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New York Appeals Court Rejection of Salary Cap for Nonprofit Contractors

NY AGAccording to an Associated Press report, the New York Attorney General’s Office intends to appeal a decision by a New York trial court that the $199,000 salary cap imposed by executives at nonprofit contractors with the Health Department by executive order exceeded the Governor’s authority.  Further coverage of the court decision in Agencies for Children’s Therapy Services v. New York Dept. of Health can be found at the New York Nonoprofit Press.  That article notes that another trial court ruled in favor of New York and upheld the salary cap, so the matter will ultimately need to be resolved by a higher court.  It also notes that the salary cap also applies to nonprofits that contract with 12 other agencies.

Lloyd Mayer