S T A T E   O F   N E W   Y O R K
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                                  1724

                       2011-2012 Regular Sessions

                          I N  A S S E M B L Y

                            January 11, 2011
                               ___________

Introduced  by  M. of A. ROSENTHAL, DINOWITZ, GOTTFRIED, MILLMAN, CAHILL
  -- Multi-Sponsored by -- M. of A. BOYLAND, PAULIN,  J. RIVERA,  ROBIN-
  SON, WEISENBERG -- read once and referred to the Committee on Health

AN  ACT  to  amend the public health law, in relation to notification of
  rate increases to residents of assisted living residences

  THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
BLY, DO ENACT AS FOLLOWS:

  Section  1.    Title  4  of  article  46-B of the public health law is
amended by adding a new section 4664 to read as follows:
  S 4664. ASSISTED LIVING; RATE INCREASES.  1.  IF  AN  ASSISTED  LIVING
RESIDENCE  INCREASES  THE RATES OF FEES FOR RESIDENTS OR MAKES INCREASES
IN ANY OF ITS RATE STRUCTURES FOR SERVICES, THE OPERATOR  SHALL  PROVIDE
NO  LESS THAN FORTY-FIVE DAYS PRIOR NOTICE TO THE RESIDENTS OR THE RESI-
DENTS' REPRESENTATIVES SETTING FORTH THE AMOUNT  OF  THE  INCREASE,  THE
REASON FOR THE INCREASE, AND A DESCRIPTION OF THE METHODOLOGY, INCLUDING
A GENERAL DESCRIPTION OF THE ADDITIONAL COSTS, EXCEPT FOR AN INCREASE IN
THE  RATE  DUE  TO  A  CHANGE IN THE LEVEL OF CARE OF THE RESIDENT. THIS
SUBDIVISION SHALL NOT APPLY TO OPTIONAL SERVICES THAT  ARE  PROVIDED  BY
INDIVIDUALS,   PROFESSIONALS,   OR   ORGANIZATIONS   UNDER   A  SEPARATE
FEE-FOR-SERVICE ARRANGEMENT WITH THE RESIDENTS.
  2. NOTWITHSTANDING SUBDIVISION ONE OF THIS  SECTION,  IF  AN  ASSISTED
LIVING  RESIDENCE INCREASES RATES BY MORE THAN TEN PERCENT, THE OPERATOR
SHALL PROVIDE NO LESS THAN NINETY DAYS PRIOR WRITTEN NOTICE TO THE RESI-
DENTS OR THE RESIDENTS' REPRESENTATIVES SETTING FORTH THE AMOUNT OF  THE
INCREASE,  THE REASON FOR THE INCREASE, AND A DESCRIPTION OF THE METHOD-
OLOGY, INCLUDING A GENERAL DESCRIPTION OF THE ADDITIONAL  COSTS,  EXCEPT
FOR  AN INCREASE IN THE RATE DUE TO A CHANGE IN THE LEVEL OF CARE OF THE
RESIDENT. EACH ASSISTED LIVING RESIDENCE SHALL ESTABLISH A  PROCESS  FOR
RESIDENTS  OF  THE ASSISTED LIVING RESIDENCE TO OPPOSE THE RATE INCREASE
BASED ON FINANCIAL HARDSHIP, INCLUDING PROVISIONS  FOR  INFORMATION  AND
POSSIBLE  RESIDENTIAL  ALTERNATIVES  FOR  THOSE  RESIDENTS.   THE NOTICE

 EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                      [ ] is old law to be omitted.
                                                           LBD01773-01-1
              

A. 1724                             2

REQUIRED BY THIS SUBDIVISION SHALL INFORM RESIDENTS  ABOUT  THE  APPEALS
PROCESS.  THIS SUBDIVISION SHALL NOT APPLY TO OPTIONAL SERVICES THAT ARE
PROVIDED BY INDIVIDUALS, PROFESSIONALS, OR ORGANIZATIONS UNDER  A  SEPA-
RATE FEE-FOR-SERVICE ARRANGEMENT WITH RESIDENTS.
  3.  NO  ASSISTED  LIVING  RESIDENCE SHALL CHARGE NONRECURRING LUMP-SUM
ASSESSMENTS. THE NOTIFICATION REQUIREMENTS CONTAINED IN SUBDIVISION  ONE
OF  THIS SECTION SHALL APPLY TO INCREASES SPECIFIED IN THIS SUBDIVISION.
FOR PURPOSES OF THIS SUBDIVISION,  "NONRECURRING  LUMP-SUM  ASSESSMENTS"
ARE  DEFINED  AS  RATE INCREASES DUE TO UNAVOIDABLE AND UNEXPECTED COSTS
THAT FINANCIALLY OBLIGATE THE ASSISTED LIVING RESIDENCE.  IN LIEU OF THE
LUMP-SUM PAYMENT, ALL INCREASES IN RATES SHALL BE TO  THE  MONTHLY  RATE
AMORTIZED OVER A TWELVE MONTH PERIOD. THE PROHIBITION AGAINST A LUMP-SUM
ASSESSMENT  SHALL  NOT  APPLY  TO CHARGES FOR SPECIFIC GOODS OR SERVICES
PROVIDED TO AN INDIVIDUAL RESIDENT.
  4. EACH ASSISTED LIVING RESIDENCE SHALL INCLUDE ALL OF  THE  FOLLOWING
IN ITS RESIDENCY AGREEMENT:
  (A)  A  COMPREHENSIVE  DESCRIPTION  OF ANY ITEMS AND SERVICES PROVIDED
UNDER A SINGLE FEE, SUCH AS A MONTHLY FEE FOR  ROOM,  BOARD,  AND  OTHER
ITEMS AND SERVICES;
  (B)  A  COMPREHENSIVE  DESCRIPTION  OF,  AND THE FEE SCHEDULE FOR, ALL
ITEMS AND SERVICES NOT INCLUDED IN A SINGLE FEE. IN ADDITION, THE AGREE-
MENT SHALL INDICATE THAT THE RESIDENT SHALL RECEIVE A MONTHLY  STATEMENT
ITEMIZING ALL SEPARATE CHARGES INCURRED BY THE RESIDENT;
  (C)  A  FACILITY  MAY  ASSESS A SEPARATE CHARGE FOR AN ITEM OR SERVICE
ONLY IF THAT SEPARATE CHARGE IS AUTHORIZED BY THE  RESIDENCY  AGREEMENT.
IF  ADDITIONAL  SERVICES  ARE  AVAILABLE  THROUGH  THE  FACILITY  TO  BE
PURCHASED BY THE RESIDENT THAT WERE NOT AVAILABLE AT THE TIME THE  RESI-
DENCY  AGREEMENT  WAS SIGNED, A LIST OF THESE SERVICES AND CHARGES SHALL
BE PROVIDED TO THE RESIDENT OR THE RESIDENT'S REPRESENTATIVE.  A  STATE-
MENT  ACKNOWLEDGING THE ACCEPTANCE OR REFUSAL TO PURCHASE THE ADDITIONAL
SERVICES SHALL BE SIGNED AND DATED BY THE  RESIDENT  OR  THE  RESIDENT'S
REPRESENTATIVE AND ATTACHED TO THE RESIDENCY AGREEMENT;
  (D)  AN  EXPLANATION  OF  THE  USE  OF THIRD-PARTY SERVICES WITHIN THE
FACILITY THAT ARE NOT RELATED TO THE RESIDENT'S SERVICE PLAN, INCLUDING,
BUT NOT LIMITED TO: ANCILLARY, HEALTH, AND MEDICAL  SERVICES;  HOW  THEY
MAY BE ARRANGED, ACCESSED, AND MONITORED; ANY RESTRICTIONS ON THIRD-PAR-
TY  SERVICES;  AND  WHO  IS  FINANCIALLY RESPONSIBLE FOR THE THIRD-PARTY
SERVICES;
  (E) A COMPREHENSIVE DESCRIPTION OF BILLING AND  PAYMENT  POLICIES  AND
PROCEDURES; AND
  (F)  A STATEMENT INDICATING THAT RATES MAY BE INCREASED AND THE CONDI-
TIONS UNDER WHICH RATES MAY BE  INCREASED  AND  NOTIFICATION  PROCEDURES
PURSUANT TO SUBDIVISIONS ONE AND TWO OF THIS SECTION.
  5.  NONPROFIT  ASSISTED  LIVING  RESIDENCES  SHALL  BE EXEMPT FROM THE
PROVISIONS OF THIS SECTION.
  S 2. This act shall take effect immediately.