New York Health Policy Monitor (September 22, 2026)
New legislative proposals target Medicaid fraud reporting mechanisms and impose uncompensated discharge supply mandates on hospitals providing maternity services.
On the regulatory front, the Office of Mental Health has initiated a proposed rule making to revise the Prior Approval Review Process. If finalized, this regulatory action would alter the administrative pathways through which mental health providers secure necessary authorizations for facility modifications and service expansions. Covered entities may need to adjust their internal compliance workflows to align with the updated review standards once the exact procedural modifications are fully articulated.
In the legislature, lawmakers have introduced a pair of bills aimed at increasing Medicaid program integrity and fraud detection. Assembly Bill 11730 would establish a formal Medicaid fraud tip board and a corresponding reward fund to provide monetary incentives for individuals who report documented fraud leading to a conviction. Concurrently, Assembly Bill 11731 would designate the Office of the Medicaid Inspector General hotline as the official state channel and mandate strict timelines for sharing credible allegations with the Office of the Attorney General.
Additional legislative activity focuses on hospital operations and emergency medical services funding. Assembly Bill 11722 would require hospitals providing maternity services to supply discharging patients with disposable diapers, wipes, a one-week supply of infant formula, and menstrual products. Finally, Assembly Bills 11718 and 11719 propose new competitive capital grant programs administered by the Department of Health and the Division of Homeland Security and Emergency Services to fund facilities, vehicles, and technology for volunteer and municipal ambulance services.
Prepared by Isaac Michaels, DrPH · September 22, 2026