Courts Split on Executive Order 38 Limiting Executive Compensation

In his Executive Order 38, Governor Andrew Cuomo directed 13 state agencies, including the Department of Health (DOH), to issue regulations restricting the amounts of executive compensation and administrative expenses of health care and other service providers that receive state funding. The Health Department (and the other agencies) issued regulations that were to take effect on July 1, 2013. Three separate courts have now ruled on challenges to these regulations,with two upholding all or most of the regulations, and one striking them down.

 

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