Insights & Resources

In what appears to follow a multi-state trend to protect “temporary” workers, as part of the New York Budget for FY 2023-2024, a new law went into effect (New York Public Health Law § 2999-ii to § 2999-mm) that requires any entity that provides temporary staff to health care entities to register with the Department of Health (DOH). Although the law went into effect on August 1, 2023, the DOH has no means of accepting registration applications, and has not published any forms. The registration will cost $1,000 and must be renewed every year. 
 
Who is covered?
 

• A “Temporary Health Care Services Agency” (Agency) is any business that provides or procures temporary employment of health care personnel for an agency, corporation, facility, or individual providing medical or health care services, including nursing registries and online businesses. An individual who only engages in providing the individual's own services on a temporary basis to health care entities and licensed home care agencies are exempt. There is no specificity regarding what a “temporary” worker means, and whether it is limited to assignments specifically intended to end on a date certain (e.g., coverage for an employee on leave), or if it could mean any job assignment that may or may not be “short-term” by its nature.

 

• “Health care personnel” are nurses, certified nurse aides and licensed or unlicensed direct care staff provided by the Agency to provide temporary services in a health care entity. “Direct care” worker is defined as a person who is responsible for patient/resident handling or patient/resident assessment as a regular or incidental part of their services, including any licensed or unlicensed health care worker. It is not clear what “direct care” worker could encompass – viewed broadly, it could mean physicians, physician assistants, medical assistants, aids, etc.

 
What Is Required?
 

• An Agency must register with the DOH, and submit copies of all contracts between the Agency and a health care entity to which it assigns or refers health care personnel, and copies of all invoices sent to health care entities. Executed contracts must be sent to the DOH within 5 business days of their effective date.

 

• In addition, on a quarterly basis, the Agency must submit to the DOH a report of charges and compensation, including a schedule of all hourly bill rates per category of health care personnel, a full description of administrative charges, and a schedule of rates of all compensation per category of health care personnel.

 

• The Agency is responsible for ensuring that personnel it places with health care entities meet the minimum licensing, training, and continuing education standards for the position in which the health care personnel will be working.

 

• An Agency is not permitted to restrict any worker from other employment, and cannot impose charges or damages on a worker or a health care entity should the worker be offered a “permanent” position.

 
While the law is effective August 1^st, the DOH website currently indicates that more guidance and FAQs will follow regarding registration.  The DOH site offers to answer questions submitted to TempAgencyRegistration@health.ny.gov; however, legal questions should not be submitted without prior discussion with counsel. Should you have any questions regarding the above, please contact the author or the Garfunkel Wild attorney with whom you regularly work, or contact us at info@garfunkelwild.com.