LeadingAge New York State Budget Review April 2017 | Page 25

Summary of NYS Budget by Functional Area EXECUTIVE BUDGET FINAL BUDGET PROGRAM FUNDING VAP Program Includes appropriation of $132 million for VAP, as well as a re-appropriation of $212 million of existing VAP funds. Includes Executive proposal. PROVIDER/PLAN REIMBURSEMENT DOH commits to explore separate rate cells or risk adjustment for nursing home, high cost/high need home and personal care, and HARP (side letter). Discrete Cells in Managed Care Rate-Setting No provision. Managed Care Rate Transparency DOH commits to provide quarterly updates to the legislature on Medicaid Managed Care rates (side letter). No provision. Nursing Home Bed Hold Benefits • Eliminates bed hold payments to all nursing home providers while preserving the requirement for nursing homes to hold beds for residents who temporarily leave the nursing home. • Requires that an across-the-board reduction for all nursing homes other than pediatric facilities be made to achieve an annual savings of $18 million. This would replace the existing bed hold-related, $18 million across-the-board cut currently reflected in nursing home Medicaid rates. Nursing Home Benchmark Rate • • For Medicaid beneficiaries aged 21+, eliminates hospitalization bed hold payments entirely, while maintaining 10 days of therapeutic leave per 12-month period reimbursable at 95% of the Medicaid rate. Makes permanent the bed hold-related cut already reflected in current Medicaid rates that results in $18 million in annual savings. Requires Medicaid managed care plans to pay the nursing home benchmark rate until Dec. 31, 2020. No provision. Reduction of MLTC Quality Payment Reduces annual MLTC quality pool by $30 million. No language enacted to prevent administrative action. Transportation Carve-out Eliminates transportation from the MLTC benefit package and adjusts plan premiums accordingly. Manages the transportation of MLTC members and ADHC program participants through the State’s transportation managers. Does not include Executive proposal. PROGRAMMATIC INITIATIVES Administrative Hearing Office Consolidation Creates a new Division of Central Administrative Hearings led by a Chief Administrative Law Judge (ALJ), to be appointed by the Governor. Authorization for Fiscal Intermediaries No provision. Consolidation of Public Health Programs Consolidates 39 public health appropriations into four pools: (1) disease prevention and control programs; (2) maternal and child health programs; (3) health workforce programs; and (4) health outcomes and advocacy programs. Reduces funding for each pool by 20%. LeadingAge New York/April 2017 Does not include Executive proposal. Requires CDPAS fiscal intermediaries to apply and receive authorization to operate from DOH. Does not include Executive consolidation proposal, but accepts the 20% reduction in funding to the programs. The 39 programs include both the Nursing Home Transition and Diversion and Enriched Housing programs. Page 24