S T A T E   O F   N E W   Y O R K
________________________________________________________________________

                                  7829

                            I N  S E N A T E

                              May 14, 2010
                               ___________

Introduced  by  Sen.  DUANE  -- read twice and ordered printed, and when
  printed to be committed to the Committee on Health

AN ACT to amend the public health law, in relation to rates  of  payment
  for an AIDS assisted living program

  THE  PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section 1. Subdivision 6 of section 3614 of the public health law,  as
amended  by chapter 645 of the laws of 2003 and paragraph (a) as amended
by section 17 of part D of chapter 58 of the laws of 2009, is amended to
read as follows:
  6. (a) The commissioner shall, subject to the approval  of  the  state
director  of  the  budget,  establish  capitated  rates  of  payment for
services provided by assisted living programs as  defined  by  paragraph
(a) of subdivision one of section four hundred sixty-one-l of the social
services  law.  Such rates of payment shall be related to costs incurred
by residential health care facilities. The rates shall reflect the  wage
equalization  factor  established  by  the  commissioner for residential
health care facilities in  the  region  in  which  the  assisted  living
program is provided and real property capital construction costs associ-
ated  with  the  construction of a free-standing assisted living program
[such rate shall include], INCLUDING a payment  equal  to  the  cost  of
interest  owed  and  depreciation  costs of such construction. The rates
shall also reflect the efficient provision of a quality and quantity  of
services  to  patients  in such residential health care facilities, with
needs comparable to the needs  of  residents  served  in  such  assisted
living  programs.  Such rates of payment shall be equal to fifty percent
of the amounts which otherwise would have been expended, based upon  the
mean  prices for the first of July, nineteen hundred ninety-two (utiliz-
ing nineteen hundred eighty-three costs) for freestanding, low intensity
residential health care facilities with less than  three  hundred  beds,
and  for  years  subsequent to nineteen hundred ninety-two, adjusted for
inflation in accordance  with  the  provisions  of  subdivision  ten  of
section  twenty-eight  hundred  seven-c  of this chapter, to provide the
appropriate level of care for such residents in residential health  care

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
              

                                                           LBD17256-01-0

S. 7829                             2

facilities  in  the  applicable wage equalization factor regions plus an
amount  equal  to  capital  construction  costs  associated   with   the
construction  of  an assisted living program facility as provided for in
this subdivision.
  (b)   For   purposes   of  this  subdivision,  real  property  capital
construction costs shall only  be  included  in  rates  of  payment  for
assisted  living programs if: (i) the facility is operated by a not-for-
profit corporation; (ii) the facility commenced operation after nineteen
hundred ninety-eight and at least ninety-five percent of  the  certified
approved  beds are provided to residents who are subject to the assisted
living program; and (iii) the assisted living program  is  in  a  county
with  a  population of no less than two hundred eighty thousand persons.
The methodology used to calculate the rate for such capital construction
costs shall be the  same  methodology  used  to  calculate  the  capital
construction costs at residential health care facilities for such costs.
  (C)  (1)  AS USED IN THIS SUBDIVISION, "AIDS ASSISTED LIVING" MEANS AN
ENTITY DESIGNATED BY THE COMMISSIONER THAT IS  (A)  AN  ASSISTED  LIVING
PROGRAM  AS  DEFINED BY PARAGRAPH (A) OF SUBDIVISION ONE OF SECTION FOUR
HUNDRED SIXTY-ONE-L OF THE SOCIAL SERVICES LAW ALL  OF  WHOSE  RESIDENTS
ARE PERSONS WITH HIV/AIDS, (B) OPERATED BY A NOT-FOR-PROFIT CORPORATION,
AND  (C)  AFFILIATED BY COMMON OWNERSHIP WITH AN AIDS RESIDENTIAL HEALTH
CARE FACILITY OPERATING AS SUCH UNDER REGULATIONS OF THE COMMISSIONER.
  (2) RATES OF PAYMENT UNDER PARAGRAPH (A) OF THIS  SUBDIVISION  FOR  AN
AIDS ASSISTED LIVING PROGRAM SHALL, IN ADDITION TO ITEMS UNDER PARAGRAPH
(A)  OF  THIS  SUBDIVISION,  INCLUDE A PAYMENT FOR REAL PROPERTY CAPITAL
CONSTRUCTION COSTS UNDER  PARAGRAPH  (B)  OF  THIS  SUBDIVISION,  AND  A
PAYMENT EQUAL TO ANY PROPERTY LEASE COSTS FOR THE REAL PROPERTY REQUIRED
TO  OPERATE  THE  AIDS ASSISTED LIVING PROGRAM. THE CAPITAL CONSTRUCTION
AND PROPERTY LEASE COSTS SHALL BE REIMBURSED  WHETHER  THE  FACILITY  IS
FREE-STANDING OR NOT.
  S 2. This act shall take effect immediately.