Despite the last-minute efforts by Consumer Directed Personal Assistance Program (CDPAP) providers, patients, and their allies to protect the program, the proposal to eliminate the state’s entire network of CDPAP fiscal intermediaries (FIs) was enacted as part of the Fiscal Year 2025 Article VII health and mental hygiene legislation, which was signed into law on April 20, 2024. We covered this surprising turn in the state’s budget negotiations in our April 12, 2024, legal alert.
Under these new amendments to Social Services Law § 365-f, effective April 1, 2025, no entity will be permitted to provide FI services in New York State except a single, statewide FI and its subcontractors. The legislation also repeals Request for Offers (RFO) #20039, an arduous and winding process that we began covering more than four years ago (see our March 11, 2020, legal alert). To remain in CDPAP, FIs were required to timely respond during multiple stages of the RFO process, including submission of a technical offer, a survey of qualified offerors, a spreadsheet of each FI’s consumers, and an attestation. The amendments will, therefore, invalidate hundreds of FIs’ hard-fought bids to continue participating in CDPAP.
The New York State Department of Health (DOH) is expected to post the criteria for selecting the statewide FI to its website. At the time this alert was authored, the DOH website had not been updated, and the old RFO announcements remained posted.
Barclay Damon will be holding a webinar for current FIs to offer insights on this change and FIs’ options for remaining in CDPAP. If you are interested in attending this webinar, please complete this survey before 11:59 p.m. on Monday, May 20. Invitations will be sent separately.
If you have any questions regarding the content of this alert, please contact Linda Clark, Health Care Controversies Team co-leader, at lclark@barclaydamon.com; Michael Scott-Kristansen, special counsel, at mscott@barclaydamon.com; or another member of the firm’s Health Care Controversies Team.