March 1, 2021

Based on your requests for specificity re:  restoration of withholds, we circled back to OMH and received the following from the OMH CFR Unit.

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Please find below the two-year close-out language that is now published within OMHs Spending Plan Guidelines:  

Direct Contract

The Office of Mental Health (OMH) will close out the Direct Contracts on a two-year aggregate over the contract term of July 1, 2019 through June 30, 2021 for New York City contract provider and January 1, 2020 through December 31, 2021 for Upstate and Long Island contract providers.  The two-year close-out is necessary to address significant variations in revenue and expenses during the COVID-19 pandemic to ensure the stable operations of all programs.  The closeout will be based on comparing the total allowable claimed expenses for the identified two-year period to the total payments for the same period.  Any unspent State Aid identified as a result of this two-year closeout will be issued and recovered in a timely manner pursuant to the OMH direct contract close-out process.

State Aid Letter

 The Office of Mental Health (OMH) will be processing the State Aid Letter close on a two-year aggregate over the issued period July 1, 2019 through June 30, 2021 for New York City and January 1, 2020 to December 31, 2021 for Upstate and Long Island counites.  The two-year close-out is necessary to address significant variations in revenue and expenses during the COVID-19 pandemic to ensure the stable operations of all programs.  The closeout will be based on comparing the total allowable claimed expenses for the identified two-year period to the total payments for the same period.  Any unspent State Aid that is identified from this two-year closeout will be issued and recovered in a timely manner pursuant to the OMH State Aid Letter close-out process.