BILL NUMBER:S7326

TITLE OF BILL:
An act
to amend the public health law, in relation to establishing an opioid
addiction treatment and hospital diversion demonstration program

PURPOSE:
Directs the commissioner of health to establish an opioid treatment
and hospital diversion demonstration program

SUMMARY OF PROVISIONS:
Section 1 adds a new Public Health Law §331 0 to establish the Opioid
Treatment and Hospital Diversion Demonstration Program. Under the
program the commissioner is authorized to established up to six
demonstrations with, at minimum, one located in each of the following
locations; Western New York, Central New York, State Island,
Brooklyn, and Long Island.
Additionally, this section requires the commissioner to report on the
effectiveness of the demonstration program and recommendations
regarding the expansion of the program.

Section 2 provides the act take effect immediately.

JUSTIFICATION:
The Centers for Disease Control and Prevention (CDC) recently reported
              

that in one year, 27,000 Americans died of unintentional drug
overdoses - that is one death every 19 minutes. Further, the CDC
reported that for every unintentional overdose death related to
opioids, nine persons are admitted for substance abuse treatment and
35 individuals visit emergency departments.
According to a study in the journal Psychiatric Services, substance
abuse disorders are costing states millions of dollars in Medicaid
expenses. This study found that in six states, the Medicaid programs
spent over $200 million more on beneficiaries with substance abuse
disorders than those without.

Presumably, in an effort to cut these costs, both the state and
national government have been supportive of the concept of making
detox an outpatient, rather than inpatient service.
Withdrawal from opioid drugs is generally not life threatening and can
be readily managed in less intensive and costly environments.
However, despite the support of more efficient, cost saving
alternatives, there is a shortage of community options for individuals
seeking assistance with opioid addiction. The lack of available
treatment facilities was raised several times at the recent
roundtables on the prescription drug abuse crisis held by the Senate
Standing Committee on Health and the Senate Standing Committee on
Alcoholism and Drug Abuse.

This demonstration program aims to address these issues by providing
alternative outpatient short term treatment, avoiding the unnecessary
emergency room costs, and studying the effectiveness of this
treatment model. The demonstration program established herein is
modeled after programs such as the Rose House Hospital Diversion
Program, located in Poughkeepsie, Voices of the Health, Inc., serving


Washington and Warren County, and the Essex County Crisis Alternatives
Program - which are all deemed to be successful programs providing
mental health respite services. While there will be costs to the
state associated with the creation of this demonstration, such costs
are expected to be offset by Medicaid savings resulting from the
decrease in emergency room services.

LEGISLATIVE HISTORY:
New Bill.

FISCAL IMPLICATIONS:
The costs of the program are expected to be offset by Medicaid savings.

EFFECTIVE DATE:
Immediately.