N.Y. Public Health Law Section 2818
Health care efficiency and affordability law of New Yorkers (HEAL NY) capital grant program


1.

The commissioner and the director of the dormitory authority of the state of New York shall enter into an agreement, subject to the approval of the director of the budget, for the purpose of administering the funds available to the health care efficiency and affordability law for New Yorkers (HEAL NY) capital grant program as authorized under Public Authorities Law § 1680-J (New York state higher education capital matching grant board)section sixteen hundred eighty-j of the public authorities law, in a manner that will encourage improvements in the operation and efficiency of the health care delivery system within the state. A copy of such agreement, and any amendments thereto, shall be provided to the chair of the senate finance committee, the director of the division of budget and the chair of the assembly ways and means committee. Such agreement shall include criteria, to be developed by the commissioner and the director of the authority, to be considered in their evaluation of applications and determination of awards, including, but not limited to:

(a)

determination of eligible applicants, provided that such eligible applicants shall include entities representative of any part of the health care delivery system;

(b)

consideration of statewide geographic distribution of funds;

(c)

minimum and maximum amounts of funding to be awarded under the program;

(d)

the relationship between the project proposed by an applicant and identified community need; and

(e)

the extent to which the applicant has access to alternative financing. Such agreement shall be provided to the chair of the senate finance committee, the director of the division of budget and the chair of the assembly ways and means committee no later than thirty days prior to the scheduled approval of the first bond issuance for the program by the public authorities control board. The authority shall also report quarterly to such chairpersons on the awards made through the program, including the name of the applicant, a description of the project and the amount of the award. The commissioner and the director of the authority shall award grants to eligible applicants after due public notice of the availability of funds and through a process which ensures to the maximum extent practicable and where appropriate, competition among such applicants, consistent with the following requirements: the commissioner and the director of the authority shall publish the priorities and goals that are to be achieved through grant funding, and regularly provide public notice of the availability of funding. These priorities and goals shall be consistent with objectives and determinations of the Commission on Health Care facilities in the Twenty-First Century established pursuant to a chapter of the laws of two thousand five, provided, however, that nothing shall prohibit the commissioner and the director for the authority from awarding grants prior to a final report by the commission. For each project that will be recommended for approval, the commissioner and the director of the authority shall report to the chair of the senate finance committee, the director of the division of budget and the chair of the assembly ways and means committee how the project meets the priorities, goals and criteria established pursuant to this section. Contracts awarded to eligible applicants shall require that work performed thereunder shall be deemed “public work” and subject to and preformed in accordance with articles eight, nine and ten of the labor law and the contractors performing such work shall also be deemed a state agency for the purpose of article fifteen-A of the executive law and subject to the provisions of such article.

2.

Notwithstanding the provisions of subdivision one of this section, the commissioner and the director of the dormitory authority may award, in an amount not to exceed twenty-five percent of the health care system improvement capital grant program allocation in any given fiscal year, grants to eligible applicants without the process set forth in subdivision one of this section. With respect to the process for the awarding of such funds without the process set forth in subdivision one of this section, the commissioner and the director of the dormitory authority shall determine eligible awardees based solely on an applicant’s ability to meet the following criteria:

(i)

Have a loss from operations for each of the three consecutive preceding years as evidenced by audited financial statements; and

(ii)

Have a negative fund balance or negative equity position in each of the three preceding years as evidenced by audited financial statements; and

(iii)

Have a current ratio of less than 1:1 for each of three consecutive preceding years; or

(iv)

Be deemed to the satisfaction of the commissioner to be a provider that fulfills an unmet health care need for the community as determined by the department through consideration of the volume of Medicaid and medically indigent patients served; the service volume and mix, including but not limited to maternity, pediatrics, trauma, behavioral and neurobehavioral, ventilator, and emergency room volume; and, the significance of the institution in ensuring health care services access as measured by market share within the region.

(c)

Prior to an award being granted to an eligible applicant without a competitive bid or request for proposal process, the commissioner and the director of the dormitory authority shall notify the chair of the senate finance committee, the chair of the assembly ways and means committee and the director of the division of budget of the intent to grant such an award. Such notice shall include information regarding how the eligible applicant meets criteria established pursuant to this section.

3.

Notwithstanding subdivisions one and two of this section, sections one hundred twelve and one hundred sixty-three of the state finance law, or any other inconsistent provision of law, of the funds available for expenditure pursuant to this section, thirty million dollars may be allocated and distributed by the commissioner without a competitive bid or request for proposal process for grants to residential health care facilities for the purpose of restructuring such facilities to achieve a reduction in certified inpatient bed capacity. Consideration relied upon by the commissioner in determining the allocation and distribution of these funds shall include, but not be limited to, the following:

(a)

the existing and projected need for inpatient nursing home beds and community based long-term care services in the area in which a facility applying for such funds is located;

(b)

the quality of the care being provided by the facility;

(c)

the ability of the facility to access, in a timely manner, alternative sources of funding, including other sources of government funding; and

(d)

whether additional funding would permit the facility to achieve greater stability and efficiency in the delivery of needed health care services.

4.

Notwithstanding the provisions of subdivision one of this section, the commissioner and the director of the dormitory authority may award, in an amount not to exceed twenty-five million dollars of the health care system improvement capital grant program allocated in any given fiscal year, grants to eligible applicants without the process set forth in subdivision one of this section to provide necessary restructuring support to hospitals for transition to a new reimbursement methodology.

(a)

With respect to the process for the awarding of such funds without the process set forth in subdivision one of this section, the commissioner and director of the dormitory authority shall determine eligible awardees based solely on an applicant’s ability to meet the following criteria:

(i)

have a loss of operations for each of the three consecutive preceding years as evidence by audited financial statements; and

(ii)

have a negative fund balance or negative equity position in each of the three preceding years as evidence by audited financial statements; and

(iii)

have a current ratio of less than 1:1 for each of three consecutive preceding days; or

(iv)

be deemed to the satisfaction of the commissioner to be a provider that fulfills an unmet health care need for the community as determined by the department through consideration of the volume of Medicaid and medically indigent patients served; the service volume and mix, including but not limited to maternity, pediatrics, trauma, behavior and neurobehavioral, ventilator, and emergency room volume; and, the significance of the institution in ensuring health care services access as measured by market share within the region; or

(v)

be deemed to the satisfaction of the commissioner to have incurred operating losses resulting from the implementation of reimbursement rate reforms and other reductions enacted by a chapter of the laws of two thousand nine, to provide for the continued financial viability of the applicant.

(b)

Prior to an award being granted to an eligible applicant without a competitive bid or request for proposal process, the commissioner and the director of the dormitory authority shall notify the chair of the senate finance committee, the chair of the assembly ways and means committee and the director of the budget of the intent to grant such an award. Such notice shall include information regarding how the eligible applicant meets criteria established pursuant to this section.

5.

(a) Notwithstanding subdivision one, two or three of this section, the commissioner, with the approval of the director of the budget, may expend funds for the purpose of providing cost effective increased access to the capital markets, including but not limited to through the use of mortgage insurance, credit enhancement, letters of credit, bond insurance or other arrangements, for capital projects that are determined to meet one or more of the following objectives for hospitals licensed under this article:

(i)

securing financing for facilities in a manner that will improve the operation and efficiency of the health care delivery system within the state;

(ii)

securing financing for facilities in a manner consistent with the objectives and determinations of the Commission on Health Care Facilities in the Twenty-First Century, established pursuant to chapter sixty-three of the laws of two thousand five;

(iii)

securing financing for facilities in a manner that will help rightsize the state’s acute care infrastructure, including reducing inpatient capacity, downsizing, restructuring, and closing facilities;

(iv)

securing financing for facilities in a manner that advances the reform of the long-term care system, including through rightsizing and providing community-based services;

(v)

securing financing for facilities in a manner that improves the primary and ambulatory care system including programs undertaken in collaboration with a local development corporation incorporated pursuant to sections four hundred one and one thousand four hundred eleven of the not-for-profit corporation law to foster the development and expansion of high quality, cost effective primary health care services and related ambulatory care and ancillary services benefiting medically underserved communities, principally in the state, to increase access of community residents to such services, to improve the health status of such residents and to lessen the burdens of government and act in the public interest; and

(vi)

such other objectives as the commissioner deems appropriate to effectuate the intent of this subdivision.

(b)

The commissioner may transfer funds to other state agencies or public authorities, with the approval of the director of budget, to effectuate the purposes of this subdivision.

6.

Notwithstanding any contrary provision of this section, sections one hundred twelve and one hundred sixty-three of the state finance law, or any other contrary provision of law, subject to available appropriations, funds available for expenditure pursuant to this section may be distributed by the commissioner without a competitive bid or request for proposal process for grants to general hospitals and residential health care facilities for the purpose of facilitating closures, mergers and restructuring of such facilities in order to strengthen and protect continued access to essential health care resources. Provided however, that to the extent practicable, the commissioner shall award such grants equitably among health planning regions of the state. Prior to an award being granted to an eligible applicant without a competitive bid or request for proposal process, the commissioner shall notify the chair of the senate finance committee, the chair of the assembly ways and means committee and the director of the division of budget of the intent to grant such an award. Such notice shall include information regarding how the eligible applicant meets criteria established pursuant to this section.

7.

Notwithstanding subdivisions one and two of this section, sections one hundred twelve and one hundred sixty-three of the state finance law, or any other inconsistent provision of law, of the funds available for expenditure pursuant to this section, the commissioner may allocate and distribute, without a competitive bid or request for proposal process, grants to accountable care organizations under article 29-E (Accountable Care Organizations)article twenty-nine-E of this chapter for the purpose of promoting their formation and improving their operation. Consideration relied upon by the commissioner in determining the allocation and distribution of these funds shall include, but not be limited to, the need for and capacity of the accountable care organization to accomplish the purposes of article 29-E (Accountable Care Organizations)article twenty-nine-E of this chapter in the area to be served.

8.

On or before December first, two thousand fourteen, the department shall issue a report to the governor, the temporary president of the senate and the speaker of the assembly regarding grants made pursuant to this section to support health information technology.

Source: Section 2818 — Health care efficiency and affordability law of New Yorkers (HEAL NY) capital grant program, https://www.­nysenate.­gov/legislation/laws/PBH/2818 (updated Sep. 22, 2014; accessed Jul. 13, 2024).

2800
Declaration of policy and statement of purpose
2801
Definitions
2801‑A
Establishment or incorporation of hospitals
2801‑B
Improper practices in hospital staff appointments and extension of professional privileges prohibited
2801‑C
Injunctions
2801‑D
Private actions by patients of residential health care facilities
2801‑E
Voluntary residential health care facility rightsizing demonstration program
2801‑F
Residential health care facility quality incentive payment program
2801‑G
Community forum on hospital closure
2801‑H
Personal caregiving and compassionate caregiving visitors to nursing home residents during declared local or state health emergencies
2802
Approval of construction
2802‑A
Transitional care unit demonstration program
2802‑B
Health equity impact assessments
2803
Commissioner and council
2803‑A
Authority to contract
2803‑AA
Sickle cell disease information distribution
2803‑AA*2
Nursing home infection control competency audit
2803‑B
Uniform reports and accounting systems for hospital costs
2803‑C
Rights of patients in certain medical facilities
2803‑C‑1
Rights of patients in certain medical facilities
2803‑C‑2
Lesbian, gay, bisexual and transgender, and people living with HIV long-term care facility residents’ bill of rights
2803‑D
Reporting abuses of persons receiving care or services in residential health care facilities
2803‑E
Residential health care facilities
2803‑E*2
Reporting incidents of possible professional misconduct
2803‑F
Respite projects
2803‑G
Board of visitors in county owned residential health care facility
2803‑H
Health related facility
2803‑I
General hospital inpatient discharge review program
2803‑J
Information for maternity patients
2803‑J*2
Nursing home nurse aide registry
2803‑K
In-patient nasogastric feeding procedures
2803‑L
Community service plans
2803‑M
Discharge of hospital patients to adult homes
2803‑N
Hospital care for maternity patients
2803‑O
Hospital care for mastectomy, lumpectomy, and lymph node dissection patients
2803‑O‑1
Required protocols for fetal demise
2803‑P
Disclosure of information concerning family violence
2803‑Q
Family councils in residential health care facilities
2803‑R
Dissemination of information about the abandoned infant protection act
2803‑S
Access to product recall information
2803‑T
Preadmission information
2803‑U
Hospital substance use disorder policies and procedures
2803‑V
Lymphedema information distribution
2803‑V*2
Standing orders for newborn care in a hospital
2803‑W
Independent quality monitors for residential health care facilities
2803‑W*2
Disclosure of information concerning pregnancy complications
2803‑X
Requirements related to nursing homes and related assets and operations
2803‑Y
Provision of residency agreement
2803‑Z
Transfer, discharge and voluntary discharge requirements for residential health care facilities
2803‑Z*2
Antimicrobial resistance prevention and education
2804
Units for hospital and health-related affairs
2804‑A
State task force on clinical practice guidelines and medical technology assessment
2805
Approval of hospitals
2805‑A
Disclosure of financial transactions
2805‑B
Admission of patients and emergency treatment of nonadmitted patients
2805‑C
Every private proprietary nursing home having a capacity of eighty patients or more may have a licensed medical doctor in attendance, upo...
2805‑D
Limitation of medical, dental or podiatric malpractice action based on lack of informed consent
2805‑E
Reports of residential health care facilities
2805‑F
Money deposited or advanced for admittance to nursing homes
2805‑G
Maintenance of records
2805‑H
Immunizations
2805‑I
Treatment of sexual offense victims and maintenance of evidence in a sexual offense
2805‑J
Medical, dental and podiatric malpractice prevention program
2805‑K
Investigations prior to granting or renewing privileges
2805‑L
Adverse event reporting
2805‑M
Confidentiality
2805‑N
Child abuse prevention
2805‑O
Identification of veterans and their spouses by nursing homes, residential health care facilities, and adult care facilities
2805‑P
Emergency treatment of rape survivors
2805‑Q
Hospital visitation by domestic partner
2805‑R
Patients unable to verbally communicate
2805‑S
Circulating nurse required
2805‑T
Clinical staffing committees and disclosure of nursing quality indicators
2805‑U
Credentialing and privileging of health care practitioners providing telemedicine services
2805‑V
Observation services
2805‑W
Patient notice of observation services
2805‑X
Hospital-home care-physician collaboration program
2805‑Y
Identification and assessment of human trafficking victims
2805‑Z
Hospital domestic violence policies and procedures
2806
Hospital operating certificates
2806‑A
Temporary operator
2806‑B
Residential health care facilities
2807
Hospital reimbursement provisions
2807‑A
General hospital nineteen hundred eighty-six and nineteen hundred eighty-seven inpatient rates and charges
2807‑AA
Nurse loan repayment program
2807‑B
Outstanding payments and reports due under subdivision eighteen of section twenty-eight hundred seven-c, sections twenty-eight hundred se...
2807‑C
General hospital inpatient reimbursement for annual rate periods beginning on or after January first, nineteen hundred eighty-eight
2807‑D
Hospital assessments
2807‑D‑1
Hospital quality contributions
2807‑DD
Temporary nursing home stability contributions
2807‑E
Uniform bills
2807‑F
Health maintenance organization payment factor
2807‑FF
New York managed care organization provider tax
2807‑I
Service and quality improvement grants
2807‑J
Patient services payments
2807‑K
General hospital indigent care pool
2807‑L
Health care initiatives pool distributions
2807‑M
Distribution of the professional education pools
2807‑N
Palliative care education and training
2807‑O
Early intervention services pool
2807‑P
Comprehensive diagnostic and treatment centers indigent care program
2807‑R
Funding for expansion of cancer services
2807‑S
Professional education pool funding
2807‑T
Assessments on covered lives
2807‑U
Transfers for tax credits
2807‑V
Tobacco control and insurance initiatives pool distributions
2807‑W
High need indigent care adjustment pool
2807‑X
Grants for long term care demonstration projects
2807‑Y
Pool administration
2807‑Z
Review of eligible federally qualified health center capital projects
2808
Residential health care facilities
2808‑A
Liability of certain persons
2808‑B
Certification of financial statements and financial information
2808‑C
Reimbursement of general hospital inpatient services
2808‑D
Nursing home quality improvement demonstration program
2808‑E
Residential health care for children with medical fragility in transition to young adults and young adults with medical fragility demonst...
2808‑E*2
Nursing home ratings
2809
Residential health care facilities
2810
Residential health care facilities
2811
Discounts and splitting fees with medical referral services
2812
Construction
2813
Separability
2814
Health networks, global budgeting, and health care demonstrations
2815
Health facility restructuring program
2815‑A
Community health care revolving capital fund
2816
Statewide planning and research cooperative system
2816‑A
Cardiac services information
2817
Community health centers capital program
2818
Health care efficiency and affordability law of New Yorkers (HEAL NY) capital grant program
2819
Hospital acquired infection reporting
2820
Home based primary care for the elderly demonstration project
2821
State electronic health records (EHR) loan program
2822
Residential care off-site facility demonstration project
2823
Supportive housing development program
2824
Central service technicians
2824*2
Surgical technology and surgical technologists
2825
Capital restructuring financing program
2825‑A
Health care facility transformation program: Kings county project
2825‑B
Oneida county health care facility transformation program: Oneida county project
2825‑C
Essential health care provider support program
2825‑D
Health care facility transformation program: statewide
2825‑E
Health care facility transformation program: statewide II
2825‑F
Health care facility transformation program: statewide III
2825‑G
Health care facility transformation program: statewide IV
2825‑H
Health care facility transformation program: statewide V
2825‑I
Healthcare safety net transformation program
2826
Temporary adjustment to reimbursement rates
2827
Plant-based food options
2828
Residential health care facilities
2828*2
Essential support persons allowed for individuals with disabilities during a state of emergency
2829
Nursing homes
2830
Surgical smoke evacuation
2830*2
Regulation of the billing of facility fees

Accessed:
Jul. 13, 2024

Last modified:
Sep. 22, 2014

§ 2818’s source at nysenate​.gov

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