N.Y. Public Health Law § 2825: Capital restructuring financing program

§ 2825. Capital restructuring financing program. 1. A capital

restructuring financing 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 enhancing the

quality, financial viability and efficiency of New York's health care

delivery system by transforming the system into a more rational

patient-centered care system that promotes population health and

improved well-being for all New Yorkers. The issuance of any bonds or

notes hereunder shall further be subject to 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. For the period April first, two thousand fourteen through March

thirty-first, two thousand twenty-one, funds made available for

expenditure pursuant to this section may be distributed by the

commissioner and the president of the authority, in consultation with

the commissioners of the office of mental health, office for people with

developmental disabilities and office for alcoholism and substance abuse

services, as applicable, for:

(a) capital grants to general hospitals, residential health care

facilities, diagnostics and treatment centers, and clinics licensed

pursuant to this chapter or the mental hygiene law, assisted living

programs, primary care providers, and home care providers certified or

licensed pursuant to article thirty-six of this chapter (collectively

"applicants") that qualify for payments under the delivery system reform

incentive payment program (DSRIP), in which case funding under this

paragraph shall be requested in such applicant's DSRIP application. Such

capital grant projects include, but are not limited to; closures,

mergers, restructuring, improvements to infrastructure, development of

primary care service capacity, development of telehealth infrastructure,

the promotion of integrated delivery systems that strengthen and protect

continued access to essential health care services and other

transformational projects as determined by the commissioner and the

president of the authority.

(b) capital grants to general hospitals, residential health care

facilities, diagnostic and treatment centers, and clinics licensed

pursuant to this chapter or the mental hygiene law, assisted living

programs, primary care providers, home care providers, certified or

licensed pursuant to article thirty-six of this chapter (collectively

"applicants") that are non-qualifying and non-participating applicants

under paragraph (a) of this subdivision, for capital non-operational

works or purposes that support the purposes set forth in this section.

Such capital grant projects include, but are not limited to; closures,

mergers, restructuring, improvements to infrastructure, development of

primary care service capacity, development of telehealth infrastructure,

the promotion of integrated delivery systems that strengthen and protect

continued access to essential health care services.

3. The commissioner and the president of the 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, as added by a chapter of the laws of two thousand fourteen, for the

purposes of awarding, distributing, and administering the funds made

available pursuant to this section. To the extent practicable, funds

shall be awarded regionally in proportion to the applications received

from the request for application issued by or before May first, two

thousand fifteen. Projects awarded 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.

(a) For capital grant projects under paragraph (a) of subdivision two

of this section, the evaluation of applications shall be submitted

pursuant to the process described in paragraph (b) of subdivision twenty

of section twenty-eight hundred seven of this article; provided,

however, that such capital grant projects shall not be subject to review

by the federal Centers for Medicare and Medicaid services.

(b) For monies allocated under paragraph (b) of subdivision two of

this section:

(i) the department shall post on its website, for a period of no less

than thirty days:

(A) the process by which such applications shall be reviewed;

(B) the criteria by which such applications shall be judged; and

(C) a list of approved and denied applications subsequent to such

determination.

(ii) the evaluation of applications shall be reviewed by the

department, pursuant to a process to be determined by the department.

Applications shall then be subject to review by the panel established

pursuant to paragraph (b) of subdivision twenty of section twenty-eight

hundred seven of this article, which shall submit its recommendations to

the commissioner for final determination. Determination of awards for

funds allocated under paragraph (b) of subdivision two of this section,

shall include, but not be limited to the following criteria:

(A) eligibility requirements for applicants;

(B) 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;

(E) the extent to which the applicant has access to alternative

financing;

(F) the extent to which the proposed project furthers the purposes set

forth in this section;

(G) the extent that the proposed project furthers the development of

primary care;

(H) the extent to which the proposed project benefits Medicaid

enrollees and uninsured individuals;

(I) the extent to which the proposed project addresses potential risk

to patient safety and welfare;

(J) the extent that the proposed project involves an applicant that

receives or has applied for a temporary rate adjustment pursuant to

applicable regulations; and

(K) the extent to which the proposed project will contribute to the

long term sustainability of the applicant.

The commissioner shall provide a report on a quarterly basis to the

chairs of the senate finance, assembly ways and means, senate health and

assembly health committees. Such reports shall be submitted no later

than sixty days after the close of the quarter, and shall conform to the

reporting requirements of subdivision twenty of section twenty-eight

hundred seven of this article, as applicable.