New York State’s Consumer Directed Personal Assistance Program (CDPAP) is undergoing significant changes as part of the 2025 state budget. Traditionally, CDPAP allowed individuals to hire caregivers of their choice, often family members or friends, with multiple fiscal intermediaries (FIs) managing administrative tasks like payroll and benefits. The new budget proposal estimates the state will save $500 million next year by designating Public Partnerships LLC (PPL) as the sole statewide FI, aiming to streamline operations and reduce fraud.

This transition is expected to be fully implemented by April 1, 2025. PPL will collaborate with over 30 regional CDPAP facilitators to ensure culturally sensitive and multilingual services across the state and prevent a lapse of care for the 200,000+ New Yorkers currently receiving services through CDPAP. The state anticipates that this consolidation will save approximately $200 million by addressing inefficiencies.

However, the move has faced criticism. Some existing FIs and stakeholders argue that the selection process favored out-of-state companies and lacked transparency. Legal challenges have been filed, alleging that the bidding process was compromised and that the consolidation could disrupt established community-based care networks.

As of mid-January, roughly 12,000 residents had completed or began the registration process with PPL, accounting for less the 5% of New Yorkers enrolled in CDPAP. Gov. Kathy Hochul and her aides continue to express confidence that the transition remains on schedule and ~280,000 disabled and elderly people currently using CDPAP will be registered when the new system is set to take over. It remains unclear what will become of program recipients who fail to register with the new company by April 1.

Some state lawmakers want to fight for more transition time in upcoming budget talks, but it’s unclear if it will be a battle legislative leaders will want to prioritize during negotiations. The potential impacts on quality of care and job stability are very real for those providing care under the current system. Even worse, those currently receiving care and support via CDPAP have serious concerns about the disruption of care, loss of benefits and lack of control in their previously self-directed care. But Assembly Speaker Carl Heastie has blamed the program for inflated Medicaid expenses, and blasted for-profit insurance companies for abusing the program under its current structure.

As the transition progresses, it’s crucial for CDPAP consumers and caregivers to stay informed about these developments. PPL has begun limited radio announcements and will be launching paid print and social media ads across the state in several languages to notify consumers of the transition and how to register. Engaging with local advocacy groups and monitoring official communications from the New York State Department of Health can also provide guidance during this period of change. For a more in-depth breakdown of the current CDPAP transition, Spectrum News continues coverage of the ongoing transition.