Enacts into law major components of legislation necessary to implement the state health and mental hygiene budget for the 2026-2027 state fiscal year

Summary

Enacts into law major components of legislation necessary to implement the state health and mental hygiene budget for the 2026-2027 state fiscal year; extends provisions requiring the quarterly assessment of known and projected department of health state fund Medicaid expenditures (Part A); extends certain health provisions (Part B); extends certain provisions of law relating to the health care reform act; extends provisions relating to the distribution of pool allocations and graduate medical education; extends provisions relating to health care initiative pool distributions; extends payment provisions for general hospitals; extends provisions relating to assessments on covered lives; extends the personal care services worker recruitment and retention program (Part C); relates to insurance coverage for medical malpractice paid for by funds from the hospital excess liability pool; extends portions of the New York Health Care Reform Act of 1996 (Part D); makes technical corrections to certain provisions of law relating to the New York State Dental Foundation and other provisions of law (Part F); relates to automated external defibrillators (AEDs) (Part G); extends certain provisions relating to payments from the New York state medical indemnity fund (Part I); relates to temporary health care services agencies and protecting individuals engaged to provide health care services by such agencies (Part J); restores capital rate reductions for nursing homes (Part L); limits the amount payable for certain services provided to certain eligible persons who are also beneficiaries under part B of title XVII of the federal social security act or are also qualified Medicare beneficiaries; clarifies Medicaid requirements for biomarker testing (Part M); relates to hospital and nursing home fee-for-service reimbursement rates and reductions in hospital capital rate add-ons (Part O); directs the commissioners of the office of mental health, office for people with developmental disabilities, office of addiction services and supports, office of temporary and disability assistance, office of children and family services and the director of the state office for the aging to establish a state fiscal year 2026-2027 targeted inflationary increase for projecting for the effects of inflation upon rates of payments, contracts, or any other form of reimbursement for certain programs and services; requires such commissioners and director to provide funding to support a 2.7% targeted inflationary increase for such programs and services (Part P); changes "substance use" to substance-related and addictive disorder claims for purposes of the insurance law and public health law (Part R); relates to the effectiveness of provisions of law relating to Medicaid management; removes certain provisions providing for lower minimum amounts of certain state aid for the city of New York than the rest of the state (Part T); extends certain government rates for behavioral services referencing the office of addiction services and supports and relates to the effectiveness thereof (Part U); relates to the effectiveness of certain provisions of law relating to the closure or transfer of a state-operated individualized residential alternative (Part V); extends the care demonstration program (Part W); relates to medical assistance for needy persons age sixty-five or older and who are eligible for medical assistance but for their immigration status through the fee-for-service program (Part X); provides for an amended New York managed care organization provider tax at a rate of 0.35% effective January 1, 2027 (Part Y); provides that services provided in school-based health centers shall not be provided to medical assistance recipients through managed care programs (Part Z); extends provisions of law relating to reimbursement rates for medically fragile children and pediatric diagnostic and treatment centers (Part AA); amends provisions for dispute resolution for emergency services and surprise bills; provides for benchmarking of amounts allowed for health care services provider in the same or similar specialty and provided in the same geographical area (Part BB).

Summary from NY Open Legislation. How we handle summaries

Your position on this bill

Choose the position closest to yours. You'll sign in or create an account to save it.

Where it stands

Signed into law.

Finance · New York State Senate

Also referred to Ways and Means · New York State Assembly.

Recorded votes

• Vote: Committee vote · Finance

  Senate FinanceMay 27, 2026Result: passed

  Voted yes (20)Voted no (2)Voted present (0)Absent (0)

  See member positions for the vote on May 27, 2026 (Committee vote · Finance)

• Vote: Floor vote

  NY SenateMay 27, 2026Result: passedSenate vote on A10007, the matching Assembly bill.

  Voted yes (42)Voted no (20)Voted present (0)Absent (1)

  See member positions for the vote on May 27, 2026 (Floor vote)

Full history

1. May 28, 2026

   Sent to the executive

   DELIVERED TO GOVERNOR

   NY Assembly

2. May 28, 2026

   Signed

   SIGNED CHAP.57

   NY Assembly

3. May 27, 2026

   3RD Reading CAL.1333

   3RD READING CAL.1333

   NY Senate

4. May 27, 2026

   Sent to the executive

   DELIVERED TO SENATE

   NY Assembly

5. May 27, 2026

   Passed a chamber

   PASSED ASSEMBLY

   NY Assembly