BILL NUMBER: S5369
SPONSOR: RIVERA
 
TITLE OF BILL:
An act to amend the public health law, in relation to equity withdrawals
by non-public residential health care facilities; and to amend the state
finance law, in relation to establishing the nursing home worker
recruitment and safety fund
 
PURPOSE:
Provides for the establishment and funding of the nursing home worker
recruitment and safety fund and allows for qualifying private residen-
tial healthcare facilities to withdraw and transfer assets aggregated to
exceed five percent of said facilities total revenue. Qualifying facil-
ities must be compliant with the minimum staffing requirements over the
two immediately preceding quarters.
 
SUMMARY OF SPECIFIC PROVISIONS:
Section 1 amends paragraphs (b) and (c) of subdivision 5 of section 2808
of the Public Health Law by adding new subparagraph (ii). This legis-
lation provides for residential healthcare facilities who have been
compliant with the outlined staffing requirements to transfer and with-
draw assets totaling to over five percent of the facilities total
reported revenue for patient care services. This qualifying determi-
nation would be based upon the facilities most recently available
reported data, without prior written notification to the commissioner of
health.
Section 2 amends Section 2895-b to create a new Subdivision 5 to provide
that all fines and civil penalties collected by the Commissioner of
Health pursuant with this section would be deposited into a nursing home
worker recruitment and safety fund. Such funds would enhance the quality
of employment for residential healthcare facility staff. Money would be
distributed to providers under this subdivision in the forms of grants.
Criteria for selection would include location of facility, and the
commissioner of health is responsible for drafting rules and regulations
necessary to implement such a program. Money for the fund would be kept
separate from all other funds under the state controller.
Section 3 adds a new section 99-ss to the state finance law to establish
the nursing home worker recruitment and safety fund.
Section 4 provides an effective date.
 
JUSTIFICATION:
In the last 10 years, the rate of nursing home closures has been on a
rise and has only been exacerbated by the Covid-19 pandemic. In addition
to the financial hit taken on by private residential facilities, some of
which being family run, many nursing homes lack the funding to provide
proper effective care and enough adequate staff to do so. With the cost
of labor rising, and the major funding shortfall as Medicaid will only
reimburse 70-80% of costs- those most at risk are put in an even farther
vulnerable position. This bill would not only encourage private health-
care facilities to comply with minimum staffing requirements but creates
a dedicated fund to better support the staff of these locations. Utiliz-
ing this fund to support facilities deemed in need will balance the
inequality by funding this program through fining facilities who do not
comply with staffing requirements. This fund would improve recruiting
efforts to balance the patient to staff ratio and the overall quality of
work for staff.
 
LEGISLATIVE HISTORY:
2024: S9599 Rivera/A10262-A Paulin
 
FISCAL IMPLICATIONS:
To be determined.
 
EFFECTIVE DATE:
Effective immediately.

Statutes affected:
S5369: 2895-b public health law