NIFA postpones decision on extending Nassau inmate health contract

Nassau's financial control board Thursday night postponed consideration of a third, six-month contract extension between the county and Nassau University Medical Center, which provides health care for inmates at the county jail.

Nassau Interim Finance Authority directors expressed concerns about the cost of the deal, citing a reduced inmate population at the East Meadow jail, following state bail reforms, and releases prompted by the coronavirus pandemic.

NIFA Chairman Adam Barsky said earlier Thursday he had hoped that the $10.5 million extension would be the final one, saying officials should agree on terms for a long-term package that reflects the actual cost of care.

But board members ultimately decided to table the contract, saying so after a nearly four-hour meeting, much of which was held in executive session. 

Thursday night, Barsky said there was some concern after an Aug. 13 NuHealth board meeting, during which NuHealth finance director Richard Rank acknowledged there were fewer inmates at the jail.

At that meeting, Rank said that "with bail reform, and with COVID, the inmates at the jail went from about 1,100 … down to about 600."

NuHealth trustee Steve Cohn then asked, "and we get the same money?" and "are they current?" Rank said yes, and Cohn replied: "That's not a hard one."

Barsky said he had learned of the comments made by NuHealth officials at their Aug. 13 meeting. He said: "It was noted by the [NuHealth} board, 'Wow this is a great deal for the hospital.' "

He said the remark “leads me to believe, well, is the county paying the right amount? Is the hospital getting the right amount?"

NuHealth and Nassau County have been engaged in a yearslong dispute over tens of millions of dollars the county owes NUMC, Nassau's only public hospital. The bulk of the debt is for inmate health care.

In December, Nassau offered to pay $16.6 million to resolve the past claims, but the payment was never formally approved.

NuHealth chairman Robert Detor said at the August meeting: "It's a complex negotiation, because some of these numbers go way back." 

Nassau pays a monthly fee of $1.5 million to NuHealth for services at the jail, under the existing contract.

Also, Nassau is responsible for all costs associated with health care at the jail. The county also pays an administrative fee of $3 million or 16.7% of the total annual cost to deliver health care at the jail, whichever is greater.

In 2017, Nassau County lawmakers approved a two-year, $42 million pact with NuHealth when Republican Edward Mangano was county executive.

The county subsequently cut ties with its for-profit jail health care provider, Armor Correctional Health Services, after documented reports of inadequate care and inmate deaths.

The New York State Commission of Correction found Armor had provided inadequate health care to at least eight of 14 Nassau inmates who died during the company's tenure at the jail.

Nassau had entered into a public-private partnership with Armor in 2011 as part of a bid to save the county money.

On Thursday John Chiara, deputy county executive for compliance, said there are few quality operators from the public sector and that many of the private bidders were "problematic."

By Scott Eidler

scott.eidler@newsday.com@ScottEidler

Scott Eidler is a deputy editor for the towns department at Newsday. Scott has worked at Newsday since 2012 and previously covered municipal government and education.