Phases out certain reimbursements for expenditures made by or on behalf of social services districts for medical assistance for needy persons, beginning with a 10% reduction for 2024, and ending with a 100% reduction for 2033, and remaining eliminated for each year thereafter.
STATE OF NEW YORK
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8648
IN SENATE
February 26, 2024
___________
Introduced by Sen. ASHBY -- read twice and ordered printed, and when
printed to be committed to the Committee on Finance
AN ACT to amend section 1 of part C of chapter 58 of the laws of 2005
relating to authorizing reimbursements for expenditures made by or on
behalf of social services districts for medical assistance for needy
persons and the administration thereof, in relation to phasing out
such reimbursements
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision (c) of section 1 of part C of chapter 58 of the
2 laws of 2005 relating to authorizing reimbursements for expenditures
3 made by or on behalf of social services districts for medical assistance
4 for needy persons and the administration thereof, is amended and twelve
5 new subdivisions (c-2), (c-3), (c-4), (c-5), (c-6), (c-7), (c-8), (c-9),
6 (c-10), (c-11), (c-12) and (c-13) are added to read as follows:
7 (c) Commencing with the calendar year beginning January 1, 2006,
8 calendar year social services district medical assistance expenditure
9 amounts for each social services district shall be calculated by multi-
10 plying the results of the calculations performed pursuant to paragraph
11 (b) of this section by a non-compounded trend factor, as follows:
12 (i) 2006 (January 1, 2006 through December 31, 2006): 3.5%;
13 (ii) 2007 (January 1, 2007 through December 31, 2007): 6.75% (3.25%
14 plus the prior year's 3.5%);
15 (iii) 2008 (January 1, 2008 through December 31, 2008): 9.75% (3%
16 plus the prior year's 6.75%);
17 (iv) 2009 (January 1, 2009 through December 31, 2009), and each
18 succeeding calendar year through December 31, 2024: prior year's trend
19 factor percentage plus 3%.
20 (c-2) Notwithstanding the provisions of section 368-a of the social
21 services law, or any other provision of law, commencing with the period
22 January 1, 2024 through December 31, 2024, calendar year social services
23 district medical assistance expenditure amounts for each social services
24 district shall be reduced by 10% from the 2023 expenditures. No less
25 than 100% of the annual savings from this medical assistance expenditure
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD14391-01-4
S. 8648 2
1 reduction, compared to the prior year medical assistance expenditure,
2 shall be used for property tax levy reductions, or property tax rebates,
3 effective in the local government's 2025 fiscal year. This section shall
4 apply only to the local governments as defined by, and subject to, the
5 provisions of section 3-c of the general municipal law and section
6 2023-a of the education law.
7 (c-3) Notwithstanding the provisions of section 368-a of the social
8 services law, or any other provision of law, commencing with the period
9 January 1, 2025 through December 31, 2025, calendar year social services
10 district medical assistance expenditure amounts for each social services
11 district shall be reduced by 20% from the 2023 expenditures. No less
12 than 100% of the annual savings from this medical assistance expenditure
13 reduction, compared to the prior year medical assistance expenditure,
14 shall be used for property tax levy reductions, or property tax rebates,
15 effective in the local government's 2026 fiscal year. This section shall
16 apply only to the local governments as defined by, and subject to, the
17 provisions of section 3-c of the general municipal law and section
18 2023-a of the education law.
19 (c-4) Notwithstanding the provisions of section 368-a of the social
20 services law, or any other provision of law, commencing with the period
21 January 1, 2026 through December 31, 2026, calendar year social services
22 district medical assistance expenditure amounts for each social services
23 district shall be reduced by 30% from the 2023 expenditures. No less
24 than 100% of the annual savings from this medical assistance expenditure
25 reduction, compared to the prior year medical assistance expenditure,
26 shall be used for property tax levy reductions, or property tax rebates,
27 effective in the local government's 2027 fiscal year. This section shall
28 apply only to the local governments as defined by, and subject to, the
29 provisions of section 3-c of the general municipal law and section
30 2023-a of the education law.
31 (c-5) Notwithstanding the provisions of section 368-a of the social
32 services law, or any other provision of law, commencing with the period
33 January 1, 2027 through December 31, 2027, calendar year social services
34 district medical assistance expenditure amounts for each social services
35 district shall be reduced by 40% from the 2023 expenditures. No less
36 than 100% of the annual savings from this medical assistance expenditure
37 reduction, compared to the prior year medical assistance expenditure,
38 shall be used for property tax levy reductions, or property tax rebates,
39 effective in the local government's 2028 fiscal year. This section shall
40 apply only to the local governments as defined by, and subject to, the
41 provisions of section 3-c of the general municipal law and section
42 2023-a of the education law.
43 (c-6) Notwithstanding the provisions of section 368-a of the social
44 services law, or any other provision of law, commencing with the period
45 January 1, 2028 through December 31, 2028, calendar year social services
46 district medical assistance expenditure amounts for each social services
47 district shall be reduced by 50% from the 2023 expenditures. No less
48 than 100% of the annual savings from this medical assistance expenditure
49 reduction, compared to the prior year medical assistance expenditure,
50 shall be used for property tax levy reductions, or property tax rebates,
51 effective in the local government's 2029 fiscal year. This section shall
52 apply only to the local governments as defined by, and subject to, the
53 provisions of section 3-c of the general municipal law and section
54 2023-a of the education law.
55 (c-7) Notwithstanding the provisions of section 368-a of the social
56 services law, or any other provision of law, commencing with the period
S. 8648 3
1 January 1, 2029 through December 31, 2029, calendar year social services
2 district medical assistance expenditure amounts for each social services
3 district shall be reduced by 60% from the 2023 expenditures. No less
4 than 100% of the annual savings from this medical assistance expenditure
5 reduction, compared to the prior year medical assistance expenditure,
6 shall be used for property tax levy reductions, or property tax rebates,
7 effective in the local government's 2030 fiscal year. This section shall
8 apply only to the local governments as defined by, and subject to, the
9 provisions of section 3-c of the general municipal law and section
10 2023-a of the education law.
11 (c-8) Notwithstanding the provisions of section 368-a of the social
12 services law, or any other provision of law, commencing with the period
13 January 1, 2030 through December 31, 2030, calendar year social services
14 district medical assistance expenditure amounts for each social services
15 district shall be reduced by 70% from the 2023 expenditures. No less
16 than 100% of the annual savings from this medical assistance expenditure
17 reduction, compared to the prior year medical assistance expenditure,
18 shall be used for property tax levy reductions, or property tax rebates,
19 effective in the local government's 2031 fiscal year. This section shall
20 apply only to the local governments as defined by, and subject to, the
21 provisions of section 3-c of the general municipal law and section
22 2023-a of the education law.
23 (c-9) Notwithstanding the provisions of section 368-a of the social
24 services law, or any other provision of law, commencing with the period
25 January 1, 2031 through December 31, 2031, calendar year social services
26 district medical assistance expenditure amounts for each social services
27 district shall be reduced by 80% from the 2023 expenditures. No less
28 than 100% of the annual savings from this medical assistance expenditure
29 reduction, compared to the prior year medical assistance expenditure,
30 shall be used for property tax levy reductions, or property tax rebates,
31 effective in the local government's 2032 fiscal year. This section shall
32 apply only to the local governments as defined by, and subject to, the
33 provisions of section 3-c of the general municipal law and section
34 2023-a of the education law.
35 (c-10) Notwithstanding the provisions of section 368-a of the social
36 services law, or any other provision of law, commencing with the period
37 January 1, 2032 through December 31, 2032, calendar year social services
38 district medical assistance expenditure amounts for each social services
39 district shall be reduced by 90% from the 2023 expenditures. No less
40 than 100% of the annual savings from this medical assistance expenditure
41 reduction, compared to the prior year medical assistance expenditure,
42 shall be used for property tax levy reductions, or property tax rebates,
43 effective in the local government's 2033 fiscal year. This section shall
44 apply only to the local governments as defined by, and subject to, the
45 provisions of section 3-c of the general municipal law and section
46 2023-a of the education law.
47 (c-11) Notwithstanding the provisions of section 368-a of the social
48 services law, or any other provision of law, commencing with the period
49 January 1, 2033 through December 31, 2033, calendar year social services
50 district medical assistance expenditure amounts for each social services
51 district shall be reduced by 100% from the 2023 expenditures; and shall
52 remain eliminated each year thereafter. No less than 100% of the annual
53 savings from this medical assistance expenditure reduction, compared to
54 the prior year medical assistance expenditure, shall be used for proper-
55 ty tax levy reductions, or property tax rebates, effective in the local
56 government's 2034 fiscal year. This section shall apply only to the
S. 8648 4
1 local governments as defined by, and subject to, the provisions of
2 section 3-c of the general municipal law and section 2023-a of the
3 education law.
4 (c-12) Notwithstanding the provisions of section seven of this act,
5 any county that opted into the local sales tax intercept methodology
6 shall receive a proportionate reduction in the sales tax intercept as
7 described in subdivisions (c-2), (c-3), (c-4), (c-5), (c-6), (c-7),
8 (c-8), (c-9), (c-10) and (c-11) of this section and use these recaptured
9 funds for property tax reductions in the same manner as other local
10 jurisdictions as described.
11 (c-13) The minimum amount of annual property tax levy reductions
12 resulting from savings achieved as defined in subdivisions (c-2), (c-3),
13 (c-4), (c-5), (c-6), (c-7), (c-8), (c-9), (c-10) and (c-11) of this
14 section, shall be determined by the state comptroller and transmitted to
15 each local government one hundred eighty days in advance of the start of
16 the fiscal year for which the property tax reduction is to be effective.
17 § 2. This act shall take effect immediately.
