What's happening
This bill exempts certain patient-paid receipts from the gross receipts assessment on residential health care facilities in New York.
Why it matters
Shields out-of-pocket payers. By exempting receipts directly paid by patients or their representatives (like family or trusts) from the 6% gross receipts assessment, the bill ensures that individuals who cover their own long-term care costs aren’t additionally burdened by this state-imposed fee.
Encourages personal payment options. The exemption may encourage more families to pay directly for residential health care facility services, potentially reducing reliance on government programs and administrative overhead.
Limits impact on certain trusts. Only trusts (or their creators) not regulated under insurance or health laws qualify for this exemption, which helps prevent insurance-based or institutional entities from exploiting the provision while still protecting personal/family assets.
Potential facility revenue impact. Facilities may see a shift in the composition of assessed revenue, possibly influencing their billing practices or the way they structure payments from private-pay patients compared to those funded by Medicare or Medicaid.
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Who cares
Headline styles
Exempt Patient Payments From Tax
Plain English, a few words. Used as the page title.
Sponsors
No co-sponsors yet.
History
- Referred to health
- Print number 2215a
- Amend and recommit to finance
- Reported and committed to finance
- 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.
Nursing Home Fee Exemptions
In Assembly Committee · Ways And Means · Sponsor Richard Gottfried
Full text
2 pagesUnderlined is new[Struck] is removedOfficial text on nysenate.gov ↗
STATE OF NEW YORK
2215--A
2017-2018 Regular Sessions
IN SENATE
January 12, 2017
Introduced by Sen. AKSHAR -- read twice and ordered printed, and when printed to be committed to the Committee on Health -- reported favorably from said committee and committed to the Committee on Finance -committee discharged, bill amended, ordered reprinted as amended and recommitted to said committee
AN ACT to amend the public health law, in relation to exemptions from assessments on residential health care facilities
The People of the State of New York, represented in Senate and Assembly, do enact as follows:
Section 1. Subparagraph (vi) of paragraph (b) of subdivision 2 of section 2807-d of the public health law, as amended by section 3 of part I of chapter 57 of the laws of 2017, is amended to read as follows:
(vi) Notwithstanding any contrary provision of this paragraph or any other provision of law or regulation to the contrary, for residential health care facilities the assessment shall be six percent of each residential health care facility's gross receipts received from all patient care services (except receipts attributable to services paid for by the patient, a natural person or custodian of the assets of the patient or other natural person on behalf of the patient, or an estate or trust on behalf of the patient; provided that such trust or the settlor thereof is not subject to regulation under the insurance law or this chapter) and other operating income on a cash basis for the period April first, two thousand two through March thirty-first, two thousand three for hospital or health-related services, including adult day services; provided, however, that residential health care facilities' gross receipts attributable to payments received pursuant to title XVIII of the federal social security act (medicare) shall be excluded from the assessment; provided, however, that for all such gross receipts received on or after April first, two thousand three through March thirty-first, two thousand five, such assessment shall be five percent, and further provided that for all such gross receipts received on or after April
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[ ] is old law to be omitted.
LBD04064-04-7
S. 2215--A 2
first, two thousand five through March thirty-first, two thousand nine, and on or after April first, two thousand nine through March thirtyfirst, two thousand eleven such assessment shall be six percent, and further provided that for all such gross receipts received on or after April first, two thousand eleven through March thirty-first, two thousand thirteen such assessment shall be six percent, and further provided that for all such gross receipts received on or after April first, two thousand thirteen through March thirty-first, two thousand fifteen such assessment shall be six percent, and further provided that for all such gross receipts received on or after April first, two thousand fifteen through March thirty-first, two thousand seventeen such assessment shall be six percent, and further provided that for all such gross receipts received on or after April first, two thousand seventeen through March thirty-first, two thousand nineteen such assessment shall be six percent.
§ 2. This act shall take effect on the ninetieth day after it shall have become a law.
Reflowed for reading: line numbers and page breaks removed. Cite the official text.
Sponsor's memo
Title of bill
An act to amend the public health law, in relation to exemptions from assessments on residential health care facilities
Purpose
This bill is intended to exempt the six percent assessment for residential health care facilities receipts that are attributable to services paid for by the patient, their caregiver, or custodian of the patient's assets.
Summary of provisions
Section 1 amends section 2807-d of the public health law to repeal six percent of the refundable assessment tax that patients and caregivers are currently obligated to pay.
Section 2 lists the effective date.
Justification
The Nursing Home Surcharge Tax was established in 2002 at a rate of 6.8%. 6.0% of the tax can be refunded through the Nursing Home Assessment Credit.
This bill abolishes the 6.0% tax that is already eligible for a refund so nursing home residents and their families can keep their hard-earned money and avoid the onerous paperwork associated with the Assessment Credit.
Seniors who are living on fixed incomes can scarcely afford to pay these costly fees out-of-pocket. Our most vulnerable citizens shouldn't be required to jump through these kinds of burdensome bureaucratic hoops to recoup their already limited savings.
Legislative history
New bill.
Fiscal implications
To be determined.
Effective date
This shall take effect on the one ninetieth day after it shall have become law.
Summaries, headlines and scores are AI-generated from the official bill text. How we score bills. Source: NYS Open Legislation.