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A07013 Summary:

BILL NOA07013B
 
SAME ASSAME AS S07052-A
 
SPONSORPaulin
 
COSPNSRWeprin, Reyes, Lunsford, Tapia, Seawright, Gonzalez-Rojas, McDonald, Kelles
 
MLTSPNSR
 
Amd §3614, Pub Health L
 
Relates to the rates of payment for certified home health agencies.
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A07013 Actions:

BILL NOA07013B
 
03/18/2025referred to health
03/19/2025amend and recommit to health
03/19/2025print number 7013a
05/28/2025amend and recommit to health
05/28/2025print number 7013b
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A07013 Memo:

NEW YORK STATE ASSEMBLY
MEMORANDUM IN SUPPORT OF LEGISLATION
submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A7013B
 
SPONSOR: Paulin
  TITLE OF BILL: An act to amend the public health law, in relation to rates of payment for certified home health agencies   PURPOSE: The bill would authorize and direct the Commissioner of Health to notify health plans about the Episodic payment system (EPS) for CHHA services. This should help create more CHHA capacity, better enabling hospitals to safely discharge patients.   SUMMARY OF PROVISIONS: Section 1: Makes EPS available to Medicaid managed care, Child Health Plus, and Essential Plans, enabling these plans recognize EPS as the standard payment method while still allowing alternative payment models. The Commissioner will also be required to notify managed care plans of their responsibility to ensure enrolled members have access to certified home health agency services. Section 2: Establishes an immediate effective date.   JUSTIFICATION: CHHAs provide vital post-acute care but currently face financial strain, leading to many closures and reduced patient access. Since 2019: 20+ CHHAs have closed. According to Center for Medicare and Medicaid services, Medicare CHHA admissions dropped in New York State nearly 25%. Medicaid access has also reportedly declined significantly. When compared to patients who receive CHHA services; those referred to CHHAs who do not receive services stay in hospitals longer, are more likely to be readmitted to hospitals, have higher mortality rates, and cost Medicaid more money (largely from hospital readmissions). The Episodic Payment System (EPS) has been the standard Medicaid payment for CHHAs in New York since 2012 but has not been updated despite rising costs. Additionally, managed care plans, which cover the vast majority of CHHA Medicaid patients, often underpay CHHAs due to using other ways to reimburse home health care services. CHHAs cannot afford to admit poorly reimbursed cases, resulting in fewer CHHA admissions for low-in- come patients. This bill allows the Department to modify the payment system to be responsive to current factors and provides for managed care plans to use that EPS system as a default for payment. Managed Care plans are free to implement alternative payment systems as well as the EPS.   FISCAL IMPLICATIONS: This bill has no immediate fiscal impact   EFFECTIVE DATE: Immediately.
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A07013 Text:



 
                STATE OF NEW YORK
        ________________________________________________________________________
 
                                         7013--B
 
                               2025-2026 Regular Sessions
 
                   IN ASSEMBLY
 
                                     March 18, 2025
                                       ___________
 
        Introduced   by  M.  of  A.  PAULIN,  WEPRIN,  REYES,  LUNSFORD,  TAPIA,
          SEAWRIGHT, GONZALEZ-ROJAS, McDONALD -- read once and referred  to  the
          Committee  on  Health  --  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, in relation to rates  of  payment
          for certified home health agencies
 
          The  People of the State of New York, represented in Senate and Assem-
        bly, do enact as follows:
 
     1    Section 1. Subdivision 13 of section 3614 of the public health law  is
     2  amended by adding a new paragraph (d) to read as follows:
     3    (d)  Notwithstanding  any  inconsistent  law or regulation, by October
     4  first, two thousand twenty-five and annually   thereafter,  the  commis-
     5  sioner shall make the system of episodic payments, including all pricing
     6  mechanisms,  available  to  all  Medicaid managed care plans licensed to
     7  operate in New York state, all child health insurance plans licensed  to
     8  operate  under  section  twenty-five hundred eleven of this chapter, and
     9  all Essential Plans authorized by section three hundred sixty-nine-gg of
    10  the social services law. By October first, two thousand twenty-five  and
    11  annually thereafter, the commissioner shall notify all such managed care
    12  plans of their responsibilities for ensuring that their enrolled members
    13  have access to certified home health agency services; that such services
    14  are  critical  to  improving  patient  care  and reducing overall costs,
    15  particularly costs related to avoidable hospital use; and that  episodic
    16  payments  as  described in paragraph (a) of this subdivision are consid-
    17  ered the standard method of certified home health agency payment by  New
    18  York state government agencies. Nothing in this paragraph shall preclude
    19  a  managed care plan and certified home health agency from agreeing upon
    20  an alternative rate methodology and payment rate, including  value-based
    21  payments related to health outcome measurements.
    22    § 2. This act shall take effect immediately.
 
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD10053-04-5
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