2023 New York Laws › PBH - Public Health › Article 28 - Hospitals › 2825-F - Health Care Facility Tranformation Program: Statewide Iii.

§  2825-f. Health care facility transformation program: statewide III.
1.  A statewide health care facility transformation  program  is  hereby
established  under  the joint administration of the commissioner and the
president of the dormitory authority of the state of New  York  for  the
purpose  of strengthening and protecting continued access to health care
services in communities. The program shall provide funding in support of
capital projects, debt retirement, working capital or other  non-capital
projects   that   facilitate   health   care  transformation  activities
including, but not limited to,  merger,  consolidation,  acquisition  or
other activities intended to: (a) create financially sustainable systems
of  care;  (b)  preserve  or  expand essential health care services; (c)
modernize obsolete facility  physical  plants  and  infrastructure;  (d)
foster  participation in alternative payment arrangements including, but
not limited to, contracts with managed care plans and  accountable  care
organizations;  (e) for residential health care facilities, increase the
quality  of  resident  care  or  experience;  or  (f)   improve   health
information   technology   infrastructure,   including   telehealth,  to
strengthen the acute, post-acute and long-term  care  continuum.  Grants
shall  not  be  available  to  support  general  operating expenses. The
issuance of any bonds or notes hereunder shall  be  subject  to  section
sixteen  hundred eighty-r of the public authorities law and the approval
of the director of the division of the budget, and any  projects  funded
through  the  issuance  of bonds or notes hereunder shall be approved by
the New York state public authorities control board, as  required  under
section fifty-one of the public authorities law.
2. The commissioner and the president of the dormitory authority shall
enter  into  an  agreement,  subject  to approval by the director of the
budget, and subject to section sixteen hundred eighty-r  of  the  public
authorities  law,  for  the  purposes  of  awarding,  distributing,  and
administering the funds made available pursuant to  this  section.  Such
funds  may  be  distributed  by  the  commissioner for grants to general
hospitals, residential health care  facilities,  adult  care  facilities
licensed  under  title  two of article seven of the social services law,
diagnostic and treatment centers and clinics licensed pursuant  to  this
chapter  or  the  mental  hygiene  law, children's residential treatment
facilities licensed pursuant to article thirty-one of the mental hygiene
law, assisted living programs approved by  the  department  pursuant  to
section  four  hundred  sixty-one-l  of  the  social  services  law, and
community-based health care providers as defined in subdivision three of
this section for grants in support of the purposes  set  forth  in  this
section.  A copy of such agreement, and any amendments thereto, shall be
provided to the chair of the senate finance committee, the chair of  the
assembly  ways  and means committee, and the director of the division of
the budget no later than thirty days prior to the release of  a  request
for  applications  for  funding under this program. Projects awarded, in
whole or part, under sections  twenty-eight  hundred  twenty-five-a  and
twenty-eight hundred twenty-five-b of this article shall not be eligible
for grants or awards made available under this section.
3.  Notwithstanding  section  one  hundred  sixty-three  of  the state
finance law or any inconsistent provision of law to the contrary, up  to
five  hundred  twenty-five million dollars of the funds appropriated for
this program shall be awarded without a competitive bid or  request  for
proposal   process  for  grants  to  health  care  providers  (hereafter
"applicants"). Provided, however, that a minimum of: (a)  sixty  million
dollars  of  total awarded funds shall be made to community-based health
care providers, which for purposes of this section shall be defined as a
diagnostic  and  treatment  center  licensed  or  granted  an  operating
certificate  under  this  article;  a  mental  health clinic licensed or

granted an operating certificate under article thirty-one of the  mental
hygiene  law;  a  substance  use  disorder  treatment clinic licensed or
granted an operating certificate under article thirty-two of the  mental
hygiene  law;  a  primary care provider; a clinic licensed or granted an
operating certificate under article sixteen of the mental hygiene law; a
home care provider certified or licensed pursuant to article  thirty-six
of   this   chapter;  or  hospices  licensed  or  granted  an  operating
certificate pursuant to article forty of this chapter and (b) forty-five
million dollars of the total awarded funds shall be made to  residential
health care facilities.
4. Notwithstanding any inconsistent subdivision of this section or any
other  provision  of  law  to  the  contrary, the commissioner, with the
approval of the director of the budget, may expend up to twenty  million
dollars   of  the  funds  appropriated  for  this  program  pursuant  to
subdivision three of this section, not  including  funds  dedicated  for
community-based  health  care  providers  under  paragraph  (a)  of such
subdivision or for residential health care  facilities  under  paragraph
(b)  of  such  subdivision, for awards made pursuant to paragraph (l) of
subdivision three of section four  hundred  sixty-one-l  of  the  social
services law, provided that funding shall be prioritized for awards made
pursuant  to  subparagraph (i) of such paragraph, with remaining funding
available for awards made pursuant to subparagraphs (ii)  and  (iii)  of
such paragraph.
4-a.   Notwithstanding   subdivision   two  of  this  section  or  any
inconsistent provision of law to the contrary, and upon approval of  the
director   of   the   budget,  the  commissioner  may,  subject  to  the
availability of lawful appropriation, award up to three hundred  million
dollars  of  the  funds  made  available  pursuant  to  this section for
unfunded project applications submitted in response to the  request  for
applications  number  17648  issued by the department on January eighth,
two  thousand  eighteen  pursuant  to   section   twenty-eight   hundred
twenty-five-e  of  this article, provided however that the provisions of
subdivisions three and four of this section shall apply.
4-b.  Authorized  amounts  to  be  awarded  pursuant  to  applications
submitted  in response to the request for application number 17648 shall
be awarded no later than September first, two thousand nineteen.
5. In determining awards for eligible applicants under  this  section,
the commissioner shall consider criteria including, but not limited to:
(a)  the  extent  to which the proposed project will contribute to the
integration of health care services or the long term  sustainability  of
the  applicant  or  preservation  of  essential  health  services in the
community or communities served by the applicant;
(b) the extent to which the proposed project  or  purpose  is  aligned
with  delivery  system  reform incentive payment ("DSRIP") program goals
and objectives;
(c) the geographic distribution of funds;
(d) the relationship  between  the  proposed  project  and  identified
community need;
(e)  the  extent  to  which  the  applicant  has access to alternative
financing;
(f) the extent to which the proposed project furthers the  development
of primary care and other outpatient services;
(g)  the  extent  to  which  the  proposed  project  benefits Medicaid
enrollees and uninsured individuals;
(h) the extent to  which  the  applicant  has  engaged  the  community
affected  by  the  proposed  project  and  the manner in which community
engagement has shaped such project; and
(i) the extent to which the proposed project addresses potential  risk
to patient safety and welfare.
6.  Disbursement  of  awards  made  pursuant  to this section shall be
conditioned on the awardee achieving  certain  process  and  performance
metrics  and  milestones  as  determined  in  the sole discretion of the
commissioner. Such metrics and milestones shall be structured to  ensure
that  the  goals  of  the  project  are  achieved,  and such metrics and
milestones shall be included in grant disbursement agreements  or  other
contractual documents as required by the commissioner.
7.  The  department shall provide a report on a quarterly basis to the
chairs of the senate finance, assembly ways and means,  and  senate  and
assembly health committees, until such time as the department determines
that  the  projects  that  receive  funding pursuant to this section are
substantially complete. Such reports shall be submitted  no  later  than
sixty  days  after the close of the quarter, and shall include, for each
award, the name of the  applicant,  a  description  of  the  project  or
purpose,  the  amount  of  the  award,  disbursement date, and status of
achievement of process and performance metrics and  milestones  pursuant
to subdivision six of this section.