OASAS Legislation of Interest

February 14, 2022

Just a heads up signaling an important discussion to come…

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S8313 HARCKHAM — Relates to funding for services of the office of addiction services and supports
No same as
SUMM : Amd §§25.03 & 25.11, Ment Hyg L Relates to funding for services of the office of addiction services and supports
02/11/22 REFERRED TO ALCOHOLISM AND SUBSTANCE ABUSE
                                                                             STATE OF NEW YORK
        ________________________________________________________________________
 
                                          8313
 
                                                                                       IN SENATE
    
                                    February 11, 2022
                                       ___________
 
        Introduced  by Sen. HARCKHAM -- read twice and ordered printed, and when
          printed to be committed to the Committee on Alcoholism  and  Substance
          Abuse
 
        AN  ACT  to  amend  the  mental  hygiene law, in relation to funding for
          services of the office of addiction services and supports
 
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
 
     1    Section 1. Subdivision (a) of section 25.03 of the mental hygiene law,
     2  as  amended by section 4 of part G of chapter 56 of the laws of 2013, is
     3  amended to read as follows:
     4    (a) In accordance with the provisions  of  this  article,  and  within
     5  appropriations  made  available,  the  office may provide state aid to a
     6  program operated by a local governmental unit or voluntary agency [up to
     7  one hundred per centum of the  approved  net  operating  costs  of  such
     8  program]  based on a payment for services model developed by the office,
     9  in consultation with operators of funded programs, for programs operated
    10  by a local governmental unit or voluntary agency, and state aid may also
    11  be granted to a program operated by  a  local  governmental  unit  or  a
    12  voluntary  agency  for  capital  costs  associated with the provision of
    13  services at a rate of up to one  hundred  percent  of  approved  capital
    14  costs. Such state aid shall not be granted unless and until such program
    15  operated  by a local governmental unit or voluntary agency is in compli-
    16  ance with all regulations promulgated by the commissioner regarding  the
    17  financing  of capital projects. Such state aid [for approved net operat-
    18  ing costs] shall be made available by way of advance  or  reimbursement,
    19  through either contracts entered into between the office and such volun-
    20  tary  agency  or by distribution of such state aid to local governmental
    21  units through [a grant] the process pursuant to section  25.11  of  this
    22  article.
    23    §  2.  Subdivisions (a) and (b) of section 25.11 of the mental hygiene
    24  law, as added by section 9 of part G of chapter 56 of the laws of  2013,
    25  are amended to read as follows:
    26    (a) Local governmental units shall be granted state aid by a state aid
    27  funding  authorization  letter  issued  by  the office [for approved net

         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD14360-01-2
        S. 8313                             2

     1  operating costs] based on a payment for services model developed by  the
     2  office, in consultation with operators of funded programs, for voluntary
     3  agencies  [to  support  the  base  amount  of state aid provided to such
     4  voluntary  agencies  for the prior year] provided that the local govern-
     5  mental unit has approved and submitted budgets for the  voluntary  agen-
     6  cies  to  the  office.  The  voluntary agency budgets shall identify the
     7  nature of the services to be provided which must be consistent with  the
     8  local services plan submitted by the local governmental unit pursuant to
     9  article  forty-one of this chapter, the areas to be served and include a
    10  description of the voluntary agency contributions and local governmental
    11  unit funding provided. The local  governmental  unit  shall  enter  into
    12  contracts  with  the  voluntary  agencies receiving such state aid. Such
    13  contracts shall include funding requirements set by the office including
    14  but not limited to responsibilities of voluntary  agencies  relating  to
    15  work scopes, program performance and operations, [application of program
    16  income,  prohibited  use of funds,] recordkeeping and audit obligations.
    17  Upon designation by the office, local governmental  units  shall  notify
    18  voluntary  agencies  as to the source of funding received by such volun-
    19  tary agencies.
    20    (b) State aid  made  available  to  a  local  governmental  unit  [for
    21  approved  net  operating  costs]  based  on a payment for services model
    22  developed by the  office,  in  consultation  with  operators  of  funded
    23  programs for a program operated by a voluntary agency or a local govern-
    24  mental  unit  may  be  reduced where a review of such voluntary agency's
    25  prior year's budget  and/or  performance  indicates[:    (1)]  that  the
    26  program  operated  by  a local governmental unit or voluntary agency has
    27  failed to meet minimum performance standards  and  requirements  of  the
    28  office  including,  but  not limited to, maintaining service utilization
    29  rates and productivity standards as set by the office provided  however,
    30  that  upon  determination  that  the  program is not meeting the minimum
    31  standards and requirements, the office shall notify such  program  oper-
    32  ated by a local governmental unit or voluntary agency of their deficien-
    33  cies, and if appropriate, a corrective action plan that includes specif-
    34  ic   actions   to   address   any   deficiencies  and  a  timetable  for
    35  implementation shall be developed. State aid may be reduced if a correc-
    36  tive action plan is not approved by the office or is not implemented  in
    37  a timely and satisfactory manner[;
    38    (2)  that the voluntary agency has had an increase in voluntary agency
    39  contributions that reduces the approved net operating  costs  necessary,
    40  except  where  the office has approved an alternative use of such volun-
    41  tary agency contributions or such  voluntary  agency  contributions  are
    42  necessary to ensure financial viability].
    43    §  3.  This  act  shall take effect January 1, 2023 and shall apply to
    44  program budgets developed on or after such date.