State Budget Outcomes and More

May 1, 2023

Updates (below) are largely state-budget related:

1.  Telehealth in the State Budget Agreement
The insurance proposal that would have ensured commercial payers reimburse telehealth services at the face to face rate on a permanent basis, is not part of the final budget agreement. However, NYS Council members may recall that last year legislation passed in the Health and Mental Hygiene Article VII budget bill (Part V) that granted telehealth rate parity under Medicaid AND commercial insurance, through April 1, 2024.  The budget proposal this year was an attempt to make this rate policy permanent.  
The language that was enacted last year is linked here.

Also here’s a guide from DOH on telehealth from the Medicaid side, see page 8.

2.  CCBHC Demo Expansion, New Indigent Care Pool for CCBHC
Federal Demo Clinics
The new state budget agreement includes an expansion of the number of CCBHC federal Demo Clinics here in New York, taking the number from 13 to 39 over two years.  We expect the state will seek to implement 13 new Demo Clinics by the end of this year, with another 13 coming online next year, although this is subject to change.  

In addition to the planned CCBHC federal Demo Clinic expansion, there is also language in the new budget that requires NYS to apply for federal participation in a new Indigent Care Pool for CCBHC federal Demo Clinics. The amount of funds to be made available for this new Pool will depend on whether the federal government kicks in a federal share.  Otherwise, the Indigent Care Pool will be state funds only and the state has made some accommodations in the budget, for this possibility.

Finally, there is a provision in the final budget that creates a formal CCBHC certification program in which OASAS and OMH work together to jointly certify the CCBHC Clinic.  

3.  Scope of Practice and Related Proposals 
The Governor’s Executive Budget sought to implement a number of scope of practice changes, many of which were rejected and omitted in the final agreement.   Rejected proposals include:

  • A proposal that would have expanded the scope of practice for pharmacists and physician assistants
  • Proposals to implement the Nurse Licensure Compact and the Interstate Medicaid Licensure Compact 
  • A proposal to create a new “Qualified Mental Health Associate” credential 

4.  Behavioral Health Services Advisory Council
Attached please find two PowerPoint presentations used by Commissioners Sullivan and Cunningham to brief members of the Behavioral Health Services Advisory Council (BHSAC) during a meeting of the Council last week.  

5.  Tax Credits for Our Staff
A bill that would establish a tax credit for DSPs and Direct Care Workers just popped up on a Senate Committee agenda for tomorrow.  This is the bill we were successful in getting amended last year to include mental health and substance use disorder direct care staff.  The bill is currently with the Ways & Means Committee in the Assembly.

S 3134-A  MANNION   Same as A 3370-A  Jean-Pierre ON FILE: 03/01/23 Tax Law
TITLE….Establishes a tax credit for direct support professionals and direct care workers
Currently on Senate Committee Agenda
Senate Standing Committee on Budget and Revenue
Senator Andrew Gounardes, Chair
9:30 AM, Tuesday, May 2, 2023


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