The transition of the New York State Early Intervention Program (EI) to using a fiscal agent to pay service providers has produced widespread complaints of confusion and long delays in receiving payment, and statements that providers are being driven out of the EI program as a result.

EI provides therapeutic and educational services to children up to 3 years old with developmental disabilities or delays. Prior to 2012, EI service providers were paid by the county (New York City being considered a county) with State and county funds and then counties would seek reimbursement for eligible services covered by private insurance and Medicaid.

The 2012 State budget authorized the Department of Health (DOH) to contract with a third-party "fiscal agent" to handle EI payments and collections. Service providers are to submit their claims for payment to DOH's fiscal agent, which then seeks to collect the private insurance and Medicaid reimbursements. The stated objective was to improve collection rates from private insurance, which previously contributed only 2-3% of the total statewide program cost.

The 2012 budget required that the system be implemented by April 1, 2013. However, there have been numerous delays and difficulties for providers during the transition.

The Committees are seeking oral and written testimony on this situation from the Department of Health, providers, parents, county governments, insurance companies, and the fiscal agent.

Testimony at this hearing is by invitation only. Persons wishing to present pertinent testimony to the Committees at the above hearing should complete and return the enclosed reply form as soon as possible, but no later than Tuesday, October 15th. It is important that the reply form be fully completed and returned so that persons may be notified in the event of emergency postponement or cancellation.

Oral testimony will be limited to 10 minutes' duration. In preparing the order of witnesses, the Committees will attempt to accommodate individual requests to speak at particular times in view of special circumstances. These requests should be made on the attached reply form or communicated to Committee staff as early as possible.

Ten copies of any prepared testimony should be submitted at the hearing registration desk. The Committees would appreciate advance receipt of prepared statements.

In order to meet the needs of those who may have a disability, the Assembly, in accordance with its policy of non-discrimination on the basis of disability, as well as the 1990 Americans with Disabilities Act (ADA), has made its facilities and services available to all individuals with disabilities. For individuals with disabilities, accommodations will be provided, upon reasonable request, to afford such individuals access and admission to Assembly facilities and activities.

Hon. Richard N. Gottfried
Member of Assembly
Chair
Committee on Health

Hon. Kevin A. Cahill
Member of Assembly
Chair
Committee on Insurance

Hon. Andrew D. Hevesi
Member of Assembly
Chair
Committee on Oversight, Analysis and Investigation

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Persons wishing to present testimony at the public hearing on Early Intervention Fiscal Agent Program Implementation are requested to complete this reply form as soon as possible, but no later than Tuesday, October 15th, and mail, email or fax it to: