4/28/10 N.Y. St. Reg. MRD-07-10-00007-A
PURSUANT TO THE PROVISIONS OF THE State Administrative Procedure Act, NOTICE is hereby given of the following action:
Action taken:
Amendment of section 635-10.5 of Title 14 NYCRR.
Statutory authority:
Mental Hygiene Law, sections 13.09(b) and 43.02
Subject:
Fee setting for HCBS waiver day habilitation services.
Purpose:
To implement an efficiency adjustment.
Text or summary was published
in the February 17, 2010 issue of the Register, I.D. No. MRD-07-10-00007-P.
Final rule as compared with last published rule:
No changes.
Text of rule and any required statements and analyses may be obtained from:
Barbara Brundage, Director, Regulatory Affairs Unit, OMRDD, 44 Holland Avenue, Albany, New York 12229, (518) 474-1830, email:
barbara.brundage@omr.state.ny.usAdditional matter required by statute:
Pursuant to the requirements of the State Environmental Quality Review Act, OMRDD, as lead agency, has determined that the action described herein will have no effect on the environment, and an E.I.S. is not needed.
Assessment of Public Comment
Comments: OMRDD received two comments—one from the CEO of a small voluntary provider and another from a parent whose child participates in Day Habilitation programs and who is also a board member of long standing of a voluntary provider. The first individual contends that for a small agency, a 2.5% reduction in reimbursement is not modest, but is difficult particularly in light of escalating costs. She cites the 21% climb in health insurance rates in one year. She views the percent reduction for NPS as very high. The second individual projects that the 4% cut to the Day Habilitation program sponsored by the agency he represents can spell "disaster." He asks OMRDD to rethink this measure.
Response: OMRDD reviewed the specific impact of the day habilitation efficiency adjustment on small providers prior to the issuance of the regulations. The efficiency adjustment methodology was not found to disproportionately impact small providers. Additionally, the interests of small providers were represented through participation of provider agencies at OMRDD/Provider Association discussions addressing the implementation of the adjustment. Regulations do empower the Commissioner to exercise her discretion regarding the NPS reduction at the request of a provider who experiences hardship.
Over the last five years, OMRDD has instituted five separate initiatives intended to assist or enable providers to enhance health care coverage for their employees or to fund the spiraling costs. A sixth health care initiative is slated for 2010.
Concurrent with the efficiency adjustment, providers will realize additional reimbursement in many of their programs deriving from trend factor increases for the years 2009 and 2010.