New York S 1223: Expands the scope of the temporary operator program

Bill Text

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S01223 Summary:

BILL NOS01223 

&nbsp

SAME ASNo Same As

&nbsp

SPONSORRIVERA

&nbsp

COSPNSR

&nbsp

MLTSPNSR

&nbsp

Amd §2806-a, Pub Health L

&nbsp

Expands the scope of the temporary operator program permitting the commissioner of health to appoint an operator if a facility experiences serious financial instability or conditions that seriously endanger the life, health or safety of residents or patients.

Go to top S01223 Actions:

BILL NOS01223 

&nbsp

01/08/2025REFERRED TO HEALTH

02/04/20251ST REPORT CAL.272

02/05/20252ND REPORT CAL.

02/10/2025ADVANCED TO THIRD READING 

06/10/2025PASSED SENATE

06/10/2025DELIVERED TO ASSEMBLY

06/10/2025referred to health

01/07/2026died in assembly

01/07/2026returned to senate

01/07/2026REFERRED TO HEALTH

Go to topS01223 Committee&nbspVotes:

Go to topS01223 Floor&nbspVotes:

There are no Assembly votes for this bill in this legislative session.

Go to topS01223 Text:

 STATE OF NEW YORK
 ________________________________________________________________________

 1223

 2025-2026 Regular Sessions

 IN SENATE

 January 8, 2025
 ___________

 Introduced by Sen. RIVERA -- read twice and ordered printed, and when
 printed to be committed to the Committee on Health

 AN ACT to amend the public health law, in relation to expanding the
 scope of the temporary operator program

 The People of the State of New York, represented in Senate and Assem-
 bly, do enact as follows:

 1 Section 1. Subdivision 1 of section 2806-a of the public health law,
 2 as added by section 50 of part E of chapter 56 of the laws of 2013,
 3 paragraph (g) as added by section 7 of part K of chapter 57 of the laws
 4 of 2015, is amended to read as follows:
 5 1. For the purposes of this section:
 6 (a) "adult care facility" shall mean an adult home or enriched housing
 7 program licensed pursuant to article seven of the social services law or
 8 an assisted living residence licensed pursuant to article forty-six-B of
 9 this chapter;
 10 (b) "established operator" shall mean the operator of [an adult care]
 11 a facility[, a general hospital or a diagnostic and treatment center
 12 that has been established and issued an operating certificate as such
 13 pursuant to this article];
 14 (c) "facility" shall mean (i) a [general] hospital [or a diagnostic
 15 and treatment center that has been issued an operating certificate as
 16 such pursuant to this article]; or (ii) an adult care facility;
 17 (d) "temporary operator" shall mean any person or entity that:
 18 (i) agrees to operate a facility on a temporary basis in the best
 19 interests of its residents or patients and the community served by the
 20 facility; and
 21 (ii) has demonstrated that [he or she has] they have the character,
 22 competence and financial ability to operate the facility in compliance
 23 with applicable standards;
 24 (e) "serious financial instability" shall include but not be limited
 25 to defaulting or violating key covenants of loans, or missed mortgage

 EXPLANATION--Matter in italics (underscored) is new; matter in brackets
 [ ] is old law to be omitted.
 LBD03486-01-5

 S. 1223 2

 1 payments, or general untimely payment of obligations, including but not
 2 limited to employee benefit fund, payroll tax, and insurance premium
 3 obligations, or failure to maintain required debt service coverage
 4 ratios or, as applicable, factors that have triggered a written event of
 5 default notice to the department by the dormitory authority of the state
 6 of New York; and
 7 (f) "extraordinary financial assistance" shall mean state funds
 8 provided to a facility upon such facility's request for the purpose of
 9 assisting the facility to address serious financial instability. Such
 10 funds may be derived from existing programs within the department,
 11 special appropriations, or other funds.
 12 (g) "improper delegation of management authority by the governing
 13 authority or operator" of a [general hospital] facility shall include,
 14 but not be limited to, the delegation to an entity that has not been
 15 established as an operator of the [general hospital] facility of (i)
 16 authority to hire or fire the administrator or other key management
 17 employees; (ii) maintenance and control of the books and records; (iii)
 18 authority over the disposition of assets and