Bill Text: NY S00898 | 2017-2018 | General Assembly | Introduced

NOTE: There are more recent revisions of this legislation. Read Latest Draft

---

Bill Title: Authorizes the office of alcoholism and substance abuse services to provide funding to substance use disorder and/or compulsive gambling programs operated by for profit agencies.

Spectrum: Partisan Bill (Republican 10-0)

Status: (Engrossed - Dead) 2018-04-30 - referred to alcoholism and drug abuse [S00898 Detail]

Download: New_York-2017-S00898-Introduced.html

---

                STATE OF NEW YORK
        ________________________________________________________________________
                                           898
                               2017-2018 Regular Sessions
                    IN SENATE
                                     January 5, 2017
                                       ___________
        Introduced  by Sens. AMEDORE, AKSHAR, MURPHY, O'MARA, ORTT -- read twice
          and ordered printed, and when printed to be committed to the Committee
          on Alcoholism and Drug Abuse
        AN ACT to amend the mental hygiene law, in relation to  authorizing  the
          office  of  alcoholism and substance abuse services to provide funding
          to substance use disorder and/or compulsive gambling programs operated
          by for profit agencies
          The People of the State of New York, represented in Senate and  Assem-
        bly, do enact as follows:
     1    Section  1. Section 25.01 of the mental hygiene law, as added by chap-
     2  ter 471 of the laws of 1980, paragraphs 1, 2, 3 and  4  as  amended  and
     3  paragraphs  5,  6,  7  and 8 of subdivision (a) as added by section 3 of
     4  part G of chapter 56 of the laws of 2013, is amended to read as follows:
     5  § 25.01 Definitions.
     6    [(a)] As used [herein] in this article:
     7    1. "Local governmental unit" shall  have  the  same  meaning  as  that
     8  contained in article forty-one of this chapter.
     9    2. "Operating expenses" shall mean expenditures approved by the office
    10  and incurred for the maintenance and operation of substance use disorder
    11  and/or  compulsive  gambling  programs,  including  but  not  limited to
    12  expenditures for treatment, administration, personnel,  and  contractual
    13  services.  Operating  expenses  do  not  include  capital costs and debt
    14  service unless such expenses are related to the rent, financing or refi-
    15  nancing of the design, construction, acquisition, reconstruction,  reha-
    16  bilitation  or improvement of a substance use disorder and/or compulsive
    17  gambling program facility pursuant  to  the  mental  hygiene  facilities
    18  finance  program  through  the  dormitory authority [of the state of New
    19  York] (DASNY; successor to the Facilities Development  Corporation),  or
    20  otherwise approved by the office.
    21    3. "Debt  service"  shall mean amounts, subject to the approval of the
    22  office, required to be paid to amortize obligations including  principal
         EXPLANATION--Matter in italics (underscored) is new; matter in brackets
                              [ ] is old law to be omitted.
                                                                   LBD03835-01-7
        S. 898                              2
     1  and  interest,  assumed  by or on behalf of [a voluntary] an agency or a
     2  program operated by a local governmental unit.
     3    4. "Capital  costs"  shall  mean  the costs of a program operated by a
     4  local governmental unit or [a voluntary] an agency with respect  to  the
     5  acquisition  of real property estates, interests, and cooperative inter-
     6  ests in realty, their design,  construction,  reconstruction,  rehabili-
     7  tation  and improvement, original furnishings and equipment, site devel-
     8  opment, and appurtenances of a facility.
     9    5. "State aid" shall mean financial support provided through appropri-
    10  ations of the office to support the provision of substance use  disorder
    11  treatment, compulsive gambling, prevention or other authorized services,
    12  with  the exclusion of appropriations for the purpose of medical assist-
    13  ance.
    14    6. ["Voluntary  agency]  "Agency  contributions"  shall  mean  revenue
    15  sources  of  [voluntary]  agencies  exclusive of state aid and local tax
    16  levy.
    17    7. "Approved net operating cost" shall mean  the  remainder  of  total
    18  operating  expenses approved by the office, less all sources of revenue,
    19  including [voluntary] agency contributions and local tax levy.
    20    8. ["Voluntary agency"] "Agency" shall mean a corporation organized or
    21  existing pursuant to the not-for-profit corporation law for the  purpose
    22  of,  or any business entity providing substance use disorder, treatment,
    23  compulsive gambling, prevention or other authorized services.
    24    § 2. Section 25.03 of the mental hygiene law, as  amended  by  chapter
    25  223  of the laws of 1992, subdivisions (a) and (b) as amended and subdi-
    26  vision (d) as added by section 4 of part G of chapter 56 of the laws  of
    27  2013, is amended to read as follows:
    28  § 25.03 Financial support and disbursement of funds.
    29    (a)  In  accordance  with  the  provisions of this article, and within
    30  appropriations made available, the office may provide  state  aid  to  a
    31  program  operated  by a local governmental unit or [voluntary] an agency
    32  up to one hundred per centum of the approved net operating costs of such
    33  program operated by a local governmental unit or [voluntary] an  agency,
    34  and  state  aid  may  also  be  granted to a program operated by a local
    35  governmental unit or [a voluntary] an agency for capital  costs  associ-
    36  ated  with  the  provision  of  services  at a rate of up to one hundred
    37  percent of approved capital costs. Such state aid shall not  be  granted
    38  unless  and  until such program operated by a local governmental unit or
    39  [voluntary] an agency is in compliance with all regulations  promulgated
    40  by  the  commissioner  regarding the financing of capital projects. Such
    41  state aid for approved net operating costs shall be  made  available  by
    42  way  of  advance or reimbursement, through either contracts entered into
    43  between the office and such [voluntary] agency  or  by  distribution  of
    44  such  state  aid  to  local  governmental  units through a grant process
    45  pursuant to section 25.11 of this article.
    46    (b) Financial support by the office shall be subject to  the  approval
    47  of the director of the budget and within available appropriations.
    48    (c)  All  federal  financial  assistance  granted  or allocated to the
    49  office by the United States shall only be paid  out  on  the  audit  and
    50  warrant of the comptroller on the certificate of the commissioner or his
    51  authorized representative.
    52    (d) Nothing in this section shall be construed to require the state to
    53  increase  such  state  aid  should  a  local governmental unit choose to
    54  remove any portion of its local tax levy support  of  [voluntary]  agen-
    55  cies, although the state may choose to do so to address an urgent public
        S. 898                              3
     1  need,  or  conversely, may choose to reduce its state aid up to the same
     2  percentage as the reduction in local tax levy.
     3    §  3. Section 25.05 of the mental hygiene law, as amended by section 5
     4  of part G of chapter 56 of the laws of  2013,  is  amended  to  read  as
     5  follows:
     6  § 25.05 Reimbursement from other sources.
     7    The  office  shall  not  provide  [a voluntary] an agency or a program
     8  operated by a local governmental unit with financial support  for  obli-
     9  gations incurred by or on behalf of such program or agency for substance
    10  use disorder and/or compulsive gambling services for which reimbursement
    11  is or may be claimed under any provision of law other than this article.
    12    §  4. Section 25.07 of the mental hygiene law, as amended by section 7
    13  of part G of chapter 56 of the laws of  2013,  is  amended  to  read  as
    14  follows:
    15  § 25.07 Non-substitution.
    16    [A  voluntary] An agency or a program operated by a local governmental
    17  unit shall not substitute state monies for cash  contributions,  federal
    18  aid  otherwise  committed  to  or intended for use in such program or by
    19  such agency, revenues derived from the  operation  of  such  program  or
    20  agency, or the other resources available for use in the operation of the
    21  program or agency.
    22    §  5. Section 25.09 of the mental hygiene law, as amended by section 8
    23  of part G of chapter 56 of the laws of  2013,  is  amended  to  read  as
    24  follows:
    25  § 25.09 Administrative costs.
    26    Subject  to  the  approval  of  the director of the budget, the office
    27  shall establish a limit on the amount of financial support which may  be
    28  advanced  or reimbursed to [a voluntary] an agency or a program operated
    29  by a local governmental unit for the administration of a program.
    30    § 6. This act shall take effect immediately.