendar  year
    11  except  for  calendar year two thousand seven, effective no earlier than
    12  April first of such year,  provided,  however,  that  effective  January
    13  first,  two  thousand nine, for programs that have not achieved an occu-
    14  pancy percentage of ninety percent or greater for a calendar year  prior
    15  to January first, two thousand nine, the operating component of the rate
    16  of  payment  established  pursuant  to  this article shall be calculated
    17  utilizing allowable costs reported in the two thousand nine cost  report
    18  filed  by  the  sponsoring  residential  health care facility divided by
    19  visits imputed at actual  or  ninety  percent  occupancy,  whichever  is
    20  greater.   This subparagraph shall also apply to programs which achieved

    21  an occupancy percentage of ninety percent or greater prior  to  calendar
    22  year  two  thousand  four but in such year had an approved capacity that
    23  was not the same as in calendar year two thousand four.
    24    § 21. Paragraph (e-1) of subdivision 12 of section 2808 of the  public
    25  health law, as amended by section 64 of part C of chapter 58 of the laws
    26  of 2007, is amended to read as follows:
    27    (e-1) Notwithstanding any inconsistent provision of law or regulation,
    28  the  commissioner  shall  provide,  in  addition to payments established
    29  pursuant to this article prior to application  of  this  section,  addi-
    30  tional  payments  under the medical assistance program pursuant to title
    31  eleven of article five of the social services law for non-state operated
    32  public residential health care facilities, including public  residential

    33  health  care  facilities  located in the county of Nassau, the county of
    34  Westchester and the county of Erie,  but  excluding  public  residential
    35  health  care  facilities  operated by a town or city within a county, in
    36  aggregate annual amounts of up to one hundred fifty million  dollars  in
    37  additional payments for the state fiscal year beginning April first, two
    38  thousand  six  and  for the state fiscal year beginning April first, two
    39  thousand seven and for the state fiscal year beginning April first,  two
    40  thousand eight and of up to three hundred million dollars in such aggre-
    41  gate  annual  additional  payments  for  the state fiscal year beginning
    42  April first, two thousand nine. The amount allocated  to  each  eligible
    43  public  residential  health  care  facility  for  this  period  shall be
    44  computed in accordance with the provisions  of  paragraph  (f)  of  this

    45  subdivision,  provided, however, that patient days shall be utilized for
    46  such computation reflecting actual reported data for two thousand  three
    47  and each representative succeeding year as applicable.
    48    § 22. Intentionally omitted.
    49    §  23.  Paragraph  (a)  of subdivision 5 of section 3614 of the public
    50  health law, as added by chapter 884 of the laws of 1990, is  amended  to
    51  read as follows:
    52    (a)  During  the  period  July  first, nineteen hundred ninety through
    53  December thirty-first,  nineteen  hundred  ninety,  the  period  January
    54  first,  nineteen hundred ninety-one through December thirty-first, nine-
    55  teen hundred ninety-one and for each calendar year period commencing  on
    56  January  first  thereafter,  rates  of  payment by governmental agencies

        S. 58--B                           124                         A. 158--B
 

     1  established in accordance with subdivision three of this section  appli-
     2  cable  for  services provided by certified home health agencies to indi-
     3  viduals eligible for medical assistance  pursuant  to  title  eleven  of
     4  article  five of the social services law for certified home health agen-
     5  cies which can demonstrate, on forms provided by the commissioner, loss-
     6  es from a disproportionate share of bad debt and charity care during the
     7  base year period as used in determining such rates may include an allow-
     8  ance determined in accordance with this subdivision to reflect the needs
     9  of the certified home health agency for the financing of losses  result-
    10  ing  from  bad  debt and the cost of charity care. Losses resulting from
    11  bad debt and the delivery of charity care shall  be  determined  by  the
    12  commissioner considering, but not limited to, such factors as the losses

    13  resulting  from  bad  debt and the costs of charity care provided by the
    14  certified home health agency and the  availability  of  other  financial
    15  support, including state local assistance public health aid, to meet the
    16  losses  resulting  from  bad  debt  and the costs of charity care of the
    17  certified home health agency. The bad debt and  charity  care  allowance
    18  for a certified home health agency for a rate period shall be determined
    19  by  the commissioner in accordance with rules and regulations adopted by
    20  the state hospital review and  planning  council  and  approved  by  the
    21  commissioner,  and  shall be consistent with the purposes for which such
    22  allowances  are  authorized  for  general  hospitals  pursuant  to   the
    23  provisions  of  article twenty-eight of this chapter and rules and regu-
    24  lations promulgated by the commissioner. For purposes of distribution of

    25  bad debt and charity care allowances to eligible certified  home  health
    26  agencies,  the  commissioner,  in  accordance with rules and regulations
    27  adopted by the state hospital review and planning council  and  approved
    28  by  the  commissioner,  may  limit application of a bad debt and charity
    29  care allowance to a particular home  care  services  unit  or  units  of
    30  service,  such as nursing service. A certified home health agency apply-
    31  ing for a bad debt and charity care allowance pursuant to this  subdivi-
    32  sion  shall  provide assurances satisfactory to the commissioner that it
    33  shall undertake reasonable efforts to maintain  financial  support  from
    34  community  and  public funding sources and reasonable efforts to collect
    35  payments for services from third party  insurance  payors,  governmental
    36  payors  and self-paying patients. To be eligible for an allowance pursu-

    37  ant to this subdivision, a certified  home  health  agency  shall:  have
    38  professional  assistance  available on a seven day per week, twenty-four
    39  hour per day basis to all registered  clients  [and  must];  demonstrate
    40  compliance  with  minimum  charity  care certification obligation levels
    41  established pursuant to rules  and  regulations  adopted  by  the  state
    42  hospital  review  and planning council and approved by the commissioner;
    43  and provide to the commissioner and maintain a  community  service  plan
    44  which  outlines  the  agency's  organizational mission and commitment to
    45  meet the home care needs of the community, in accordance with  paragraph
    46  (h) of this subdivision.
    47    §  24.  Paragraph  (h)  of subdivision 5 of section 3614 of the public

    48  health law is relettered paragraph (i) and a new paragraph (h) is  added
    49  to read as follows:
    50    (h)  Community  service  plans.  (i) The governing body of a certified
    51  home health agency shall issue an organizational mission statement iden-
    52  tifying at a minimum the populations and communities served by the agen-
    53  cy and the agency's commitment to meeting the home  care  needs  of  the
    54  community.  The  commissioner  shall take into consideration the limita-
    55  tions of agency size and resources, and allow flexibility  in  complying
    56  with the provisions of this section.

        S. 58--B                           125                         A. 158--B
 
     1    (ii)  The  governing body of the certified home health agency shall at

     2  least once every three years:
     3    (A) review and amend as necessary the agency's mission statement;
     4    (B)  solicit the views of the communities served by the agency on such
     5  issues as the agency's performance and service priorities;
     6    (C) demonstrate the agency's operational and financial  commitment  to
     7  meeting  community  home care needs, to provide charity care service and
     8  to improve access to home care services by the underserved; and
     9    (D) prepare and make available to the public a statement  showing  the
    10  provision  of free, reduced charge and/or other services of a charitable
    11  or community nature.
    12    (iii) The governing body of the certified  home  health  agency  shall

    13  annually  make available to the public a review of the agency's perform-
    14  ance in meeting the home care needs of the community, providing  charity
    15  care  services, and improving access to home care services by the under-
    16  served.
    17    (iv) The governing body of the certified home health agency shall file
    18  with the commissioner its  mission  statement,  its  annual  performance
    19  review,  and at least every three years a report detailing amendments to
    20  the statement reflecting changes in the agency's operational and  finan-
    21  cial commitment to meeting the home care needs of the community, provid-
    22  ing charity care services, and improving access to home care services by
    23  the underserved.

    24    (v)  The  commissioner  shall  promulgate  regulations  establishing a
    25  revised percentage for the charity care requirement.
    26    § 25. Intentionally omitted.
    27    § 26. Intentionally omitted.
    28    § 27. Intentionally omitted.
    29    § 28. Intentionally omitted.
    30    § 29. The social services law is amended by adding a new section 367-w
    31  to read as follows:
    32    § 367-w. Regional long-term care assessment centers. 1.  Notwithstand-
    33  ing any provision of law to the contrary, the department  of  health  is
    34  authorized  to  establish  a demonstration program, which shall be three
    35  years in duration, under which the department shall designate two  long-
    36  term care assessment centers, the first of which shall be established in

    37  a  county  within  the  city of New York and the second of which will be
    38  established in another region consisting of one or more contiguous coun-
    39  ties elsewhere in the state. Such centers shall  serve  the  purpose  of
    40  transferring from the social services district to the regional long-term
    41  care  assessment  centers  responsibility  for activities related to the
    42  assessment of a person's need for, and the authorization  of,  long-term
    43  care  services  and  programs  identified in subdivisions two, three and
    44  four of this section. The department is authorized to contract with  one
    45  or more entities to operate regional long-term care assessment centers.
    46    2. The regional long-term care assessment centers shall have responsi-

    47  bility  for  assessment  of long-term care needs of an applicant for, or
    48  recipient of, medical assistance and for authorization of  services  and
    49  participation  in  programs including: personal care services, including
    50  personal emergency response services, under paragraph (e) of subdivision
    51  two of section three hundred sixty-five-a of  this  title;  consumer-di-
    52  rected  personal  assistance services under section three hundred sixty-
    53  five-f of this title; the assisted living  program  under  section  four
    54  hundred  sixty-one-l of this chapter; and participation in the long-term
    55  home health care program under section three  hundred  sixty-seven-c  of
    56  this  title  and section thirty-six hundred sixteen of the public health


        S. 58--B                           126                         A. 158--B
 
     1  law, including the AIDS  home  care  program  under  the  provisions  of
     2  section three hundred sixty-seven-e of this title and section thirty-six
     3  hundred twenty of the public health law.
     4    3. Notwithstanding any provision of section forty-four hundred three-f
     5  of  the  public  health law to the contrary, the regional long-term care
     6  assessment center shall have responsibility for reviewing assessments to
     7  verify that an individual requires a nursing home  level  of  care  and,
     8  after  confirming  that  an  enrollment  is  voluntary,  for authorizing
     9  participation in a managed long-term care plan or  an  approved  managed

    10  long-term  care  demonstration under paragraph (o) of subdivision two of
    11  section three hundred sixty-five-a of this title.
    12    4. The regional long-term care assessment centers shall have responsi-
    13  bility for reviewing documentation  from  a  person's  physician  and  a
    14  certified  home health agency and for making the determination as to the
    15  continuing need for home health services authorized under paragraph  (d)
    16  of  subdivision  two of section three hundred sixty-five-a of this title
    17  beyond sixty days.
    18    5. This section shall apply to  those  consumers  who  apply  for  the
    19  services  specified  in  this  section on and after the later of January
    20  first, two thousand ten or the date specified in  the  contract  between

    21  the  department  and the entity selected to be a regional long-term care
    22  assessment center.
    23    6. When a long-term care assessment center  is  authorized  to  assess
    24  long-term  care needs or authorize services pursuant to this section, an
    25  applicant or recipient may challenge any action taken or failure to  act
    26  in connection therewith as if such assessment or authorization were made
    27  by  a  government  entity,  and  shall  be  entitled to the same medical
    28  assistance benefits and standards and to the same notice and  procedural
    29  due process rights, including a right to a fair hearing and aid continu-
    30  ing pursuant to section twenty-two of this chapter, as if the assessment
    31  or authorization were made by a government entity.

    32    7.  The commissioner of health shall submit a report biannually to the
    33  governor, temporary president of the senate, speaker of the assembly and
    34  the minority leaders of the senate and the assembly. Such  report  shall
    35  also  be  posted on the department's website. Such report shall include,
    36  but not be limited to, an assessment of the project, an analysis of  the
    37  level  and  costs  of  services  managed  under the contracts, recipient
    38  satisfaction and other matters as may be  pertinent.  In  addition,  the
    39  commissioner  shall convene an annual meeting of stakeholders to discuss
    40  implementation of the demonstration program established pursuant to this
    41  section.
    42    § 30. Intentionally omitted.
    43    § 31. Intentionally omitted.

    44    § 32. Intentionally omitted.
    45    § 33. Intentionally omitted.
    46    § 34. Intentionally omitted.
    47    § 35. Intentionally omitted.
    48    § 36. Intentionally omitted.
    49    § 37. Paragraph (a) of subdivision 1 of section 367-f  of  the  social
    50  services  law,  as  amended by section 51 of part C of chapter 58 of the
    51  laws of 2005, is amended to read as follows:
    52    (a) "Medicaid extended coverage" shall mean  eligibility  for  medical
    53  assistance  (i)  without  regard to the resource requirements of section
    54  three hundred sixty-six of this title, or in the case of  an  individual
    55  covered  under  an insurance policy or certificate described in subdivi-
    56  sion two of this section that provided a residential health care facili-

        S. 58--B                           127                         A. 158--B
 

     1  ty benefit less than three years in duration, without  consideration  of
     2  an  amount  of resources equivalent to the value of benefits received by
     3  the individual under such policy or certificate, as determined under the
     4  rules of the partnership for long-term care program[, and]; (ii) without
     5  regard  to  the recovery of medical assistance from the estates of indi-
     6  viduals and the imposition of liens on the homes of persons pursuant  to
     7  section  three  hundred  sixty-nine  of  this  title,  with  respect  to
     8  resources exempt from consideration pursuant to subparagraph (i) of this
     9  paragraph; provided, however, that  nothing  [herein]  in  this  section
    10  shall  prevent  the imposition of a lien or recovery against property of
    11  an individual on account of medical  assistance  incorrectly  paid;  and

    12  (iii)  based on an income eligibility standard for married couples equal
    13  to the amount of the minimum monthly maintenance needs allowance defined
    14  in paragraph (h) of subdivision two of section three hundred sixty-six-c
    15  of this title, and for single individuals  equal  to  one-half  of  such
    16  amount;  provided, however, that the commissioner of health shall not be
    17  required to implement the provisions of this subparagraph if the use  of
    18  such  income  eligibility  standards  will  result  in a loss of federal
    19  financial participation in  the  costs  of  Medicaid  extended  coverage
    20  furnished  in  accordance  with subparagraphs (i) and (ii) of this para-
    21  graph.
    22    § 38. Subdivision 1 and the opening  paragraph  of  subdivision  2  of

    23  section  365-f  of  the  social  services law, subdivision 1 as added by
    24  chapter 81 of the laws of 1995, the opening paragraph of  subdivision  2
    25  as  amended  by  chapter 474 of the laws of 1996, are amended to read as
    26  follows:
    27    1. Purpose and  intent.  The  consumer  directed  personal  assistance
    28  program is intended to permit chronically ill and/or physically disabled
    29  individuals  receiving  home  care services under the medical assistance
    30  program greater flexibility and freedom  of  choice  in  obtaining  such
    31  services.  The  department  shall[,  upon  request  of a social services
    32  district or group of  districts,]  regularly  monitor  district  partic-
    33  ipation  in  the program by reviewing the implementation plans submitted
    34  pursuant to this section. The department shall provide guidance  to  the

    35  districts  to  improve  compliance with implementation plans and promote
    36  consistency among counties regarding approved service  levels  based  on
    37  the  assessments  required  by this section. In addition, the department
    38  shall provide technical assistance and such other assistance as  may  be
    39  necessary to assist such districts in assuring access to the program for
    40  eligible individuals.
    41    All  eligible individuals receiving home care shall be provided notice
    42  of the availability of the program, and no less frequently than annually
    43  thereafter, and shall have the opportunity to apply for participation in
    44  the program. [On or before October first,  nineteen  hundred  ninety-six
    45  each]  Each  social  services district shall file an implementation plan

    46  with the commissioner of  the  department  of  health,  which  shall  be
    47  updated annually. Such updates shall be submitted no later than November
    48  thirtieth  of each year. Beginning on June thirtieth, two thousand nine,
    49  the plans and updates submitted by districts shall require the  approval
    50  of  the  department. Implementation plans shall include district enroll-
    51  ment targets, describe methods for the provision of notice  and  assist-
    52  ance  to  interested individuals eligible for enrollment in the program,
    53  and shall contain such other information as shall  be  required  by  the
    54  department.  An "eligible individual", for purposes of this section is a
    55  person who:

        S. 58--B                           128                         A. 158--B
 

     1    § 39. Section 2807-x of the public health law, as added by  section  6
     2  of  part  D  of chapter 58 of the laws of 2004, the opening paragraph of
     3  subdivision 1 as amended by chapter 745 of the laws of 2004, is  amended
     4  to read as follows:
     5    §  2807-x.  Grants  for  long term care demonstration projects. 1. The
     6  commissioner shall  establish  [two]  three  demonstration  projects  to
     7  develop,  evaluate  and  implement  programs  to test new models for the
     8  organization and delivery of long term care services to encourage commu-
     9  nity based programs and smaller residential health care models in  order
    10  to  promote  consumer choice, improve the efficiency and appropriateness
    11  of the use of state and federal resources and  ensure  the  recruitment,
    12  retention and training of health care staff to adequately meet the needs

    13  of  a  community  and residential long term care system. Notwithstanding
    14  the provisions of section one hundred twelve of the state finance law or
    15  any other inconsistent provision of the state finance law or  any  other
    16  law,  funds  available  for distribution pursuant to this section may be
    17  allocated and distributed by the commissioner without a competitive  bid
    18  or request for proposal process.
    19    (a) The following factors shall be considered in approving each demon-
    20  stration project respectively:
    21    (i)  Residential  health care demonstration project. (A) the extent to
    22  which there is a reduction in the need for skilled nursing  beds  for  a
    23  facility that is eligible to replace its existing skilled nursing facil-
    24  ity;  (B)  the  potential to design and develop more appropriate smaller
    25  residential health care facilities as an  alternative  to  replacing  an

    26  existing  skilled nursing facility; (C) the extent to which the quality,
    27  efficiency and continuity of care will be promoted and provided  for  by
    28  the  development of integrated long-term care services in the community;
    29  (D) the extent to which the project will provide training to health care
    30  workers to appropriately staff new community based models of  long  term
    31  care;  (E)  demonstrate  the involvement and support of workforce in the
    32  program redesign; (F) the development of a new long-term care reimburse-
    33  ment methodology that encourages care in the least  restrictive  setting
    34  and  adequately reflects the resources needed to serve consumers in each
    35  level of long term care; (G) and the incorporation of a research  compo-
    36  nent designed to evaluate the project.
    37    (ii)  Community  based  care  demonstration project. (A) the extent to

    38  which there is a reduction in the need for skilled nursing facility beds
    39  on a countywide basis; (B) the development of a  new  system  to  inform
    40  recently  admitted residents of skilled nursing facilities of the avail-
    41  ability of community long-term care options; (C) the extent to which the
    42  discharge planning program from skilled nursing facilities will  inform,
    43  assist  and  maximize  freedom of choice to consumers who choose to move
    44  back to the community; (D) the extent to which the project will  develop
    45  community  based  long  term  care  services,  including funding for the
    46  recruitment and retention of direct care health care  workers  necessary
    47  to  increase  community  based  services;  (E)  the  extent to which the
    48  project will provide training to health care staff; and (F) the incorpo-
    49  ration of a research component designed to evaluate the projects.

    50    (iii) Managed long term care  project.  (A)  the  extent  to  which  a
    51  current  operator  of skilled nursing facilities possesses the necessary
    52  authorizations through a related entity to assume risk and receive capi-
    53  tated payments, pursuant to titles 18 and 19 of the federal social secu-
    54  rity act, for the purpose of providing and arranging  for  the  care  of
    55  individuals  eligible  for  admission to a skilled nursing facility, (B)
    56  the extent to which such services to individuals eligible  for  benefits

        S. 58--B                           129                         A. 158--B
 
     1  pursuant  to  both  titles  18 and 19 of the federal social security act
     2  will be provided through the capitated rate, (C) the extent to which the

     3  quality, efficiency and continuity of care will be promoted and provided
     4  for  by  the  development  of  integrated long-term care services in the
     5  community, (D) the extent to which the project sponsor will directly  or
     6  indirectly in association with a joint labor management program, provide
     7  for  training  of  health  care workers to appropriately staff community
     8  based models of long-term care; and (E) the incorporation of a  research
     9  component  designed  to evaluate the project, with specific reference to
    10  the determination of cost savings to  the  state,  the  quality  of  and
    11  satisfaction  with services provided to consumers and their families and
    12  the satisfaction of direct care workers, with a report of the  project's

    13  progress and findings submitted annually to the commissioner.
    14    2.  The  commissioner  is  authorized  to waive, modify or suspend the
    15  respective provisions of rules and regulations promulgated  pursuant  to
    16  this  chapter  if the commissioner determines that such waiver is neces-
    17  sary or appropriate for the successful implementation of a demonstration
    18  project and when the health, safety,  and  general  welfare  of  persons
    19  receiving services under such demonstration project will not be impaired
    20  as  a result of such waiver, modification or suspension, provided howev-
    21  er, that for the managed long term care project pursuant to subparagraph
    22  (iii) of paragraph (a) of subdivision one of this  section,  the  method
    23  for  setting the capitated rate of payment under title 19 of the federal

    24  social security act shall be consistent with the  method  used  for  all
    25  managed  long  term  care  plans  authorized  under subdivision eight of
    26  section forty-four hundred three-f of the public health law.
    27    3. The commissioner is authorized to seek federal waivers pursuant  to
    28  titles  XVIII and XIX of the federal social security act when such waiv-
    29  ers are necessary to develop cost-effective long term care demonstration
    30  projects.
    31    § 40. Subdivision 6-a of section 93 of part C of  chapter  58  of  the
    32  laws  of 2007 amending the social services law and the public health law
    33  relating to adjustments of rates, is amended to read as follows:
    34    6-a. section fifty-seven of  this  act  shall  expire  and  be  deemed

    35  repealed  on  [March] December 31, [2010] 2013; provided that the amend-
    36  ments made by such section to subdivision 4  of  section  366-c  of  the
    37  social  services law shall apply with respect to determining initial and
    38  continuing eligibility for medical assistance, including  the  continued
    39  eligibility  of  recipients  originally determined eligible prior to the
    40  effective date of this act, and provided further  that  such  amendments
    41  shall  not apply to any person [as to whom] or group of persons if it is
    42  subsequently  determined  by  the  Centers  for  Medicare  and  Medicaid
    43  services or by a court of competent jurisdiction that medical assistance

    44  with  federal  financial  participation  is  available  for the costs of
    45  services provided to such person or  persons  under  the  provisions  of
    46  subdivision  4  of  section  366-c  of the social services law in effect
    47  immediately prior to the effective date of this act.
    48    § 41. Subdivision (m-1) of section 79 of part C of chapter 58  of  the
    49  laws  of 2008 amending the social services law and the public health law
    50  relating to adjustments of rates, is amended to read as follows:
    51    (m-1) the amendments made by section fifty-two of this act to subdivi-
    52  sion 4 of section 366-c of the social services  law  shall  [not]  apply
    53  with  respect  to  determining  initial  and  continuing eligibility for
    54  medical assistance, including the continued  eligibility  of  recipients

    55  originally  determined eligible prior to the effective date of this act;
    56  and provided further that such amendments shall not apply to any  person

        S. 58--B                           130                         A. 158--B
 
     1  [as to whom] or group of persons if it is subsequently determined by the
     2  Centers of Medicare and Medicaid services or by a court competent juris-
     3  diction  that medical assistance with federal financial participation is
     4  available  for  the costs of services provided to such person or persons
     5  under the provisions of subdivision 4 of section  366-c  of  the  social
     6  services  law  in effect immediately prior to the effective date of this
     7  act;
     8    § 42. The closing paragraph of subdivision 4 of section 366-c  of  the

     9  social services law, as amended by section 52 of part C of chapter 58 of
    10  the laws of 2008, is amended to read as follows:
    11  provided,  however,  that,  to  the  extent required by federal law, the
    12  terms of this subdivision shall not apply to persons who  are  receiving
    13  care,  services  and  supplies  pursuant  to the following waivers under
    14  section 1915(c) of the federal social security act: the nursing facility
    15  transition and diversion waiver authorized pursuant to subdivision six-a
    16  of section three hundred sixty-six of this title;  [and]  the  traumatic
    17  brain  injury waiver authorized pursuant to section twenty-seven hundred
    18  forty of the public health law, the long term home health  care  program
    19  waiver  authorized  pursuant  to  section three hundred sixty-seven-c of

    20  this title, and the home and community based services waiver for persons
    21  with developmental disabilities administered by  the  office  of  mental
    22  retardation and developmental disabilities pursuant to an agreement with
    23  the federal centers for medicare and Medicaid services.
    24    §  43.  Notwithstanding  any inconsistent provisions of section 112 or
    25  section 163 of the state finance  law,  section  2808-d  of  the  public
    26  health law, or any other provision of law or regulation to the contrary,
    27  with  regard  to  funds previously awarded by the commissioner of health
    28  pursuant to section 2808-d of  the  public  health  law  to  residential
    29  health  care facilities that provide extensive nursing, medical, psycho-
    30  logical and counseling support services to children and  that  have  not

    31  yet  been  spent,  the commissioner of health may, with the agreement of
    32  such facilities, authorize in writing the expenditure  of  such  unspent
    33  funds  for  the alternative purpose of improving the work environment of
    34  such facilities, including through building improvement  or  replacement
    35  facilities, in such manner as the commissioner of health deems appropri-
    36  ate.
    37    §  44.    Notwithstanding  any  inconsistent provision of law, rule or
    38  regulation, for purposes of implementing the provisions  of  the  public
    39  health law and the social services law, references to titles XIX and XXI
    40  of  the  federal  social  security  act in the public health law and the
    41  social services law shall be deemed to include  and  also  to  mean  any
    42  successor titles thereto under the federal social security act.
    43    § 45. Notwithstanding any inconsistent provision of law, rule or regu-

    44  lation,  the  effectiveness of subdivisions 4, 7, 7-a and 7-b of section
    45  2807 of the public health law and section 18 of chapter 2 of the laws of
    46  1988, as they relate to time frames  for  notice,  approval  or  certif-
    47  ication  of  rates  of  payment,  are  hereby  suspended  and shall, for
    48  purposes of implementing the provisions of this act, be deemed  to  have
    49  been  without  any  force  or effect from and after November 1, 2007 for
    50  such rates effective for the period January 1, 2008 through December 31,
    51  2008.
    52    § 46. Severability clause. If any clause, sentence, paragraph,  subdi-
    53  vision,  section  or  part of this act shall be adjudged by any court of
    54  competent jurisdiction to be invalid, such judgment  shall  not  affect,
    55  impair or invalidate the remainder thereof, but shall be confined in its
    56  operation  to  the  clause, sentence, paragraph, subdivision, section or

        S. 58--B                           131                         A. 158--B
 
     1  part thereof directly involved in the controversy in which such judgment
     2  shall have been rendered. It is hereby declared to be the intent of  the
     3  legislature  that  this act would have been enacted even if such invalid
     4  provisions had not been included herein.
     5    §  47. This act shall take effect on April 1, 2009; provided, however,
     6  that:
     7    1. Intentionally omitted.
     8    2. any rules or regulations necessary to implement the  provisions  of
     9  this  act  may be promulgated and any procedures, forms, or instructions
    10  necessary for such implementation may be adopted and issued on or  after
    11  the date this act shall have become a law;
    12    3. this act shall not be construed to alter, change, affect, impair or

    13  defeat any rights, obligations, duties or interests accrued, incurred or
    14  conferred prior to the effective date of this act;
    15    4.  the commissioner of health and the superintendent of insurance and
    16  any appropriate council may take any steps necessary to  implement  this
    17  act prior to its effective date;
    18    5. notwithstanding any inconsistent provision of the state administra-
    19  tive  procedure  act  or any other provision of law, rule or regulation,
    20  the commissioner of health and the superintendent of insurance  and  any
    21  appropriate  council is authorized to adopt or amend or promulgate on an
    22  emergency basis any regulation he or  she  or  such  council  determines
    23  necessary to implement any provision of this act on its effective date;
    24    6.  the  provisions of this act shall become effective notwithstanding
    25  the failure of the commissioner  of  health  or  the  superintendent  of

    26  insurance  or  any  council  to adopt or amend or promulgate regulations
    27  implementing this act;
    28    7. Intentionally omitted.
    29    8. Intentionally omitted.
    30    9. the amendments to subdivision 5  of  section  3614  of  the  public
    31  health  law  made  by  sections twenty-three and twenty-four of this act
    32  shall not affect the expiration of such  subdivision  and  shall  expire
    33  therewith;
    34    10. Intentionally omitted.
    35    11. Intentionally omitted.
    36    12.  the  amendments  to  the  closing  paragraph  of subdivision 4 of
    37  section 366-c of the social services law made by  section  forty-two  of
    38  this  act  shall not affect the expiration of such subdivision and shall
    39  be deemed expired therewith; provided, further, that the  amendments  to
    40  the  closing  paragraph  of subdivision 4 of section 366-c of the social

    41  services law made by section forty-two of  this  act  shall  apply  with
    42  respect  to  determining  initial and continuing eligibility for medical
    43  assistance, including the continued eligibility of recipients originally
    44  determined eligible prior  to  the  effective  date  of  this  act;  and
    45  provided  further  that  such  changes  shall not apply to any person or
    46  group of persons if it is subsequently determined  by  the  Centers  for
    47  Medicare and Medicaid services or a court of competent jurisdiction that
    48  medical assistance with federal financial participation is available for
    49  the  cost  of  services  provided  to  such  person or persons under the
    50  provisions of subdivision 4 of section 366-c of the social services  law
    51  in effect immediately prior to the effective date of this act.
 
    52                                   PART E
 
    53    Intentionally omitted.

        S. 58--B                           132                         A. 158--B
 
     1                                   PART F
 
     2    Section  1.  (a)  Notwithstanding the provisions of subdivision (e) of
     3  section 7.17 or section 41.55 of the mental hygiene law,  or  any  other
     4  law  to the contrary, the office of mental health is authorized in state
     5  fiscal year 2009-10 to reduce inpatient capacity in the aggregate by  no
     6  more  than 450 beds, through closure of wards not to exceed 150 beds, or
     7  through conversion of such  beds  to  transitional  placement  programs,
     8  provided,  however, that nothing in this section shall be interpreted as
     9  restricting the ability of the office of mental health to  reduce  inpa-
    10  tient  bed  capacity  beyond  450 beds in state fiscal year 2009-10, but
    11  such reductions shall be subject to the provisions of subdivision (e) of

    12  section 7.17 and section 41.55 of the mental hygiene law. Determinations
    13  concerning the closure of such wards in fiscal  year  2009-10  shall  be
    14  made  by  the office of mental health based on data related to inpatient
    15  census, indicating nonutilization or under utilization of beds, and  the
    16  efficient operation of facilities. Determinations concerning the conver-
    17  sion  of  such  wards  to transitional placement programs in fiscal year
    18  2009-10 shall be made by the office of  mental  health  based  upon  the
    19  identification  of patients who have received inpatient care and who are
    20  clinically determined to be appropriate for a less restrictive level  of
    21  mental  health  treatment.    The  office of mental health shall provide
    22  notice to the legislature as soon as possible, but  no  later  than  two
    23  weeks  prior  to the anticipated closure or conversion of wards pursuant
    24  to this act.

    25    (b) For the purposes of this act,  the  term  "transitional  placement
    26  program"  shall  be defined to include, but not limited to, a supervised
    27  residential program that provides  outpatient  services,  treatment  and
    28  training,  and  which  supports the transition of patients to more inte-
    29  grated community settings.
    30    § 2. This act shall take effect immediately and  shall  be  deemed  to
    31  have been in full force and effect on and after April 1, 2009.
 
    32                                   PART G
 
    33    Intentionally omitted.
 
    34                                   PART H
 
    35    Section 1. Subdivision (k) of section 10.06 of the mental hygiene law,
    36  as  added  by  chapter  7  of  the  laws  of 2007, is amended to read as
    37  follows:
    38    (k) At the conclusion of the hearing, the court shall determine wheth-
    39  er there is probable cause to believe  that  the  respondent  is  a  sex

    40  offender requiring civil management. If the court determines that proba-
    41  ble  cause  has  not  been  established,  the court shall issue an order
    42  dismissing the petition,  and  the  respondent's  release  shall  be  in
    43  accordance  with other applicable provisions of law. If the court deter-
    44  mines that probable cause has been  established:  (i)  the  court  shall
    45  order  that  the  respondent be committed to a secure treatment facility
    46  designated by the commissioner for care, treatment and control upon  his
    47  or her release, provided, however, that a respondent who otherwise would
    48  be required to be transferred to a secure treatment facility may, upon a
    49  written consent signed by the respondent and his or her counsel, consent
    50  to  remain  in  the  custody  of the department of correctional services

    51  pending the outcome of the proceedings under this article, and that such

        S. 58--B                           133                         A. 158--B
 
     1  consent may be revoked in writing at any time; (ii) the court shall  set
     2  a  date for trial in accordance with subdivision (a) of section 10.07 of
     3  this article; and (iii) the respondent shall not be released pending the
     4  completion of such trial.
     5    §  2.  This  act  shall take effect immediately and shall be deemed to
     6  have been in full force and effect on and after April 1, 2009.
 
     7                                   PART I
 
     8    Intentionally omitted.
 
     9                                   PART J
 
    10    Section 1. Subdivision (b) of section 13.17 of the mental hygiene law,
    11  as amended by section 1 of part N of chapter 57 of the laws of 2000,  is
    12  amended to read as follows:

    13    (b)  There  shall  be  in  the  office  the developmental disabilities
    14  services offices named below  serving  the  areas  either  currently  or
    15  previously served by a school, for the care and treatment of the mental-
    16  ly  retarded  and developmentally disabled and for research and teaching
    17  in the science and skills required for the care and  treatment  of  such
    18  mentally retarded and developmentally disabled:
    19    Bernard M. Fineson Developmental Disabilities Services Office
    20    Brooklyn Developmental Disabilities Services Office
    21    Broome Developmental Disabilities Services Office
    22    Capital District Developmental Disabilities Services Office
    23    Central New York Developmental Disabilities Services Office
    24    Finger Lakes Developmental Disabilities Services Office
    25    Institute for Basic Research in Developmental Disabilities
    26    Hudson Valley Developmental Disabilities Services Office

    27    Metro New York Developmental Disabilities Services Office
    28    Long Island Developmental Disabilities Services Office
    29    Sunmount Developmental Disabilities Services Office
    30    Taconic Developmental Disabilities Services Office
    31    Western New York Developmental Disabilities Services Office
    32    Staten Island Developmental Disabilities Services Office
    33    [Valley Ridge Center for Intensive Treatment]
    34    The New York State Institute for Basic Research in Developmental Disa-
    35  bilities  is  designated  as  an  institute  for  the conduct of medical
    36  research and other scientific investigation directed towards  furthering
    37  knowledge of the etiology, diagnosis, treatment and prevention of mental
    38  retardation and developmental disabilities.
    39    §  2.  Notwithstanding any other provision of law to the contrary, the

    40  commissioner of the office of mental retardation and developmental disa-
    41  bilities is authorized to consolidate the Valley Ridge Center for Inten-
    42  sive Treatment and the Broome Developmental Disabilities Services Office
    43  for the purposes of administrative efficiencies, provided, however, that
    44  the state shall continue to operate an intensive treatment  facility  at
    45  the  Valley  Ridge  site.  The consolidated entity shall be known as the
    46  Broome Developmental Disabilities Services Office.
    47    § 3. This act shall take effect immediately and  shall  be  deemed  to
    48  have been in full force and effect on and after April 1, 2009.
 
    49                                   PART K

        S. 58--B                           134                         A. 158--B
 
     1    Section 1. Subdivision (f) of section 19.17 of the mental hygiene law,

     2  as amended by section 3 of part E of chapter 405 of the laws of 1999, is
     3  amended to read as follows:
     4    (f)  There  shall  be in the office the facilities named below for the
     5  care, treatment and rehabilitation of  the  mentally  disabled  and  for
     6  clinical  research  and  teaching in the science and skills required for
     7  the care, treatment and rehabilitation of such mentally disabled.
     8    R.E. Blaisdell Addiction Treatment Center
     9    Bronx Addiction Treatment Center
    10    C.K. Post Addiction Treatment Center
    11    Creedmoor Addiction Treatment Center
    12    Dick Van Dyke Addiction Treatment Center
    13    Kingsboro Addiction Treatment Center
    14    [Manhattan Addiction Treatment Center]
    15    McPike Addiction Treatment Center
    16    Richard C. Ward Addiction Treatment Center
    17    J.L. Norris Addiction Treatment Center
    18    South Beach Addiction Treatment Center

    19    St. Lawrence Addiction Treatment Center
    20    Stutzman Addiction Treatment Center
    21    § 2. This act shall take effect immediately and  shall  be  deemed  to
    22  have been in full force and effect on and after April 1, 2009.
 
    23                                   PART L
 
    24    Section 1. Subdivision 3-b of section 1 of part C of chapter 57 of the
    25  laws  of  2006,  establishing a cost of living adjustment for designated
    26  human services programs, as added by section 2 of part I of  chapter  58
    27  of  the  laws  of 2008, is amended and a new subdivision 3-b is added to
    28  read as follows:
    29    3-b. Notwithstanding any  inconsistent  provision  of  law,  beginning
    30  April  1,  2009  and  ending March 31, 2010, the commissioners shall not
    31  include a COLA for  the  purpose  of  establishing  rates  of  payments,

    32  contracts or any other form of reimbursement.
    33    [3-b]  3-c.  Notwithstanding any inconsistent provision of law, begin-
    34  ning April 1, [2009] 2010 and ending March 31, [2012] 2013, the  commis-
    35  sioners  shall develop the COLA under this section using the actual U.S.
    36  consumer price index for all urban consumers (CPI-U)  published  by  the
    37  United  States  department  of labor, bureau of labor statistics for the
    38  twelve month period ending in July of the  budget  year  prior  to  such
    39  state  fiscal  year,  for the purpose of establishing rates of payments,
    40  contracts or any other form of reimbursement.
    41    § 2. This act shall take effect immediately and  shall  be  deemed  to
    42  have been in full force and effect on and after April 1, 2009; provided,

    43  however, that the amendments to section 1 of part C of chapter 57 of the
    44  laws  of  2006,  made  by  section  one of this act shall not affect the
    45  repeal of such section and shall be deemed repealed therewith.
 
    46                                   PART M
 
    47    Intentionally omitted.
 
    48                                   PART N
 
    49    Section 1. Section 3 of chapter 119 of the laws  of  1997  authorizing
    50  the department of health to establish certain payments to general hospi-

        S. 58--B                           135                         A. 158--B
 
     1  tals,  as  amended  by  section 1 of part H of chapter 57 of the laws of
     2  2006, is amended to read as follows:
     3    §  3.  This  act  shall take effect immediately and shall be deemed to
     4  have been in full force and effect on and after April 1, 1997.  This act

     5  shall expire April 1, [2009] 2012.
     6    § 2. This act shall take effect immediately and  shall  be  deemed  to
     7  have been in full force and effect on and after April 1, 2009.
 
     8                                   PART O
 
     9    Section  1. The commissioner of mental health and the city of New York
    10  are hereby authorized to extend, for a period not exceeding fifty years,
    11  the lease of certain portions of Ward's Island authorized by  chapter  2
    12  of  the  laws  of  1896,  as amended by chapter 380 of the laws of 1900,
    13  chapter 139 of the laws of 1908, chapter 696 of the laws of 1913,  chap-
    14  ter  101 of the laws of 1952, chapter 491 of the laws of 1952, and chap-
    15  ter 524 of the laws of 1962 for the purposes of the Manhattan  psychiat-
    16  ric  center,  the Kirby forensic psychiatric center and the promotion of
    17  the public health, welfare and safety.

    18    § 2. Section 18-130 of the administrative code of the city of New York
    19  is amended by adding a new subdivision g to read as follows:
    20    g. Notwithstanding the provisions of subdivisions b, c, d, e, and f of
    21  this section, in order that the state  may  reconstruct,  modernize  and
    22  rebuild  some  or  all  of the buildings and facilities of the Manhattan
    23  psychiatric center and the Kirby forensic psychiatric center  on  Ward's
    24  Island, and continue to maintain said hospitals, so as to furnish modern
    25  facilities for treatment and care of patients with mental illness of the
    26  metropolitan  district  and to benefit the health, welfare and safety of
    27  its residents, the city of New York is hereby authorized to  enter  into

    28  an  agreement for the renewal or further extension of the lease executed
    29  between the city of New York and the state of New York pursuant  to  the
    30  provisions  of  chapter  one hundred one of the laws of nineteen hundred
    31  fifty-two and chapter five hundred twenty-four of the laws  of  nineteen
    32  hundred  sixty-two,  for  a  period not exceeding fifty years beyond its
    33  present termination date with respect to any of the lands  now  occupied
    34  by  or  used  in  connection  with the Manhattan psychiatric center, the
    35  Kirby forensic psychiatric center  and  related  programs.  Neither  the
    36  provisions  of  section  one hundred ninety-seven-c of the New York city
    37  charter, relating to a  uniform  land  use  review  procedure,  nor  the

    38  provisions  of any other local law of like or similar import shall apply
    39  to the renewal or extension of said lease.
    40    § 3. This act shall take effect immediately and  shall  be  deemed  to
    41  have been in full force and effect on and after April 1, 2009.
 
    42                                   PART P
 
    43    Intentionally omitted.
 
    44                                   PART Q
 
    45    Intentionally omitted.
 
    46                                   PART R

        S. 58--B                           136                         A. 158--B
 
     1    Section  1.  Paragraph  (d)  of  subdivision 5 of section 366-a of the
     2  social services law, as amended by section 49 of part C of chapter 58 of
     3  the laws of 2008, is amended to read as follows:
     4    (d)  In  order  to establish place of residence and income eligibility

     5  under this title at recertification, a  recipient  of  assistance  under
     6  this  title  shall  attest  to place of residence and to all information
     7  regarding the household's income that is  necessary  and  sufficient  to
     8  determine such eligibility; provided, however, that this paragraph shall
     9  not  apply  to persons described in subparagraph two of paragraph (a) of
    10  subdivision one of section three hundred sixty-six of this title, or  to
    11  persons  receiving  long term care services, as defined in paragraph (b)
    12  of subdivision two of this section; and provided, further, that  a  non-
    13  applying legally responsible relative recertifying on behalf of a recip-
    14  ient  of  assistance  who  is under the age of twenty-one years shall be
    15  permitted to attest to household income under this paragraph only if the
    16  social  security  numbers  of  all  legally  responsible  relatives  are

    17  provided  to the district.  Provided, however, for purposes of recertif-
    18  ication for assistance under this title  for  a  recipient  of  medicaid
    19  waiver  services provided or authorized by the office of mental retarda-
    20  tion and developmental  disabilities,  beginning  on  or  after  January
    21  first,  two thousand ten, such recipient may be permitted, as determined
    22  by the commissioner of health, to attest to place of  residence  and  to
    23  all  information  regarding the household's income and/or resources that
    24  are necessary to determine such eligibility.
    25    § 2. This act shall take effect immediately, and  be  deemed  to  have
    26  been in full force and effect on and after April 1, 2009.
    27    § 2. Severability clause. If any clause, sentence, paragraph, subdivi-

    28  sion,  section  or  part  of  this act shall be adjudged by any court of
    29  competent jurisdiction to be invalid, such judgment  shall  not  affect,
    30  impair,  or  invalidate  the remainder thereof, but shall be confined in
    31  its operation to the clause, sentence, paragraph,  subdivision,  section
    32  or part thereof directly involved in the controversy in which such judg-
    33  ment shall have been rendered. It is hereby declared to be the intent of
    34  the  legislature  that  this  act  would  have been enacted even if such
    35  invalid provisions had not been included herein.
    36    § 3. This act shall take effect immediately  provided,  however,  that
    37  the  applicable effective date of Parts A through R of this act shall be
    38  as specifically set forth in the last section of such Parts.
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