CMS VAP Exception Approval for North Country Initiative, LLC and Leatherstocking Collaborative Health Partners (Bassett)

Centers for Medicare & Medicaid Services
7500 Security Boulevard, Mail Stop S2-01-16
Baltimore, Maryland 21244-1850

State Demonstrations Group

December 10, 2015

Jason Helgerson
Office of Health Insurance Programs
New York State Department of Health
Empire State Plaza
Corning Tower (OCP - 1211)
Albany, NY 12237

Dear Mr. Helgerson:

This letter is to inform you that the Centers for Medicare & Medicaid Services (CMS) has made determinations for granting vital access provider (VAP) exceptions under New York´s delivery system reform incentive payment (DSRIP) program. CMS is making final safety-net provider determinations for provider systems that have applied for a safety net provider designation after creating not-for-profit new corporations. Accordingly, North Country Initiative, LLC and Leatherstocking Collaborative Health Partners (Bassett) are approved to participate in DSRIP as safety net providers and as lead entities in a performing provider system (PPS).

DSRIP participation as safety net providers for these entities is contingent upon New York´s assurance that the entities, by our agreed upon definition, consist of all safety net providers, that non-qualifying providers will not be added to the PPS without applying for another exception, and that non-qualifying providers are eligible to receive DSRIP payments totaling no more than 5 percent of a project´s total valuation. New York also assures that none of the above entities will become a source for Inter-Governmental Transfer (IGT) in order to receive funding from the Public Hospital Transformation Fund and will only be awarded with DSRIP project funding from the Safety Net Performance Provider System Transformation Fund.

Your project officer, Deborah Steinbach, can be reached by phone at (410) 786-7404, or by e-mail at, should you need to contact her. We look forward to continuing to work with you and your staff on your 1115 demonstration.


Angela D. Garner
Director, Division of System Reform Demonstrations

Cc: Michael Melendez, Associate Regional Administrator, CMS New York