Proposed Res. No. 339-A
Resolution calling on the New York State Governor to Sign S.8843A/A.1633B, the Local Input in Community Healthcare (LICH) Act.
By Council Members Rivera, Cabán, Avilés, Schulman, Banks, Ayala, Louis, Narcisse, Bottcher, Menin, Farías, Brooks-Powers, Krishnan and Nurse
Whereas, According to MergerWatch, an advocacy group that focuses on patient rights during hospital mergers, between 1997 and 2018 over 40 hospitals across New York State closed for inpatient services, and of these, 15 were in New York City; and
Whereas, A recent study by the Center for Healthcare Quality and Payment Reform found that there are 27 rural hospitals in New York State at risk of closing, amounting to 53 percent of all rural hospitals in the state; and
Whereas, Most recently, Mount Sinai, one of the New York City’s largest health systems with eight hospital campuses and a revenue of over $11.3 billion announced plans to close its Beth Israel hospital located in Lower Manhattan by July 2024, and New York State is planning to downsize or close State University of New York (SUNY) Downstate hospital in East Flatbush; and
Whereas, Hospital closures have immediate and longer-term impacts on their local communities in terms of health equity, access to care, and the local workforce; and
Whereas, SUNY Downstate is a safety-net hospital obligated to provide care to all patients regardless of insurance status and has the only kidney transplant program in Brooklyn; and
Whereas, Mount Sinai Beth Israel primarily treats lower-income patients; and
Whereas, A community-led Health Equity Impact Assessment (HEIA) carried out by the Community Coalition to Save Beth Israel and New York Eye and Ear Infirmary, found that the majority (80%) of patients went to Beth Israel for emergency care, and 77% chose the hospital because it is closest to where they live; and
Whereas, Closure of hospitals such as Beth Israel and SUNY Downstate would result in a loss of access to emergency treatment, specialty medical services, and continuity of care for the surrounding community while putting additional strain on nearby hospitals who will be forced to absorb newly displaced patients; and
Whereas, In addition to negative impacts for patients, as hospitals are some of the largest employers in a community, closures can result in significant job loss; and
Whereas, According to the U.S. Bureau of Labor Statistics, support occupations including orderlies, nursing assistants, healthcare support workers, social workers, community health workers, security workers, food preparation and service workers, janitors, cleaners, groundskeepers, housekeepers, childcare workers, cashiers, file clerks, and maintenance workers make up a third of all jobs in General Medical and Surgical Hospitals; and
Whereas, In calendar year 2023, per data from the New York State Department of Labor, there were an average of 360,000 people employed in General and Surgical Hospitals in New York State, of which 43%, or over 159,000, worked in New York City; and
Whereas, Currently, facilities that have plans to close must receive approval from the New York State Department of Health (DOH) and Director of the Center for Health Care Quality and Surveillance, but community input, via a community forum, is only required by the New York Public Health Law after the hospital has already closed; and
Whereas, S.8843A/A.1633B, known as the Local Input in Community Healthcare (LICH) Act, introduced by New York State Senator Gustavo Rivera and Assembly Member Jo Anne Simon, seeks to amend the New York Public Health Law by requiring advanced public notice and engagement through a comprehensive reviewing process involving field experts and community leaders before a hospital submits its final closure plan to the Commissioner of DOH, thereby ensuring transparency and community involvement in the decision-making process; and
Whereas, The LICH Act mandates that hospitals provide notice to DOH at least 270 days before closure, and requires a public community forum no later than 150 days before the proposed closure to gather input on its impact on healthcare access, particularly for vulnerable populations such as Medicaid recipients and the uninsured; and
Whereas, Following the community forum, the bill would require hospitals to submit a revised closure plan addressing public concerns within 30 days, which would then undergo further review by the Public Health and Health Planning Council (PHHPC) to ensure community input is considered in the final decision; and
Whereas, S.8843A/A.1633B has passed both the State Senate and Assembly and awaits the Governor to sign it into law; and
Whereas, If enacted, the LICH Act would require increased advance notice to the public, public disclosure of hospital closing plans, a community forum held well in advance of the closure date to allow public comment on the proposed closure plan, and preparation of a final closure plan that addresses concerns raised at the community forum along with measures and recommendations to mitigate negative consequences; and
Whereas, Stakeholder consultations and the development of a closure plan focused on real impacts will improve transparency, promote community engagement and empowerment, and could help prevent the loss of critical access to healthcare for underserved communities by identifying both alternatives and instances where an existing facility is vital and cannot be safely closed; and
Whereas, As hospitals in New York State are certified nonprofits licensed by the State to serve the needs of their communities, it is imperative that impacted stakeholders be adequately informed and proactively consulted before a hospital is permitted to close; now, therefore, be it
Resolved, That the Council of the City of New York calls on the New York State Governor to Sign S.8843A/A.1633B, the Local Input in Community Healthcare (LICH) Act.
PR/MB
LS # 15633
10/25/2024