S T A T E O F N E W Y O R K
________________________________________________________________________
1936
2025-2026 Regular Sessions
I N A S S E M B L Y
January 14, 2025
___________
Introduced by M. of A. PAULIN, SAYEGH, LUCAS -- read once and referred
to the Committee on Health
AN ACT to amend the public health law, in relation to prior authori-
zation and payments from the medical indemnity fund
THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND ASSEM-
BLY, DO ENACT AS FOLLOWS:
Section 1. Paragraph (b) of subdivision 2 of section 2999-j of the
public health law, as amended by section 3 of part K of chapter 57 of
the laws of 2019, is amended and a new paragraph (b-1) is added to read
as follows:
(b) if any prior authorization is required by such regulation, the
regulation shall require that requests for prior authorization be proc-
essed within a reasonably prompt period of time and shall identify a
process for prompt administrative review of any denial of a request for
prior authorization; [and]
(B-1) IF ANY PRIOR AUTHORIZATION IS REQUIRED BY SUCH REGULATION, THE
REGULATION SHALL REQUIRE ESTABLISHING A MECHANISM FOR SUBMISSION OF
REQUESTS FOR PRIOR AUTHORIZATION BY HEALTH CARE PROVIDERS DIRECTLY TO
THE FUND; AND
§ 2. Paragraph (b) of subdivision 8 of section 2999-j of the public
health law, as added by section 52 of part H of chapter 59 of the laws
of 2011, is amended and a new paragraph (c) is added to read as follows:
(b) thereupon certify to the commissioner of taxation and finance
those costs that have been determined to be qualifying health care costs
to be paid from the fund[.]; AND
(C) NOTIFY THE QUALIFIED PLAINTIFF WHICH OF SUCH COSTS ARE QUALIFYING
HEALTH CARE COSTS TO BE PAID FROM THE FUND ALONG WITH WHICH OF SUCH
COSTS ARE NOT QUALIFYING HEALTH CARE COSTS TO BE PAID FROM THE FUND IN A
REASONABLY PROMPT PERIOD OF TIME.
EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04765-01-5
A. 1936 2
§ 3. Subdivision 5 and paragraph (a) of subdivision 6 of section
2999-i of the public health law, as amended by section 2 of part K of
chapter 57 of the laws of 2019, are amended to read as follows:
5. For the state fiscal year beginning April first, two thousand elev-
en and ending March thirty-first, two thousand twelve, the state fiscal
year beginning April first, two thousand twelve and ending March thir-
ty-first, two thousand thirteen, and the state fiscal year beginning
April first, two thousand thirteen and ending March thirty-first, two
thousand fourteen, the superintendent of financial services shall cause
to be deposited into the fund for each such fiscal year the amount
appropriated for such purpose. Beginning April first, two thousand four-
teen and annually thereafter, the superintendent of financial services
or the commissioner, whoever is administering the fund for the applica-
ble period shall cause to be deposited into the fund, subject to avail-
able appropriations, an amount equal to the difference between the
amount appropriated to the fund in the preceding fiscal year[,]. BEGIN-
NING APRIL FIRST, TWO THOUSAND TWENTY-SIX, THE COMMISSIONER OR THE
ADMINISTRATOR OF THE FUND FOR THE APPLICABLE PERIOD SHALL CAUSE TO BE
DEPOSITED INTO THE FUND AN AMOUNT EQUAL TO THE FUNDING LEVEL NECESSARY
TO ENSURE THE LIABILITIES OF THE MEDICAL INDEMNITY FUND DO NOT EQUAL OR
EXCEED EIGHTY PERCENT OF THE FUND'S ASSETS AS DETERMINED IN THE ACTUARI-
AL CALCULATION SET FORTH IN PARAGRAPH (A) OF SUBDIVISION SIX OF THIS
SECTION, as increased by the adjustment factor defined in subdivision
seven of this section[, and the assets of the fund at the conclusion of
that fiscal year].
(a) [Following] NO LATER THAN SIXTY DAYS FOLLOWING the deposit refer-
enced in subdivision five of this section, the commissioner shall
conduct an actuarial calculation of the estimated liabilities of the
fund for the coming year resulting from the qualified plaintiffs
enrolled in the fund AND SHALL ALSO CONDUCT QUARTERLY ACTUARIAL CALCU-
LATIONS. THE DEPARTMENT SHALL PUBLICLY POST ON ITS WEBSITE SUCH ACTUARI-
AL CALCULATIONS WITHIN THIRTY DAYS OF COMPLETION. The administrator
shall from time to time adjust such calculation in accordance with
subdivision seven of this section. If the total of all estimates of
current liabilities equals or exceeds eighty percent of the fund's
assets, then the fund shall not accept any new enrollments until a new
deposit has been made pursuant to subdivision five of this section,
PROVIDED HOWEVER, THE DEPARTMENT SHALL PROVIDE SIXTY DAYS' NOTICE ON ITS
WEBSITE BEFORE THE FUND SUSPENDS ENROLLMENTS. When, as a result of such
new deposit, the fund's liabilities no longer exceed eighty percent of
the fund's assets, the fund administrator shall enroll new qualified
plaintiffs in the order that an application for enrollment has been
submitted in accordance with subdivision seven of section twenty-nine
hundred ninety-nine-j of this title. NOTWITHSTANDING ANY OTHER
PROVISION OF THIS SECTION, FOR THE STATE FISCAL YEAR BEGINNING APRIL
FIRST, TWO THOUSAND TWENTY-FIVE AND ENDING MARCH THIRTY-FIRST, TWO THOU-
SAND TWENTY-SIX, THE FUND SHALL CONTINUE TO ACCEPT NEW ENROLLMENTS.
§ 4. This act shall take effect immediately; provided, however, that
sections one and two of this act shall take effect on the ninetieth day
after it shall have become a law.