S T A T E O F N E W Y O R K
________________________________________________________________________
755
2017-2018 Regular Sessions
I N A S S E M B L Y
January 9, 2017
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Introduced by M. of A. PERRY, LENTOL, MOSLEY, COLTON, CYMBROWITZ, ABBATE
-- read once and referred to the Committee on Ways and Means
AN ACT to amend part Q of chapter 56 of the laws of 2013 amending the
education law and other laws relating to funding to SUNY Downstate
Medical Center, in relation to a sustainability plan for a hospital
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Legislative intent. The legislature hereby finds and
declares that a strong academic medical center which controls its own
and its affiliated clinical facilities is the central organizing princi-
ple of urban health care in America in 2017. SUNY Downstate Medical
Center must fully maintain its public status and be the lead institution
in meeting the significant unmet health care needs in Brooklyn including
providing expanded primary and ambulatory care in the neighborhoods that
need it the most. All other states' experience, as well as the last
seven years of experience in Brooklyn, indicates that if SUNY Downstate
does not take leadership of this mission it will not get done.
Over the next three years, SUNY Downstate Hospital should develop up
to four decentralized, freestanding primary and ambulatory care satel-
lites. Funding for these satellites is anticipated from monetizing the
net asset value of real estate acquired with the Long Island College
Hospital while still operating Long Island College Hospital as a health
care facility. Two thirds of the net asset value of the Long Island
College Hospital real estate will be devoted to subsidy of SUNY Down-
state Hospital and Long Island College Hospitals' operations during a
three year transition and development period.
The implementation of this legislation will make SUNY Downstate Hospi-
tal sustainable and restore the state subsidy to its historic level. Its
implementation is an alternative to closing LICH and laying off a mini-
mum of 600 health care workers in Brooklyn which has one of the highest
unemployment rates in New York. It makes no sense to lay off health care
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD06432-01-7
A. 755 2
workers if they can be retrained to provide the primary care that
central and western Brooklyn desperately needs.
§ 2. Part Q of chapter 56 of the laws of 2013 amending the education
law and other laws relating to funding to SUNY Downstate Medical Center,
is amended by adding a new section 5-a to read as follows:
§ 5-A. THE SUSTAINABILITY PLAN ADOPTED PURSUANT TO SECTION FIVE OF
THIS ACT SHALL NOT BE IMPLEMENTED UNTIL IT CONTAINS THE FOLLOWING
PROVISIONS. (A) SUNY DOWNSTATE HOSPITAL WILL OPERATE UP TO FOUR DECEN-
TRALIZED, FREESTANDING PRIMARY AND AMBULATORY CARE SATELLITES IN COMMU-
NITY BASED SETTINGS. THESE SATELLITES WILL BE STAFFED BY EMPLOYEES OF
SUNY DOWNSTATE HOSPITAL WHO SHALL MAINTAIN THEIR CURRENT COLLECTIVE
BARGAINING REPRESENTATION, OR, FOR SATELLITES LOCATED IN THE COMMUNITY
SERVED BY LONG ISLAND COLLEGE HOSPITAL BY EMPLOYEES OF LONG ISLAND
COLLEGE HOSPITAL WHO SHALL MAINTAIN THEIR CURRENT COLLECTIVE BARGAINING
REPRESENTATION. THE FREESTANDING PRIMARY AND AMBULATORY CARE SATELLITES
SHALL OPERATE AT LEAST SIXTEEN HOURS A DAY, PROVIDE A FULL RANGE OF
OUT-PATIENT AND AMBULATORY SERVICES AS DETERMINED BY COMMUNITY NEED, AND
COLLECTIVELY EMPLOY AT LEAST SIX HUNDRED HEALTH CARE PROFESSIONALS AND
SUPPORT STAFF. THESE FREESTANDING PRIMARY AND AMBULATORY CARE SATELLITES
MUST BE ESTABLISHED NO LATER THAN THREE YEARS AFTER THE ENACTMENT OF
THIS SECTION.
(B) THE STATE SHALL MONETIZE THE NET ASSET VALUE OF REAL ESTATE
ACQUIRED WITH THE LONG ISLAND COLLEGE HOSPITAL WHILE STILL OPERATING
LONG ISLAND COLLEGE HOSPITAL AS A HEALTH CARE FACILITY. THE STATE DIVI-
SION OF BUDGET SHALL DEVELOP A PROCESS THAT MAXIMIZES THE VALUE OF THE
ASSETS OF LONG ISLAND COLLEGE HOSPITAL AND SHALL CONSIDER THE FOLLOWING:
(I) LEASING ALL OR SOME OF THE PROPERTY; (II) A SALE-LEASEBACK OF ALL OR
SOME OF THE PROPERTY; AND (III) ESTABLISHING A REAL ESTATE INVESTMENT
TRUST, WITH THE PROVISO THAT THE REAL ASSETS CONTINUE TO BE USED, IN ANY
OF THESE ARRANGEMENTS, FOR THE PROVISION OF INPATIENT AND OUTPATIENT
HEALTH SERVICES. THE ASSETS OF THIS PROCESS SHALL BE USED TO RETIRE THE
LIABILITIES OF LONG ISLAND COLLEGE HOSPITAL AND TO PROVIDE START-UP
FUNDING FOR THE FREESTANDING PRIMARY AND AMBULATORY CARE SATELLITES
ESTABLISHED PURSUANT TO SUBDIVISION (A) OF THIS SECTION. SUNY DOWNSTATE
HOSPITAL IS AUTHORIZED TO APPLY FOR AND RECEIVE FUNDING FROM ANY AVAIL-
ABLE STATE, LOCAL, AND/OR FEDERAL SOURCES TO ASSIST IN ESTABLISHING
FREESTANDING PRIMARY AND AMBULATORY CARE SATELLITES INCLUDING, BUT NOT
LIMITED TO, STATE GRANTS AVAILABLE PURSUANT TO SECTION 2818 OF THE
PUBLIC HEALTH LAW AND ACCELERATION OF PAYMENTS PURSUANT TO SECTION
2807-K OF THE PUBLIC HEALTH LAW.
(C) SUNY DOWNSTATE COLLEGE OF MEDICINE SHALL DEVELOP A CURRICULUM FOR
THE EDUCATION OF RESIDENT PHYSICIANS IN OUT-PATIENT AND AMBULATORY
SERVICES THAT SHALL BE IMPLEMENTED IN THE FOUR FREESTANDING PRIMARY AND
AMBULATORY CARE SATELLITES ESTABLISHED PURSUANT TO SUBDIVISION (A) OF
THIS SECTION.
§ 3. This act shall take effect immediately.