What's happening
This bill amends the public health law to prohibit for-profit entities from owning or controlling managed long term care plans.
Why it matters
Limits corporate influence in long-term care. By restricting managed long term care plans to not-for-profit ownership, the bill aims to ensure that decisions about elderly and disabled individuals' care are made by organizations with community or patient-centered missions, rather than profit motives.
Could improve care quality and accountability. Not-for-profit entities are typically subject to different oversight, reinvest profits into services, and may be more responsive to community needs, potentially leading to better outcomes for people relying on long-term care.
Allows existing for-profit plans to continue temporarily. The amendment includes a “grandfather” clause, permitting entities that already received certificates of authority before the law’s enactment to remain eligible, which prevents abrupt disruption for current enrollees but phases out future for-profit ownership.
Signals broader policy shift. This legislation reflects a growing trend toward prioritizing public and non-profit management in critical health services, potentially influencing future health policy debates about the role of profit in healthcare.
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Who cares
Headline styles
Ban For-Profit Long-Term Care
Plain English, a few words. Used as the page title.
Sponsors
History
- Ordered to third reading rules cal.88
- Rules report cal.88
- Reported
- Reported referred to rules
- Print number 2358a
- Amend and recommit to ways and means
- Referred to ways and means
- Reported referred to rules
- Reported referred to ways and means
- Referred to health
Companion bill
The same bill in the other chamber. A bill becomes law when one version passes both houses and the governor signs it, so either number can carry it.
Ban For-Profit LTC Plans
In Senate Committee · Health · Sponsor Gustavo Rivera
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2358--A
2017-2018 Regular Sessions
IN ASSEMBLY
January 18, 2017
Introduced by M. of A. GOTTFRIED, L. ROSENTHAL, JAFFEE, STECK, HOOPER, D'URSO -- Multi-Sponsored by -- M. of A. ABINANTI, CARROLL, COOK, GUNTHER, TITONE -- read once and referred to the Committee on Health -- reported and referred to the Committee on Ways and Means -- recommitted to the Committee on Ways and Means in accordance with Assembly Rule 3, sec. 2 -- committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee
AN ACT to amend the public health law, in relation to managed long term care plans not being controlled or owned by for-profit health maintenance organizations or insurers
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Paragraph (b) of subdivision 1 of section 4403-f of the public health law, as added by chapter 659 of the laws of 1997, is amended to read as follows:
(b) "Eligible applicant" means an entity controlled or wholly owned by one or more of the following: a hospital as defined in subdivision one of section twenty-eight hundred one of this chapter; a home care agency licensed or certified pursuant to article thirty-six of this chapter; [an] a not-for-profit entity that has received a certificate of authority pursuant to sections forty-four hundred three, forty-four hundred three-a or an integrated delivery system that has received a certificate of authority pursuant to section forty-four hundred eight-a of this article (as added by chapter six hundred thirty-nine of the laws of nineteen hundred ninety-six), or a not-for-profit health maintenance organization authorized under article forty-three of the insurance law; or a not-for-profit organization which has a history of providing or coordinating health care services and long term care services to the elderly and disabled. However, an entity owned or controlled by an entity that has received a certificate of authority pursuant to section forty-four hundred three or forty-four hundred three-a of this article
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD00870-03-8
A. 2358--A 2
and has received a certificate of authority under this section prior to the effective date of the chapter of the laws of two thousand eighteen which enacted this sentence shall be deemed to be an eligible applicant.
§ 2. This act shall take effect immediately; provided, however, that the amendments to section 4403-f of the public health law made by section one of this act shall not affect the repeal of such section and shall be deemed repealed therewith.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.