Governor Announces $204 Million in Health Care Transformation Grants

Earlier today, Governor Cuomo announced $204 million to support 95 projects that will protect and transform New York State's health care system. According to the Governor’s press release, this funding from Phase II of the Statewide Health Care Facility Transformation Program (SHCFTP) “will improve patient care through the development of high-quality medical facilities and programs serving the inpatient, primary care, mental health, substance use disorder and long-term care needs of communities throughout the State.”

Thirteen LeadingAge NY member organizations received grants totaling $33.75 million. The distribution of awards by region is as follows: Capital Region – $6.2 million; Central New York – $21.1 million; Finger Lakes – $13.9 million; Long Island – $15.7 million; Mid-Hudson – $24.4 million; Mohawk Valley – $7.9 million; North Country – $12.2 million; New York City – $77.7 million; Southern Tier – $11.3 million; and Western New York – $12.9 million. The SHCFTP Phase II request for applications (RFA) was released in January 2018, and applications were due in March 2018.

As previously noted, the Governor proposes to allow the Department of Health (DOH) to award up to $300 million of the $525 million authorized for SHCFTP Phase III for applications that were submitted under Phase II. SHCFTP Phase III funding totaling $525 million was authorized in the FY 2019 budget. Under the current authorization:

• At least $60 million is allocated to community-based health care providers, which includes home care agencies, hospices, and other provider types.
• At least $45 million is allocated specifically to nursing homes.
• Up to $20 million of the funds not otherwise earmarked for community-based providers or nursing homes may be allocated to the new Assisted Living Program (ALP) solicitation process for new capacity.
• ALPs and adult care facilities are also added as eligible applicants for SHCFTP funding not specifically earmarked in the above three categories.

The Executive Budget proposal would allow DOH to award up to $300 million of the Phase III funding to highly rated applications already submitted under Phase II that were not granted awards under today’s announcement. Under the proposal, the set asides identified above for Phase III would not be affected. The proposal does not set any deadline for issuance of an RFA or award of funds under Phase III.

Contact: Dan Heim, dheim@leadingageny.org, 518-867-8866