Section 36-B. Local flexibility incentive pilot program

1.    The
  department, in cooperation with the department of labor,  is  authorized
  to  establish  the  local  flexibility incentive pilot program to enable
  social services districts or groups of  social  services  districts,  at
  local  option, to demonstrate innovations and efficiencies to aid public
  assistance recipients in attaining self-sufficiency.
    2.  Upon application of a social services district, the department, in
  cooperation with the department  of  labor,  is  authorized  to  approve
  funding  for  pilot  programs subject to the approval of the director of
  the budget, separate from state aid that said social  services  district
  or social services districts would otherwise be eligible to receive, and
  to  waive  state regulations that would impede the successful completion
  of a project, provided that the demonstration project is consistent with
  applicable state and federal statutes and will not  impair  the  general
  health or welfare of the people receiving services under such project or
  others receiving services in the applying social services district.  The
  department  is  authorized, in consultation with the department of labor
  where appropriate to impose appropriate alternative standards  in  place
  of any waived requirements.
    3.   Applications for pilot project approval shall include, but not be
  limited to, the name of the applying social services district  or  group
  of   social   services   districts,   the   population,   size   of  its
  welfare-related   programs   including   medical   assistance,    family
  assistance,  safety  net assistance, emergency assistance to families or
  its successor programs; size of the population  to  be  subject  to  the
  pilot project, the project proposed, with quantified cost savings and an
  explanation  of  how  such  project,  if  approved, would result in cost
  containment of the amounts described in the application or  improvements
  in  the delivery of services and benefits; the start date and completion
  date of the project; whether, if successful, the project  would  require
  funding in future years; and identification, as necessary, of any rules,
  regulations  or  statutory requirements that could impede the successful
  completion of the project.
    4.  If a project is approved, then, notwithstanding  any  inconsistent
  provision  of  law,  the department shall provide funding of the project
  within amounts available by appropriation  therefor,  provided  that  no
  social  services  district  or  group of social services districts shall
  receive more than twenty-five percent of  the  funds  available  in  any
  single  year.    No  payment  will  be  made until thirty days after the
  agreement has been executed. An approved applicant  that  shall  achieve
  its  cost-savings goal shall receive full reimbursement for the costs of
  such project as such amount shall have been approved by  the  department
  in cooperation with the department of labor.  In no case shall the state
  or  any of its agencies require remission or repayment of funds saved by
  any applicant.  Reimbursement for successful applicants pursuant to  the
  provisions  of  this  section  shall not take place until the department
  shall have been satisfied as to the savings levels actually achieved.
    5.   Each  social  services  district  or  group  of  social  services
  districts   implementing  a  pilot  project  under  this  section  shall
  establish  an  on-going  program  evaluation  and   assessment   program
  employing  objective  measurements  and systematic analysis to determine
  the manner and extent to which the project  is  achieving  the  intended
  primary  objective  of  the  project.    Each  evaluation and assessment
  program shall include  an  annual  performance  plan  with  goals  which
  establish target levels of performance expressed as tangible, measurable
  objectives against which actual achievement can be compared, including a
  goal  expressed  as  a  qualitative  standard,  value  or  rate.    Each
  participating social services  district  or  group  of  social  services

  districts  shall  submit  an  annual  program performance report for the
  prior fiscal year to the department, the department of labor and to  the
  governor,  the  speaker  of  the assembly and the majority leader of the
  senate   documenting   the   performance   achieved  compared  with  the
  performance goals established for the pilot project, improvements in the
  quality of services provided and any cost savings; an explanation  if  a
  performance  goal  was not met and an assessment of the effectiveness in
  achieving performance goals.
    6.   Notwithstanding any provision  of  law  to  the  contrary,  state
  reimbursement  for  expenditures  made by a social services district for
  administration of any project, including expenditures made in connection
  with the development, if performed by a county  employee  or  employees,
  implementation  and  operation  thereof,  shall  not  be  subject to any
  limitations on  administrative  expenditures,  ceilings  or  caps  which
  otherwise  would  apply  to  the  reimbursement  of  such administrative
  expenditures.