Bill > A01269

This bill modifies the Mental Hygiene Law to change how the Office of Addiction Services and Supports (OASAS) provides state aid to local governmental units and voluntary agencies providing addiction services. Instead of funding programs based on a fixed percentage of approved net operating costs, the bill introduces a "payment for services model" developed by OASAS. Under this new approach, state aid will be authorized through funding letters and contracts that specify service requirements, performance standards, and funding conditions. The bill allows OASAS to reduce state aid for programs that fail to meet minimum performance standards, such as maintaining service utilization rates and productivity levels. If a program is not meeting standards, OASAS must notify the agency of its deficiencies and may require a corrective action plan. The bill also simplifies the language around funding requirements and removes some specific provisions about voluntary agency contributions. These changes aim to create a more flexible and performance-driven funding mechanism for addiction services programs. The bill will take effect 180 days after passage and apply to program budgets developed on or after that date.

Budget and Finance, Health and Social Services

https://www.nysenate.gov/legislation/bills/2025/A1269