Moratorium on Licensed Home Care Services Agency Applications

Carl J. Pucci in Finance & Reimbursement

As part of the New York State Fiscal Year 2018-2019 budget, a new law was enacted which places a two-year moratorium on the processing and approval of applications seeking the licensure of Licensed Home Care Services Agencies (LHCSAs). This moratorium became effective on April 1, 2018 and will continue until March 31, 2020. The full language of the moratorium can be found in Section 9-e of Part B of Chapter 57 of the Laws of 2018.

The law, however, does provide for some limited exceptions for the processing and approval of certain LHCSA applications during the moratorium period:

  • An application seeking licensure of a LHCSA that is submitted with an application for an Assisted Living Program (ALP) authorized pursuant to section 461-a of the Social Services Law.
  • An application seeking approval to transfer/change ownership for an existing LHCSA that has been licensed and operating for a minimum of five years for the purposes of consolidating the licenses of two or more LHCSAs and;
  • An application seeking licensure of a LHCSA where the applicant demonstrates, to the satisfaction of the Commissioner of Health, that it would be appropriate on the grounds that the application addresses a serious concern such as a lack of access to home care services in a geographic area or lack of appropriate care, language and cultural competence or special needs services.

To comply with the statute, no LHCSA application can be accepted for processing unless it meets one of the statutory exceptions. The LHCSA application and instructions have been updated to include information about each exception and what must be provided by the applicant to be considered for an exception.

A more detailed guidance regarding the moratorium is attached.

The revised LHCSA application and instructions are now available on the Department’s website at

Applicant’s with already-submitted applications will be contacted individually with instructions.

If you have any questions regarding these changes please email