§ 2825-g. Health care facility transformation program: statewide IV.
1. A statewide health care facility transformation program is hereby
established within the department for the purpose of transforming,
redesigning, and strengthening quality health care services in alignment
with statewide and regional health care needs, and in the ongoing
pandemic response. The program shall also provide funding, subject to
lawful appropriation, in support of capital projects, debt retirement,
working capital or other non-capital projects that facilitate furthering
such transformational goals.

2. The commissioner shall enter into an agreement with the president
of the dormitory authority of the state of New York pursuant to section
sixteen hundred eighty-r of the public authorities law, which shall
apply to this agreement, subject to the approval of the director of the
division of the budget, for the purposes of the distribution and
administration of available funds pursuant to such agreement, and made
available pursuant to this section and appropriation. Such funds may be
awarded and distributed by the department for grants to health care
providers including but not limited to, hospitals, residential health
care facilities, adult care facilities licensed under title two of
article seven of the social services law, diagnostic and treatment
centers licensed or granted an operating certificate under this chapter,
clinics, including but not limited to those licensed or granted an
operating certificate under this chapter or the mental hygiene law,
children's residential treatment facilities licensed under article
thirty-one of the mental hygiene law, assisted living programs approved
by the department pursuant to section four hundred sixty-one-l of the
social services law, behavioral health facilities licensed or granted an
operating certificate pursuant to articles thirty-one and thirty-two of
the mental hygiene law, home care providers certified or licensed under
article thirty-six of this chapter, primary care providers, hospices
licensed or granted an operating certificate pursuant to article forty
of this chapter, community-based programs funded under the office of
mental health, the office of addiction services and supports, the office
for people with developmental disabilities, or through local
governmental units as defined under article forty-one of the mental
hygiene law, independent practice associations or organizations, and
residential facilities or day program facilities licensed or granted an
operating certificate under article sixteen of the mental hygiene law. A
copy of such agreement, and any amendments thereto, shall be provided by
the department to the chair of the senate finance committee, the chair
of the assembly ways and means committee, and the director of the
division of the budget no later than thirty days after such agreement is
finalized. Projects awarded, in whole or part, under sections
twenty-eight hundred twenty-five-a and twenty-eight hundred
twenty-five-b of this article shall not be eligible for grants or awards
made available under this section.

3. Notwithstanding subdivision two of this section or any inconsistent
provision of law to the contrary, and upon approval of the director of
the budget, the commissioner may, subject to the availability of lawful
appropriation, award up to four hundred fifty million dollars of the
funds made available pursuant to this section for unfunded project
applications submitted in response to the request for application number
18406 issued by the department on September thirtieth, two thousand
twenty-one pursuant to section twenty-eight hundred twenty-five-f of
this article. Authorized amounts to be awarded pursuant to applications
submitted in response to the request for application number 18406 shall
be awarded no later than December thirty-first, two thousand twenty-two.
Provided, however, that a minimum of:

(a) twenty-five million dollars of total awarded funds shall be made
to community-based health care providers, which for purposes of this
section shall be defined as diagnostic and treatment centers licensed or
granted an operating certificate under this chapter; independent
practice associations or organizations; home care providers certified or
licensed pursuant to article thirty-six of this chapter; and hospices
licensed or granted an operating certificate pursuant to article forty
of this chapter;

(b) twenty-five million dollars of total awarded funds shall be made
to a mental health clinic licensed or granted an operating certificate
under article thirty-one of the mental hygiene law; alcohol and
substance use disorder treatment clinics licensed or granted an
operating certificate under article thirty-two of the mental hygiene
law; clinics licensed or granted an operating certificate under article
sixteen of the mental hygiene law; and community-based programs funded
under the office of mental health or the office of addiction services
and supports or through local governmental units as defined under
article forty-one of the mental hygiene law; and

(c) fifty million dollars of total awarded funds shall be made to
residential health care facilities or adult care facilities licensed
under title two of article seven of the social services law.

4. Notwithstanding sections one hundred twelve and one hundred
sixty-three of the state finance law, sections one hundred forty-two and
one hundred forty-three of the economic development law, or any
inconsistent provision of law to the contrary, up to two hundred million
dollars of the funds appropriated for this program shall be awarded,
without a competitive bid or request for proposal process, for grants to
health care providers for purposes of modernization of an emergency
department of regional significance. For purposes of this subdivision,
an emergency department shall be considered to have regional
significance if it: (a) serves as Level 1 trauma center with the highest
volume in its region; (b) includes the capacity to segregate patients
with communicable diseases, trauma or severe behavioral health issues
from other patients in the emergency department; (c) provides training
in emergency care and trauma care to residents from multiple hospitals
in the region; and (d) serves a high proportion of Medicaid patients.

5. (a) Notwithstanding sections one hundred twelve and one hundred
sixty-three of the state finance law, sections one hundred forty-two and
one hundred forty-three of the economic development law, or any
inconsistent provision of law to the contrary, up to seven hundred fifty
million dollars of the funds appropriated for this program shall be
awarded, without a competitive bid or request for proposal process, for
grants to health care providers, as defined in subdivision two of this
section.

(b) Awards made pursuant to this subdivision shall provide funding for
capital projects, debt retirement, working capital or other non-capital
projects to the extent lawful appropriation and funding is available, to
build innovative, patient-centered models of care, increase access to
care, to improve the quality of care and to ensure financial
sustainability of health care providers.

(c) Provided, however, that a minimum of:

(i) twenty-five million dollars of total awarded funds shall be made
to community-based health care providers, which for purposes of this
section shall be defined as diagnostic and treatment centers licensed or
granted an operating certificate pursuant to this chapter; independent
practice associations or organizations; home care providers certified or
licensed pursuant to article thirty-six of this chapter; and hospices
licensed or granted an operating certificate pursuant to article forty
of this chapter;

(ii) twenty-five million dollars of total awarded funds shall be made
to a mental health clinic licensed or granted an operating certificate
under article thirty-one of the mental hygiene law; alcohol and
substance use disorder treatment clinics licensed or granted an
operating certificate under article thirty-two of the mental hygiene
law; clinics licensed or granted an operating certificate under article
sixteen of the mental hygiene law; and community-based programs funded
under the office of mental health or the office of addiction services
and supports or through local governmental units as defined under
article forty-one of the mental hygiene law; and

(iii) twenty-five million dollars of total awarded funds shall be made
to residential health care facilities or adult care facilities licensed
under title two of article seven of the social services law.

6. Notwithstanding sections one hundred twelve and one hundred
sixty-three of the state finance law, sections one hundred forty-two and
one hundred forty-three of the economic development law, or any
inconsistent provision of law to the contrary, up to one hundred fifty
million dollars of the funds appropriated for this program shall be
awarded, without a competitive bid or request for proposal process, for
technological and telehealth transformation projects.

7. Notwithstanding sections one hundred twelve and one hundred
sixty-three of the state finance law, sections one hundred forty-two and
one hundred forty-three of the economic development law, or any
inconsistent provision of law to the contrary, up to fifty million
dollars of the funds appropriated for this program shall be awarded,
without a competitive bid or a request for proposal process, to
residential and community-based alternatives to the traditional model of
nursing home care.

8. Selection of awards made by the department pursuant to subdivisions
three, four, five, six and seven of this section shall be contingent on
an evaluation process acceptable to the commissioner and approved by the
director of the division of the budget. Disbursement of awards may be
contingent on the health care provider as defined in subdivision two of
this section achieving certain process and performance metrics and
milestones that are structured to ensure that the goals of the project
are achieved.

9. The department shall provide a report on a quarterly basis to the
chairs of the senate finance, assembly ways and means, and senate and
assembly health committees, until such time as the department determines
that the projects that receive funding pursuant to this section are
substantially complete. Such reports shall be submitted no later than
sixty days after the close of the quarter, and shall include, for each
award, the name of the health care provider as defined in subdivision
two of this section, a description of the project or purpose, the amount
of the award, disbursement date, and status of achievement of process
and performance metrics and milestones pursuant to subdivision six of
this section.