Relates to the living wage adjustment of personal care service workers; authorizes the commissioner to adjust personal care services medical assistance rates of payment for personal care service providers; provides for such adjustments to be subject to subsequent adjustment or reconciliation in accordance with the local living wage law or are located within a city with a population of over one million persons which has enacted a local living wage law that applies to such persons; defines local living wage law.

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S3001-2011 Actions

• Jan 4, 2012: REFERRED TO HEALTH
• Feb 7, 2011: REFERRED TO HEALTH

S3001-2011 Memo

BILL NUMBER:S3001

TITLE OF BILL:
An act to amend the social services law and chapter 1 of the laws of
2002, amending the public health law, the social services law and the
tax law relating to the Health Care Reform Act of 2000, in relation to
the living wage adjustment for personal care services workers

PURPOSE OR GENERAL IDEA OF THE BILL:
To adjust
Medicaid rates to personal care service providers to enable them to meet
the cost of paying personal care workers a statutorily-mandated living
wage.

SUMMARY OF SPECIFIC PROVISIONS:
Section one amends
the social services law by adding a new section 367-x which directs the
Commissioner of Health to adjust Medicaid rates for personal care
service providers located in areas where a local government has enacted
a local living wage law. The adjustment to the rates shall be based on
the difference between the old rate and the rate that is necessary to
comply with the living wage law. Adjustments to rates of payment shall
be subject to subsequent adjustment in order to maintain compliance with
a local living wage law. Any additional money from the adjusted rates
must be used only for paying a statutorily mandated living wage to
non-supervisory personal care services workers. Each personal care
services provider shall submit a written certification attesting that
such funds will be used only for payment to non-supervisory personal
care services workers. The commissioner of health is authorized to audit
each provider to ensure compliance and shall recoup any funds not used
for such designated purpose. Adjustments, under this section, shall be
made pursuant to a memorandum of understanding entered into between the
state of New York and the local social services law.

Section two amends section 4 of part A of chapter 1 of the laws of 2002
which exempts increases in Medicaid costs due to a local living wage
bill from the Medicaid savings targets enacted in 1997, by adding the
new section 367-x of the social services district.

Section three provides the effective date.

JUSTIFICATION:
Many local governments in New York
State are passing laws which require that companies that contract with
the locality pay their workers a specified living wage. In most
counties, this would include personal care service providers. When
personal care services are provided to Medicaid recipients, the
providers are reimbursed through the Medicaid system. This bill requires
personal care service providers to be reimbursed immediately for the
increased costs due to statutorily-mandated living wages.

PRIOR LEGISLATIVE HISTORY:
A.756, 2009 reported and referred to ways and means.  2010referred
health.  Same as S.4986 (Foley), 2009 and 2010 referred to health
A.1223, 2008 and 2007 reported and referred to ways and means.


Same as S.3760 (Trunzo) A.8695, 2005 and 2006 reported and referred
to ways and means.

FISCAL IMPLICATIONS:
To be determined.

EFFECTIVE DATE:
Immediately.

S3001-2011 Text

                      S T A T E   O F   N E W   Y O R K
  ________________________________________________________________________

                                    3001

                         2011-2012 Regular Sessions

                              I N  SENATE

                              February 7, 2011
                                 ___________

  Introduced  by  Sen. PERKINS -- read twice and ordered printed, and when
    printed to be committed to the Committee on Health

  AN ACT to amend the social services law and chapter 1  of  the  laws  of
    2002,  amending the public health law, the social services law and the
    tax law relating to the Health Care Reform Act of 2000, in relation to
    the living wage adjustment for personal care services workers

    THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
  BLY, DO ENACT AS FOLLOWS:


    Section  1. The social services law is amended by adding a new section
  367-x to read as follows:

    S 367-X. PERSONAL CARE SERVICES WORKERS; LIVING WAGE ADJUSTMENT.    1.
  THE COMMISSIONER OF HEALTH SHALL, SUBJECT TO THE AVAILABILITY OF FEDERAL
  FINANCIAL  PARTICIPATION,  ADJUST PERSONAL CARE SERVICES MEDICAL ASSIST-
  ANCE RATES OF PAYMENT ESTABLISHED PURSUANT TO THIS  TITLE  FOR  PERSONAL
  CARE SERVICES PROVIDERS LOCATED IN LOCAL SOCIAL SERVICES DISTRICTS WHERE
  SUCH  SOCIAL  SERVICES  DISTRICTS  ARE LOCATED WITHIN A COUNTY WHICH HAS
  ENACTED A LOCAL LIVING WAGE LAW THAT APPLIES TO  SUCH  SERVICES  OR  ARE
  LOCATED WITHIN A CITY WITH A POPULATION OF MORE THAN ONE MILLION PERSONS
  WHICH HAS ENACTED A LOCAL LIVING WAGE LAW THAT APPLIES TO SUCH SERVICES.
  ADJUSTMENTS  SHALL BE MADE IN ACCORDANCE WITH SUBDIVISIONS TWO AND THREE
  OF THIS SECTION.
    2. ADJUSTMENTS TO RATES OF PAYMENT UNDER THIS SECTION SHALL  BE  ALLO-
  CATED  BASED  ON  THE  DIFFERENCE BETWEEN THE RATE OF HOURLY PAYMENT FOR
  PERSONAL CARE SERVICES WORKERS PRIOR TO AN ADJUSTMENT AND  THE  RATE  OF
  HOURLY  PAYMENT  THAT  WOULD BE REQUIRED TO COMPLY WITH THE LOCAL LIVING
  WAGE LAW.
    3. ADJUSTMENTS UNDER THIS SECTION, UPON APPLICATION BY A LOCAL  SOCIAL
  SERVICES  DISTRICT,  SHALL BE SUBJECT TO SUBSEQUENT ADJUSTMENT OR RECON-
  CILIATION FOR PURPOSES OF MAINTAINING COMPLIANCE  WITH  A  LOCAL  LIVING
  WAGE LAW.

   EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                        [ ] is old law to be omitted.
                                                             LBD00902-01-1

 S. 3001                             2

    4.  PERSONAL  CARE  SERVICES  PROVIDERS THAT HAVE THEIR RATES ADJUSTED
  UNDER THIS SECTION SHALL USE THE INCREASED  FUNDS  FOR  THE  PURPOSE  OF
  PAYING  A  STATUTORILY-MANDATED  LIVING WAGE TO NON-SUPERVISORY PERSONAL
  CARE SERVICES WORKERS ONLY AND SHALL NOT USE THE  FUNDS  FOR  ANY  OTHER
  PURPOSE.    EACH SUCH PERSONAL CARE SERVICES PROVIDER SHALL SUBMIT, AT A
  TIME AND IN A MANNER TO BE DETERMINED BY THE COMMISSIONER OF  HEALTH,  A
  WRITTEN  CERTIFICATION ATTESTING THAT SUCH FUNDS WILL BE USED SOLELY FOR
  THE PURPOSE OF PAYING A STATUTORILY-MANDATED LIVING WAGE  IN  ACCORDANCE
  WITH  A LOCAL LAW TO NON-SUPERVISORY PERSONAL CARE SERVICES WORKERS. THE
  COMMISSIONER OF HEALTH IS AUTHORIZED TO  AUDIT  EACH  SUCH  PROVIDER  TO
  ENSURE  COMPLIANCE  WITH  THIS  SUBDIVISION  AND  SHALL RECOUP ANY FUNDS
  DETERMINED TO HAVE BEEN USED FOR PURPOSES OTHER THAN PAYING A STATUTORI-
  LY-MANDATED LIVING WAGE TO NON-SUPERVISORY PERSONAL CARE SERVICES  WORK-
  ERS.  SUCH  RECOUPMENT  SHALL  BE  IN  ADDITION  TO  ANY OTHER PENALTIES
  PROVIDED BY LAW.
    5. FOR SOCIAL SERVICES DISTRICTS WHICH INCLUDE A  CITY  WITH  A  POPU-
  LATION  OF  MORE THAN ONE MILLION PERSONS ADJUSTMENTS UNDER THIS SECTION
  SHALL BE MADE PURSUANT  TO  MEMORANDUM  OF  UNDERSTANDING  ENTERED  INTO
  BETWEEN THE STATE OF NEW YORK AND THE LOCAL SOCIAL SERVICES DISTRICT.
    6.  ADJUSTMENTS  UNDER  THIS SECTION SHALL BE EFFECTIVE FOR PERIODS ON
  AND AFTER THE EFFECTIVE DATE OF A LOCAL LIVING WAGE LAW.
    7. FOR THE PURPOSES OF THIS SECTION, "LOCAL LIVING WAGE LAW" MEANS ANY
  LOCAL LAW OR, WHEN AUTHORIZED, LOCAL RESOLUTION THAT REQUIRES  A  COUNTY
  OR  UNIT  OF  LOCAL GOVERNMENT TO INCLUDE IN ANY CONTRACT FOR SERVICES A
  SPECIFIED MINIMUM HOURLY RATE OF PAYMENT  COMMONLY  KNOWN  AS  A  LIVING
  WAGE.
    S  2.  Section  4 of part A of chapter 1 of the laws of 2002, amending
  the public health law, the social services law and the tax law  relating
  to  the Health Care Reform Act of 2000, as amended by section 27 of part
  J of chapter 82 of the laws of 2002, is amended to read as follows:

    S 4. Notwithstanding any law, rule or regulation to the contrary,  the
  provisions of section 36 of chapter 433 of the laws of 1997, as amended,
  shall  have no force or effect with regard to Medicaid funds received by
  providers of personal care services pursuant to section 367-q  OR  367-X
  of  the social services law or pursuant to paragraph (bb) of subdivision
  1 of section 2807-v of the public health law, or by  providers  of  home
  care  services  pursuant  to subdivision 8 of section 3614 of the public
  health law.
    S 3. This act shall take effect immediately.