Senate Bill S3346

                                BILL NUMBER:S3346

TITLE OF BILL:  An act to amend the social services law, in relation to
medicaid reimbursement of private duty nursing services and care

PURPOSE OR GENERAL IDEA OF BILL:  To increase Medicaid beneficiaries
access to quality health care services by increasing Medicaid fees for
private duty nursing services.

SUMMARY OF SPECIFIC PROVISIONS:

Section one of this bill would add a new Section 365-o to the Social
Services Law governing reimbursement of private duty nursing services.
The bill would allocate $15 million in State Fiscal Year (SPY) 2012-2013
to increase reimbursement under the Medicaid program for private duty
nursing services for the period July 1, 2012 to March 31, 2013. The bill
would allocate $20 million for such reimbursement on annual fiscal year
basis thereafter.

JUSTIFICATION:  The State is currently experiencing a very serious shor-
tage in private duty nursing. This shortage is due to a variety of
factors including the lowest unemployment rate in over a decade, and
rates of reimbursement in both the commercial and government sectors
that have not kept pace with market demands. In some areas of the State,
the Medicaid rates for private duty nursing have not changed in over a
decade.
              

The nursing shortage is making it difficult to recruit and retain quali-
fied nurses, particularly in specialty areas such as nursing care for
medically and technologically dependent children and adults.  This bill
would provide the resources necessary to assist in recruiting and
retaining qualified nursing care for the State's most vulnerable popu-
lation -Medicaid beneficiaries. In addition to easing the workforce
shortage in nursing and increasing access to quality care, the bill
would provide badly needed respite to family members who are struggling
to care for medically complex children and adults. The bill will reduce
Medicaid costs over the long term by reducing unnecessary hospitaliza-
tion that are the result of a lack of access to community care.

PRIOR LEGISLATIVE HISTORY:  Senate:
2009-10: S.5040 - Referred to Health 2007-08: S.124A - Referred to
Social Services 2005-06: S.175A - Referred to Social Services 2003-04:
S.832A - Referred to Social Services 2001-02: S.1732 - Referred to
Social Services 1909-00: S.7353 - Referred to Social Services

Assembly;
2009-10: 4.692- (Jacobs) Referred to Social- Services 2007-08: A.2290A -
Referred to Social Services, Reported to Ways & Means 2005-06: A.1182A -
Referred to Social Services 2003-04: A.1558 - Referred to Social
Services 2001-02: A.78- Referred to Social Services 1999-00: S.9932 -
Referred to Social Services, Reported to Ways & Means

FISCAL IMPLICATIONS:  This bill will increase the Status share of Medi-
caid costs by an estimated $15 million In SFY 2012-2013. However, the
bill will likely decrease Medicaid costs over the long term through the
provision of more timely care and a decrease in institutional costs.

EFFECTIVE DATE:; July 1, 2014