Issue: June 23, 2017

Published on June 23, 2017

Articles in this issue:

Appellate Division Strikes Down Part of Governor Cuomo’s Executive Order #38 on Compensation and Administrative Expense

Author: Esq. Stephen B. Hanse and Carl J. Pucci* Published in Legal

On Thursday, June 22, 2017, the Appellate Division, Third Department of State Supreme Court in Albany handed down a decision in a case brought jointly by NYSHFA and LeadingAge. The Court held that the Governor and the Department of Health had exceeded their authority in issuing Executive Order #38 and implementing regulations that imposed a limit on executive compensation paid by health care providers with non-state funds (non-Medicaid funds). The ruling also applies to the cap on administrative expenses paid for with non-State funds. The Court did rule, however, that the Governor and the Department of Health had the authority to prohibit the use of State funds (Medicaid) to pay amounts in excess of the compensation cap ($199,000 / year) and the administrative expense cap (15% of overall operating cost). It is unknown at this time whether either the State or NYSHFA / LeadingAge will appeal. In the meantime, providers are reminded that they must file their Executive Order #38 Disclosure Statements by no later than July 31, 2017 – the same date that cost reports are due to be filed.

Members with questions should contact either Stephen Hanse at or Carl Pucci at (NYSHFA) or the Association’s General Counsel, Neil Murray, at 518-462-5601 or

C Auris DOH On-Site Nursing Home Reviews Next Week

Author: Lisa Volk and Nancy Leveille* Published in Clinical & Quality

Please see below and attached from the New York State Department of Health regarding their intention to begin conducting on-site facility reviews for C Auris infection controls next week at all nursing homes in Brooklyn and Queens.

Next week the Department of Health will begin conducting on-site reviews regarding C Auris infection control of hospitals and nursing homes in Queens and Brooklyn, as well as of those hospitals and nursing homes outside of these regions that have had a patient with C Auris pass though their facility. They will be starting with the hospitals and then a week or two later they will begin going into the nursing homes. The on-site reviews will be educational in nature and we are attaching (hospitals / nursing homes) the on-site review tools for your reference.

Thank you for your attention to this important issue. Should you have any questions, please feel free to contact me.

Jennifer L. Treacy R.Ph.
Associate Deputy Director
Office of Primary Care and Health Systems Management
14th Floor Corning Tower
Albany, NY 12237


Lisa Volk, RN, B.P.S., LNHA
Director, Clinical & Quality Services
518-462-4800 x15

Nancy Leveille, RN, MS
Executive Director
518-462-4800 x20