STATE OF NEW YORK ________________________________________________________________________ 8648 IN SENATE February 26, 2024 ___________ Introduced by Sen. ASHBY -- read twice and ordered printed, and when printed to be committed to the Committee on Finance AN ACT to amend section 1 of part C of chapter 58 of the laws of 2005 relating to authorizing reimbursements for expenditures made by or on behalf of social services districts for medical assistance for needy persons and the administration thereof, in relation to phasing out such reimbursements The People of the State of New York, represented in Senate and Assem- bly, do enact as follows: 1 Section 1. Subdivision (c) of section 1 of part C of chapter 58 of the 2 laws of 2005 relating to authorizing reimbursements for expenditures 3 made by or on behalf of social services districts for medical assistance 4 for needy persons and the administration thereof, is amended and twelve 5 new subdivisions (c-2), (c-3), (c-4), (c-5), (c-6), (c-7), (c-8), (c-9), 6 (c-10), (c-11), (c-12) and (c-13) are added to read as follows: 7 (c) Commencing with the calendar year beginning January 1, 2006, 8 calendar year social services district medical assistance expenditure 9 amounts for each social services district shall be calculated by multi- 10 plying the results of the calculations performed pursuant to paragraph 11 (b) of this section by a non-compounded trend factor, as follows: 12 (i) 2006 (January 1, 2006 through December 31, 2006): 3.5%; 13 (ii) 2007 (January 1, 2007 through December 31, 2007): 6.75% (3.25% 14 plus the prior year's 3.5%); 15 (iii) 2008 (January 1, 2008 through December 31, 2008): 9.75% (3% 16 plus the prior year's 6.75%); 17 (iv) 2009 (January 1, 2009 through December 31, 2009), and each 18 succeeding calendar year through December 31, 2024: prior year's trend 19 factor percentage plus 3%. 20 (c-2) Notwithstanding the provisions of section 368-a of the social 21 services law, or any other provision of law, commencing with the period 22 January 1, 2024 through December 31, 2024, calendar year social services 23 district medical assistance expenditure amounts for each social services 24 district shall be reduced by 10% from the 2023 expenditures. No less 25 than 100% of the annual savings from this medical assistance expenditure EXPLANATION--Matter in italics (underscored) is new; matter in brackets [ ] is old law to be omitted. LBD14391-01-4
S. 8648 2 1 reduction, compared to the prior year medical assistance expenditure, 2 shall be used for property tax levy reductions, or property tax rebates, 3 effective in the local government's 2025 fiscal year. This section shall 4 apply only to the local governments as defined by, and subject to, the 5 provisions of section 3-c of the general municipal law and section 6 2023-a of the education law. 7 (c-3) Notwithstanding the provisions of section 368-a of the social 8 services law, or any other provision of law, commencing with the period 9 January 1, 2025 through December 31, 2025, calendar year social services 10 district medical assistance expenditure amounts for each social services 11 district shall be reduced by 20% from the 2023 expenditures. No less 12 than 100% of the annual savings from this medical assistance expenditure 13 reduction, compared to the prior year medical assistance expenditure, 14 shall be used for property tax levy reductions, or property tax rebates, 15 effective in the local government's 2026 fiscal year. This section shall 16 apply only to the local governments as defined by, and subject to, the 17 provisions of section 3-c of the general municipal law and section 18 2023-a of the education law. 19 (c-4) Notwithstanding the provisions of section 368-a of the social 20 services law, or any other provision of law, commencing with the period 21 January 1, 2026 through December 31, 2026, calendar year social services 22 district medical assistance expenditure amounts for each social services 23 district shall be reduced by 30% from the 2023 expenditures. No less 24 than 100% of the annual savings from this medical assistance expenditure 25 reduction, compared to the prior year medical assistance expenditure, 26 shall be used for property tax levy reductions, or property tax rebates, 27 effective in the local government's 2027 fiscal year. This section shall 28 apply only to the local governments as defined by, and subject to, the 29 provisions of section 3-c of the general municipal law and section 30 2023-a of the education law. 31 (c-5) Notwithstanding the provisions of section 368-a of the social 32 services law, or any other provision of law, commencing with the period 33 January 1, 2027 through December 31, 2027, calendar year social services 34 district medical assistance expenditure amounts for each social services 35 district shall be reduced by 40% from the 2023 expenditures. No less 36 than 100% of the annual savings from this medical assistance expenditure 37 reduction, compared to the prior year medical assistance expenditure, 38 shall be used for property tax levy reductions, or property tax rebates, 39 effective in the local government's 2028 fiscal year. This section shall 40 apply only to the local governments as defined by, and subject to, the 41 provisions of section 3-c of the general municipal law and section 42 2023-a of the education law. 43 (c-6) Notwithstanding the provisions of section 368-a of the social 44 services law, or any other provision of law, commencing with the period 45 January 1, 2028 through December 31, 2028, calendar year social services 46 district medical assistance expenditure amounts for each social services 47 district shall be reduced by 50% from the 2023 expenditures. No less 48 than 100% of the annual savings from this medical assistance expenditure 49 reduction, compared to the prior year medical assistance expenditure, 50 shall be used for property tax levy reductions, or property tax rebates, 51 effective in the local government's 2029 fiscal year. This section shall 52 apply only to the local governments as defined by, and subject to, the 53 provisions of section 3-c of the general municipal law and section 54 2023-a of the education law. 55 (c-7) Notwithstanding the provisions of section 368-a of the social 56 services law, or any other provision of law, commencing with the period
S. 8648 3 1 January 1, 2029 through December 31, 2029, calendar year social services 2 district medical assistance expenditure amounts for each social services 3 district shall be reduced by 60% from the 2023 expenditures. No less 4 than 100% of the annual savings from this medical assistance expenditure 5 reduction, compared to the prior year medical assistance expenditure, 6 shall be used for property tax levy reductions, or property tax rebates, 7 effective in the local government's 2030 fiscal year. This section shall 8 apply only to the local governments as defined by, and subject to, the 9 provisions of section 3-c of the general municipal law and section 10 2023-a of the education law. 11 (c-8) Notwithstanding the provisions of section 368-a of the social 12 services law, or any other provision of law, commencing with the period 13 January 1, 2030 through December 31, 2030, calendar year social services 14 district medical assistance expenditure amounts for each social services 15 district shall be reduced by 70% from the 2023 expenditures. No less 16 than 100% of the annual savings from this medical assistance expenditure 17 reduction, compared to the prior year medical assistance expenditure, 18 shall be used for property tax levy reductions, or property tax rebates, 19 effective in the local government's 2031 fiscal year. This section shall 20 apply only to the local governments as defined by, and subject to, the 21 provisions of section 3-c of the general municipal law and section 22 2023-a of the education law. 23 (c-9) Notwithstanding the provisions of section 368-a of the social 24 services law, or any other provision of law, commencing with the period 25 January 1, 2031 through December 31, 2031, calendar year social services 26 district medical assistance expenditure amounts for each social services 27 district shall be reduced by 80% from the 2023 expenditures. No less 28 than 100% of the annual savings from this medical assistance expenditure 29 reduction, compared to the prior year medical assistance expenditure, 30 shall be used for property tax levy reductions, or property tax rebates, 31 effective in the local government's 2032 fiscal year. This section shall 32 apply only to the local governments as defined by, and subject to, the 33 provisions of section 3-c of the general municipal law and section 34 2023-a of the education law. 35 (c-10) Notwithstanding the provisions of section 368-a of the social 36 services law, or any other provision of law, commencing with the period 37 January 1, 2032 through December 31, 2032, calendar year social services 38 district medical assistance expenditure amounts for each social services 39 district shall be reduced by 90% from the 2023 expenditures. No less 40 than 100% of the annual savings from this medical assistance expenditure 41 reduction, compared to the prior year medical assistance expenditure, 42 shall be used for property tax levy reductions, or property tax rebates, 43 effective in the local government's 2033 fiscal year. This section shall 44 apply only to the local governments as defined by, and subject to, the 45 provisions of section 3-c of the general municipal law and section 46 2023-a of the education law. 47 (c-11) Notwithstanding the provisions of section 368-a of the social 48 services law, or any other provision of law, commencing with the period 49 January 1, 2033 through December 31, 2033, calendar year social services 50 district medical assistance expenditure amounts for each social services 51 district shall be reduced by 100% from the 2023 expenditures; and shall 52 remain eliminated each year thereafter. No less than 100% of the annual 53 savings from this medical assistance expenditure reduction, compared to 54 the prior year medical assistance expenditure, shall be used for proper- 55 ty tax levy reductions, or property tax rebates, effective in the local 56 government's 2034 fiscal year. This section shall apply only to the
S. 8648 4 1 local governments as defined by, and subject to, the provisions of 2 section 3-c of the general municipal law and section 2023-a of the 3 education law. 4 (c-12) Notwithstanding the provisions of section seven of this act, 5 any county that opted into the local sales tax intercept methodology 6 shall receive a proportionate reduction in the sales tax intercept as 7 described in subdivisions (c-2), (c-3), (c-4), (c-5), (c-6), (c-7), 8 (c-8), (c-9), (c-10) and (c-11) of this section and use these recaptured 9 funds for property tax reductions in the same manner as other local 10 jurisdictions as described. 11 (c-13) The minimum amount of annual property tax levy reductions 12 resulting from savings achieved as defined in subdivisions (c-2), (c-3), 13 (c-4), (c-5), (c-6), (c-7), (c-8), (c-9), (c-10) and (c-11) of this 14 section, shall be determined by the state comptroller and transmitted to 15 each local government one hundred eighty days in advance of the start of 16 the fiscal year for which the property tax reduction is to be effective. 17 § 2. This act shall take effect immediately.