N.Y. Comp. Codes R. & Regs. tit. 14, § 522.6 – Notice to qualified persons of intent and application for representative payee status.

(a) Whenever a facility director intends to apply to be a fiduciary or representative payee of a beneficiary who is receiving services from the facility, the facility director shall give written notice to qualified persons, including the beneficiary, of the facility director’s intent to make such application in a manner consistent with Federal and State laws governing the confidentiality of individually identifying health information.
1. (1) The notice shall be provided at least five business days before the facility director applies to become fiduciary or representative payee.
2. (2) If the beneficiary would lose any benefits because of a delay in the facility director’s application to become fiduciary or representative payee, the facility director may proceed with the application without prior notice or without the lapse of five business days. In such instances, the facility director shall provide the notice as soon as practicable after making the application or within the maximum time which is practicable between the notice and the application.
3. (3) A facility director shall not be required to provide notice pursuant to this section if the treating practitioner, as defined in section 33.16 of the Mental Hygiene Law, determines that notice to a particular qualified person, including the beneficiary, would be clinically contraindicated or the beneficiary objects to such notice.
4. (4) The notice shall be deemed to have been provided if hand delivered or mailed by first class mail to the last known address of the recipient(s) of the notice.
5. (5) The notice to beneficiaries shall include information that the Mental Hygiene Legal Service is available to advise patients or facility residents regarding the application process.
(b) When a facility director submits an application to the Social Security Administration or other Federal or State agency to serve as a beneficiary’s representative payee, he or she shall provide written notice of the application in a manner consistent with Federal and State laws governing the confidentiality of individually identifying health information, to:
1. (1) the existing representative payee, if any; and
2. (2) in the case of facilities operated by the office, the Mental Hygiene Legal Service of the Judicial Department in which the facility is located.
(c) During the application process or following the appointment of a facility director as a beneficiary's representative payee, the facility shall ensure that the beneficiary is apprised of his or her right at any time to request to be his or her own payee, or to request a change in representative payee. Such request shall be directed to the Social Security Administration or whichever Federal or State program made the appointment.