Provides that low-income subsidy data transmitted from the social security administration to local departments of social services in accordance with section 1144(c)(3) of the federal social security act shall be treated as an application for the medicare savings program, without requiring submission of another application.
NEW YORK STATE ASSEMBLY MEMORANDUM IN SUPPORT OF LEGISLATION submitted in accordance with Assembly Rule III, Sec 1(f)
 
BILL NUMBER: A7570 REVISED 4/29/24
SPONSOR: Paulin
 
TITLE OF BILL:
An act to amend the social services law, in relation to the application
for the medicare savings program
 
PURPOSE OR GENERAL IDEA OF BILL:
To allow low-income subsidy data transmitted from the social security
administration to local departments of social services to be treated as
an application for the Medicare savings program without requiring
submission of another application.
 
SUMMARY OF SPECIFIC PROVISIONS:
Section one amends subparagraph 3 of paragraph (d) of subdivision 3 of
section 367-a of the social services law to add new (ii) allowing low-
income subsidy data transmitted from the social security administration
to local departments of social services to be treated as an application
for the Medicare savings program without requiring submission of another
application and further states that the information provided through
low-income subsidy data supports a determination of eligibility under
this section. The provision requires the Commissioner of Health to
report on an annual basis the status of the Medicare savings program and
the number of applications received by local social services districts.
Section two amends subparagraph 3 of paragraph (c)of subdivision 3 of
section 367-a of the social services law adding a new (ii) with the same
language as (ii) in section one of the bill to be consistent with Part
AAA in the 2022-23 budget (Chapter 56 of 2022).
Section 3 of the bill is the effective date.
 
JUSTIFICATION:
The Medicare Savings Program, administered by the DOH and the local
departments of social services is aimed at helping low-income Medicare
consumers reduce their monthly premium costs. New York State has
expanded the program by increasing its income limit, making nearly
300,000 more New Yorkers eligible. These residents could receive a
considerable decrease in their monthly Medicare premium payment, but
many may not even know they are eligible. The average annual amount that
would go back into a person's social security check as an enrollee in
the Medicare Savings Program and savings in prescription drug costs is
$7,078.80 for 2023.
The Medicare Improvement for Patients and Providers Act (MIPPA) requires
an application for the federal Part D prescription drug Low Income
Subsidy (LIS) program that is administered by SSA to be considered an
application for the Medicare Savings Program (MSP)
Annually, the New York State Department of Health receives 24,000-30,000
MIPPA LIS files that contain Medicare beneficiary information from SSA
that can be used to enroll people automatically in an MSP.
New York State currently does not use LIS applications submitted through
SSA to automatically enroll beneficiaries into the MSPs. Instead, New
York State sends a paper Request for Additional Information (RFAI) with
an MSP application to residents that have applied for LIS through SSA.
Recipients are expected to fill out the application and return it with
the required documentation. NYSDOH does not track outcomes from these
applications or response rates.
The legislation will effectively use Social Security Administration
(SSA) data to automatically enroll people into the MSP and eliminate the
paper application. CMS has recommended this action to increase enroll-
ments and take the burden off individuals to verify financial informa-
tion, citizenship, and identity by requiring states to rely on existing
federal electronic data that information where possible.
 
PRIOR LEGISLATIVE HISTORY:
New Bill.
 
FISCAL IMPLICATIONS:
Minimal
 
EFFECTIVE DATE:
This act shall take effect immediately.
STATE OF NEW YORK
________________________________________________________________________
7570
2023-2024 Regular Sessions
IN ASSEMBLY
May 25, 2023
___________
Introduced by M. of A. PAULIN -- read once and referred to the Committee
on Health
AN ACT to amend the social services law, in relation to the application
for the medicare savings program
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subparagraph 3 of paragraph (d) of subdivision 3 of section
2 367-a of the social services law, as amended by section 27 of part B of
3 chapter 109 of the laws of 2010, is amended to read as follows:
4 (3) (i) The commissioner of health shall develop a simplified applica-
5 tion form, consistent with federal law, for payments pursuant to this
6 section. The commissioner of health, in cooperation with the office for
7 the aging, shall publicize the availability of such payments to medicare
8 beneficiaries.
9 (ii) Low-income subsidy data transmitted from the social security
10 administration to local departments of social services in accordance
11 with section 1144(c)(3) of the federal social security act shall be
12 treated as an application for the medicare savings program, without
13 requiring submission of another application. Any information verified by
14 the social security administration shall be accepted without further
15 verification, if the information provided through low-income subsidy
16 data supports a determination of eligibility under this subdivision.
17 The commissioner of health shall report on an annual basis on the status
18 of the medicare savings program and the number of applications received
19 by local social services districts under this article.
20 § 2. Subparagraph 3 of paragraph (c) of subdivision 3 of section 367-a
21 of the social services law, as amended by section 4 of part AAA of chap-
22 ter 56 of the laws of 2022, is amended to read as follows:
23 (3) (i) The commissioner of health shall develop a simplified applica-
24 tion form, consistent with federal law, for payments pursuant to this
25 section. The commissioner of health, in cooperation with the office for
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD11560-01-3
A. 7570 2
1 the aging, shall publicize the availability of such payments to medicare
2 beneficiaries.
3 (ii) Low-income subsidy data transmitted from the social security
4 administration to local departments of social services in accordance
5 with section 1144(c)(3) of the federal social security act shall be
6 treated as an application for the medicare savings program, without
7 requiring submission of another application. Any information verified by
8 the social security administration shall be accepted without further
9 verification, if the information provided through low-income subsidy
10 data supports a determination of eligibility under this subdivision.
11 The commissioner of health shall report on an annual basis on the status
12 of the medicare savings program and the number of applications received
13 by local social services districts under this article.
14 § 3. This act shall take effect immediately; provided, however, that
15 section two of this act shall take effect on the same date and in the
16 same manner as section 4 of part AAA of chapter 56 of the laws of 2022,
17 takes effect.