Attention OASAS Providers re: Rate Increases

February 22, 2023

As we stated yesterday via email, we recently learned that OASAS intends to distribute the funds the NYS Council worked hard to compel NYS to recoup from various MCOs that failed to achieve their behavioral health expenditure targets – as rate increases.  Today, we are beginning to see the Public Notices that correspond to some of the increases we told you about yesterday morning.  I am told all rate changes are ‘moving forward’ and providers will hear more about these changes shortly.

Today’s NYS Public Register includes the following Public Notice re:  Part 820 rate changes HOWEVER there will be more Notices (as they are required) in future publications, so the state can implement the various increases discussed above.

From today’s NYS Register (also attached – beginning on page 76)
PUBLIC NOTICE Department of Health Pursuant to 42 CFR Section 447.205, the Department of Health hereby gives public notice of the following: The Department of Health proposes to amend the Title XIX (Medicaid) State Plan for Non-Institutional Services in accordance with Chapter 53 of the Laws of 2022 and Subdivision 5 of section 365-m of the social services law. The following changes are proposed: Non-Institutional Services Effective on or after March 1, 2023, the Department of Health will adjust rates for Office of Addiction Services and Supports (OASAS) State Plan Service NYCRR Title 14 Part 820 Residential Services. The stabilization element of the service in the downstate region will receive a parity adjustment with respect to the upstate region. Stabilization will also receive a 15.0% rate increase and rehabilitation will receive a 4.5% rate increase. The estimated net aggregate increase in gross Medicaid expenditures attributable to this change $1,746 for State Fiscal Year 2023 and $20,956 for State Fiscal Year 2024. 

The public is invited to review and comment on this proposed State Plan Amendment, a copy of which will be available for public review on the Department’s website at http://www.health.ny.gov/regulations/ state_plans/status. Individuals without Internet access may view the State Plan Amendments at any local (county) social services district.

For the New York City district, copies will be available at the following places:
New York County 250 Church Street New York, New York 10018
Queens County, Queens Center 3220 Northern Boulevard Long Island City, New York 11101
Kings County, Fulton Center 114 Willoughby Street Brooklyn, New York 11201
Bronx County, Tremont Center 1916 Monterey Avenue Bronx, New York 10457
Richmond County, Richmond Center 95 Central Avenue, St. George Staten Island, New York 10301

For further information and to review and comment, please contact: Department of Health, Division of Finance and Rate Setting, 99 Washington Ave., One Commerce Plaza, Suite 1432, Albany, NY 12210, spa_inquiries@health.ny.gov

If you have questions, please don’t hesitate to reach out at your convenience.  I’m at 518 461-8200 and I am never too busy to talk to you!