Governor Vetoes Bill Increasing the SSI for ACFs and Bill Creating a CON Process for ALP

Lauren Pollow in Legislative

As you are aware, NYSHFA/NYSCAL had several key ALP/ACF priorities closing out last legislative session, namely the SSI increase for Adult Care Facilities (ACFs) as well as a Certificate of Need (CON) process for the creation of new ALP capacity. As of December 18, 2017, the Governor has made the decision to veto these bills. Please see below for full summary and next steps:

Governor Vetoes Bill Increasing the SSI for ACFs

NYSHFA/NYSCAL has been advocating for an increase in the Supplemental Security Income (SSI) for Adult Care Facilities for several years. An increase in the SSI rate was included in the 2017-18 Senate and Assembly one-house Budget proposals, but unfortunately was not included in the Enacted Budget. In response to this measure having been cut from the Enacted Budget, NYSHFA/NYSCAL advocated for A.6715-B (Brindisi)/ S.6732 (Serino), a stand-alone bill that was passed by both the Senate and Assembly and would increase the SSI rate for ACFs by $20 per resident per day over five-year period beginning on April 1, 2018.

The bill was delivered to the Governor on December 6th, 2017 and the legislation was vetoed (message #241) on December 18th, 2017. NYSHFA/NYSCAL will be now advocating for this legislation to be included in the 2018-19 Budget this year based on the clear inadequacy of the State’s SSI reimbursement rate of $41 per day. Operational costs in terms of wages, health insurance, goods, and services continue to increase yet the current rate has only been adjusted one time in the last 25 years. In the Governor’s veto message, he indicates that due to the ongoing costs associated with this legislation it must be discussed in the context of the annual budget negotiations.

Governor Vetoes Bill Creating a CON Process for ALP

NYSHFA/NYSCAL has been advocating in support of the creation of a needs-based process for ALP beds in lieu of the current competitive solicitation process. A.7727-A (Lupardo)/ S.5840 (Hannon) would have created a Certificate of Need (CON) process for ALP beds that is based on community need and allows existing providers to expedite approval for nine beds in response to such need. ALP has expanded as a program since the early 1990’s to meet the needs of our aging population, but there is a measure of inconsistency with the approval process that can inadvertently favor providers with more resources than small/rural providers that do not have the means to compete in a statewide solicitation process.

While this legislation would have created some measure of consistency for the approval of ALP beds, the Governor’s office is concerned about expanding the number of ALP slots without a budget allocation/source of funding attached. As such, the Governor has decided to veto this bill in its current form and is directing the DOH to work with the Legislature on the availability of ALP, and ways in which the review and approval process can be approved.

Veto messages can be viewed here.

NYSHFA CONTACT:

Lauren Pollow
Director, Government Affairs
518-462-4800 x25