Statewide FI Transition – Update

The Situation Report | June 30, 2025

New Amended Preliminary Injunction Issued; Parties Pursue Settlement Agreement

As indicated in earlier HCANYS updates on SFI litigation, a federal judge in Engesser v. DOH Commissioner James McDonald issued a Preliminary Injunction (PI) in favor of the Plaintiffs in the case. The PI permits current CDPAP consumers to use their existing fiscal intermediary in certain limited circumstances, and it also provides more time for consumers and personal assistants to register with the SFI (PPL).  The PI was originally scheduled to expire on June 6, but was later extended by the judge to June 20 and then again to July 1.

Late last week, the federal judge issued a new Amended Preliminary Injunction which will remain in effect until August 15. Additionally, in the meantime, the judge will determine whether to approve a global settlement agreement that is being pursued by the parties in the case. More background on this timely development can be found here, and an overview of the terms of the Amended Preliminary Injunction can be found here. The full text of the Amended Preliminary Injunction can be found here.

HCANYS will continue to monitor this important development and provide updates and information as it becomes available.