Drugmaker Nostrum and Its CEO Agree to Pay Up to $50 Million to Settle False Claims Act Claims for Underpaying Rebates Owed Under Medicaid Drug Rebate Program

 

Nostrum Laboratories Inc. (Nostrum), located in Missouri and New Jersey, and its founder and CEO, Nirmal Mulye, Ph.D. (Mulye), have agreed to pay a minimum of $3,825,000, and up to $50 million if certain financial contingencies are met, to resolve allegations that they violated the False Claims Act by knowingly underpaying Medicaid rebates due for Nostrum’s drug Nitrofurantoin Oral Suspension (Nitro OS). The settlement is based on Nostrum’s and Mulye’s financial condition.

Pursuant to the Medicaid Drug Rebate Program, drug manufacturers are required to pay quarterly rebates to state Medicaid programs in exchange for Medicaid’s coverage of the manufacturers’ drugs. The statute requires manufacturers to pay inflation-based rebates for drugs, which are designed to insulate the Medicaid program from drug price increases that outpace inflation. These rebates are calculated by comparing the drug’s current price to the drug’s price on the date that the “dosage form and strength” of the drug was first marketed or 1990, whichever is later.

As part of the settlement, Nostrum and Mulye admitted that:

• Nostrum acquired Nitro OS from another manufacturer in December 2015 and continued to market the product pursuant to its preexisting FDA approval.

• In January 2018, Nostrum temporarily ceased manufacturing Nitro OS because the amount of lead in the product did not comply with updated 2018 FDA guidance. After modifying quantities of two inactive ingredients to reduce overall lead levels, Nostrum resumed manufacturing and marketing Nitro OS in August 2018. Nostrum characterized the relaunched version of Nitro OS as a “reformulation,” but Nostrum did not add or subtract any ingredients and the active ingredients remain unchanged. Nitro OS also remained in the same dosage form and strength as it did prior to 2018. Nostrum continues to market this version of Nitro OS under the same FDA Approval as the pre-2018 version and maintains that it is legal to do so because no major changes have been made to the drug.

• After relaunching Nitro OS in August 2018, Nostrum increased its price from $474.75 to $2,392.32 per bottle, which triggered significantly higher Medicaid Drug Rebate invoices from State Medicaid programs on account of the inflation-based rebate.

• Beginning with the fourth quarter of 2018 through the first quarter of 2020 (when Nostrum withdrew from the Medicaid Drug Rebate Program), Nostrum and Mulye did not pay these entire invoiced amounts, despite learning that the larger rebate invoices were tied to the price increase and inflation based rebate and being notified by Centers for Medicare & Medicaid Services (CMS)  that it should pay the higher calculated amounts. Instead, and despite prior communications to FDA that no “major changes” had been made to Nitro OS, Nostrum wrote CMS arguing that, because this version of Nitro OS is actually a “new” drug, Nostrum should not have to pay rebates based upon the prior version’s applicable price.

The United States contends that, as a result of these actions, it has certain civil claims against Nostrum and Mulye from Oct. 1, 2018, through March 31, 2020, for knowingly failing to pay the required rebate amounts owed for Nitro OS as required by the Rebate Statute and Rebate Agreement and as invoiced by State Medicaid programs.  

“The department is committed to ensuring that pharmaceutical manufacturers meet their obligations to taxpayer funded health care programs, which support elderly and vulnerable populations,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “As this settlement demonstrates, the department will hold accountable those who knowingly fail to satisfy these obligations.” 

“The Medicaid program is a valuable safety net, providing health care to some of the most vulnerable Americans,” said Acting U.S. Attorney Joshua S. Levy for the District of Massachusetts. “By deliberately failing to pay appropriate rebates to Medicaid, Nostrum used that program to divert resources from those Americans in the hopes of generating profits. This office will not turn a blind eye to such flagrant abuse.”

“The Medicaid program provides medical treatment for some of our most vulnerable citizens, and when a drug company improperly circumvents rules designed to protect the Medicaid program from overpaying for prescription drugs, the American taxpayer pays the price,” said Special Agent in Charge Roberto Coviello of the Department of Health and Human Services, Office of Inspector General (HHS-OIG). “As illustrated by this settlement, pharmaceutical companies that disregard their obligation to play by the rules for financial gain will be held accountable for those actions.”

“Nostrum Laboratories reduced the amount that it paid to the Medicaid program by improperly calculating the rebates it owed, even after hiking the cost of one of their drugs by over 400%,” said Special Agent in Charge Jodi Cohen of the FBI Boston Field Office. “Today’s settlement is a win for taxpayers by ensuring that this pharmaceutical company cannot boost its bottom line at the expense of the Medicaid program and the vulnerable population it serves.” 

The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch, Fraud Section and the U.S. Attorney’s Office for the District of Massachusetts, with assistance from HHS-OIG and the FBI.

The investigation and resolution of this matter illustrates the government’s emphasis on combating health care fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement, can be reported to HHS at 800-HHS-TIPS (800-447-8477).

The matter was investigated by Fraud Section Attorneys Augie Ripa and Michael Hoffman, and Assistant U.S. Attorney Evan Panich for the District of Massachusetts.

The claims resolved by the settlement are allegations only, and there has been no determination of liability.

Two Russian Nationals Charged For Conspiring To Hack The Taxi Dispatch System At JFK Airport

 

Both American Hackers in Scheme Also Plead Guilty

Damian Williams, the United States Attorney for the Southern District of New York, and John Gay, the Inspector General of the Port Authority of New York and New Jersey (the “Port Authority”), announced the unsealing of an Indictment charging ALEKSANDR DEREBENETC, a/k/a “Sasha Novgorod,” and KIRILL SHIPULIN, a/k/a “Kirill Russia,” with two counts of conspiracy to commit computer intrusions.  The Indictment charges that DEREBENETC and SHIPULIN hacked the electronic taxi dispatch system (the “Dispatch System”) at John F. Kennedy International Airport (“JFK”).  Taxi drivers are required to wait in a holding lot at JFK before they are dispatched to pick up a fare.  A computer system ensures that taxis are dispatched in the order in which they arrived. DEREBENETC and SHIPULIN conspired with DANIEL ABAYEV and PETER LEYMAN to hack the Dispatch System and move certain taxis to the front of the line in exchange for payment. 

ABAYEV pled guilty today to one count of conspiracy to commit computer intrusions, and LEYMAN pled guilty to one count of conspiracy to commit computer intrusions on October 4, 2023. 

U.S. Attorney Damian Williams said: “As alleged in the indictment, these four defendants conspired to hack into the taxi dispatch system at JFK airport. Cyber hacking can pose grave threats to infrastructure systems that we rely on every day, and our Office is dedicated to pursuing criminal hackers, whether they be in Russia or here in New York.” 

Port Authority Inspector General John Gay said: “The significant charges in this alleged hacking conspiracy show that the Port Authority takes seriously our obligation to safe and equitable operations across our facilities.  As alleged, this brazen scheme corrupted a system that hard-working taxi drivers rely on to earn a living, all so the defendants could make some extra cash.  We are grateful for our partnership with the U.S. Attorney’s Office for the Southern District of New York.”

As alleged in the Indictment:[1]

From at least September 2019 through September 2021, DEREBENETC and SHIPULIN, who are Russian nationals residing in Russia, and ABAYEV and LEYMAN, who are U.S. citizens residing in Queens, New York, engaged in a scheme (the “Hacking Scheme”) to hack the Dispatch System at JFK. 

At all relevant times, taxi drivers who sought to pick up a fare at JFK were required to wait in a holding lot at JFK before being dispatched to a specific terminal by the Dispatch System.  Taxi drivers were frequently required to wait several hours in the lot before being dispatched to a terminal and were dispatched in approximately the order in which they arrived at the holding lot.

Beginning in 2019, DEREBENETC, SHIPULIN, ABAYEV, and LEYMAN explored and attempted various mechanisms to access the Dispatch System, including bribing someone to insert a flash drive containing malware into computers connected to the Dispatch System, obtaining unauthorized access to the Dispatch System via a Wi-Fi connection, and stealing computer tablets connected to the Dispatch System.  The members of the Hacking Scheme also sent messages to each other in which they explicitly discussed their intention to hack the Dispatch System.  For example, on or about November 10, 2019, ABAYEV messaged the following to DEREBENETC in Russian: “I know that the Pentagon is being hacked[.].  So, can’t we hack the taxi industry[?]”

At various times between November 2019 and November 2020, DEREBENETC, SHIPULIN, ABAYEV, and LEYMAN successfully hacked the Dispatch System.  They used their unauthorized access to alter the Dispatch System and move specific taxis to the front of the line, thereby allowing drivers of those taxis to skip other taxi drivers waiting in the line.  ABAYEV and LEYMAN charged taxi drivers $10 each time they were advanced to the front of the line and transferred part of their profits to SHIPULIN and DEREBENETC.

ABAYEV and LEYMAN’s scheme resulted in large numbers of taxi drivers skipping the taxi line.  Over the course of the scheme, they enabled as many as 1,000 fraudulently expedited taxi trips a day.

DEREBENETC, 30, of Nizhniy Novgorod, Russia, and SHIPULIN, 30, of Moscow, Russia, are each charged with two counts of conspiracy to commit computer intrusion.  The charges carry a maximum sentence of 10 years in prison. 

ABAYEV, 47, and LEYMAN, 49, both of Queens, New York, each pled guilty to one count of conspiracy to commit computer intrusion, which carries a maximum sentence of five years in prison.

The maximum potential sentences are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by a judge.  LEYMAN is scheduled to be sentenced by Judge Crotty on January 11, 2024, at 2:30 p.m., and ABAYEV is scheduled to be sentenced by Judge Crotty on February 12, 2024, at 3:00 p.m.  DEREBENETC and SHIPULIN remain at large.

Mr. Williams praised the outstanding work of the Port Authority Office of the Inspector General.  Mr. Williams also thanked Homeland Security Investigations for their assistance in the investigation.

The case is being prosecuted by the Office’s Complex Frauds and Cybercrime Unit.  Assistant U.S. Attorneys Kevin Mead and Steven J. Kochevar are in charge of the prosecution.

The charges contained in the Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.

[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitutes only allegations, and every fact described therein should be treated as an allegation.

Attorney General James Secures $100,000 from Manhattan Doctor Who Manipulated Online Reviews

 

Dr. Mark Mohrmann and His Wife Suppressed Negative Reviews and Obtained Fake Positive Reviews for His Orthopedic Practice

New York Attorney General Letitia James secured $100,000 from a Manhattan-based orthopedic doctor who manipulated numerous online reviews of his practice to entice prospective patients. An investigation by the Office of the Attorney General (OAG) into Dr. Mark Mohrmann and his practice, Highline Orthopedics, found that he and his wife worked together to suppress negative reviews and artificially inflate positive reviews of his practice on numerous websites, including ZocDoc, Google, Yelp, Healthgrades, Vitals, Md.com, RateMds.com, and the Better Business Bureau. Fake online reviews are deceptive and a violation of New York’s business laws. As a result of today’s agreement, Dr. Mohrmann and his wife are required to continue to take down all of the fake positive reviews online and Dr. Mohrmann must pay $100,000 in penalties.

 

“Many patients rely on online reviews when choosing which doctor to trust with their health, and it’s important that these reviews are authentic,” said Attorney General James. “Dr. Mohrmann deceived patients through a secret campaign to remove negative reviews and unfairly obtain positive reviews to boost his practice. These actions are illegal and unacceptable, particularly for critical services like medical care. My office will continue to take action against those trying to mislead patients in New York.”

 

Dr. Mohrmann and his wife used several techniques to prevent prospective patients from seeing negative reviews posted by dissatisfied patients. On some platforms, they would falsely flag negative reviews for removal for violating the platforms’ policies prohibiting inappropriate conduct. In other cases, Dr. Mohrmann would have his office contact patients who left negative reviews and offer to refund their copay or other costs in exchange for removing the bad review. To prevent some patients from even having the opportunity to leave a negative review on the popular medical booking site ZocDoc, Dr. Mohrmann would falsely indicate that the patients had not shown up for a scheduled appointment so that ZocDoc would not solicit those patients for reviews. As a result of these efforts, common complaints about Dr. Mohrmann, such as failing to listen to patient complaints, surprise charges, poor bedside manner, and poor communication were hidden from prospective patients.

 

In addition to suppressing negative reviews online, Dr. Mohrmann and his wife worked together to illegally obtain fake positive reviews. They asked friends, family, and employees to leave positive, five-star reviews, regardless of whether they had actually been seen or received treatment. Ms. Mohrmann also hired contractors on sites such as Fiverr.com and Upwork.com to post fake reviews. Ms. Mohrmann either wrote the text for such reviews herself or copied the text of positive reviews posted for other orthopedic specialists and provided them to the contractors. The contractors would then utilize networks of fraudulent accounts to post the reviews under the guise of one of Dr. Mohrmann’s patients.

Governor Hochul Announces MTA to Hold First In-Person Public Town Hall Meetings on Interborough Express

 MTA to Hold Three In-Person Public Meetings in Brooklyn and Queens

Follows Three Virtual Public Town Hall Meetings

Governor Kathy Hochul today announced the Metropolitan Transportation Authority will hold its first in-person public engagement town hall meetings on the Interborough Express. Members of the public are encouraged to attend the meetings to hear an overview of current progress on the Interborough Express, including the Planning and Environmental Linkages study. The transformative Light Rail Transit project will connect communities in Brooklyn and Queens to 17 subway lines and the Long Island Rail Road, and significantly reduce travel times within and between the two boroughs.

“The Interborough Express is going to be a gamechanger for New York City, and as we move forward with this project, I want the entire community to be involved,” Governor Hochul said. “I encourage everyone to attend one of these sessions to learn more about the IBX and share their feedback.”

The first town hall will be held on Wednesday, November 8th from 6:30 to 8:30 p.m. at Brooklyn College in Flatbush, Brooklyn. This meeting will be followed by two more public events held on Wednesday, November 15th from 6:30 to 8:30 p.m. at P.S.007 Louis F. Simeone School in Elmhurst, Queens and Thursday, November 30 from 6:30 to 8:30 p.m. at Widdi Catering Hall in Sunset Park, Brooklyn. The town hall events will provide an opportunity for members of the public to learn more about the proposed project and to provide feedback on its potential benefits as the Metropolitan Transportation Authority (MTA) prepares to formally enter the environmental review process.

The Interborough Express would use the existing right-of-way of the Bay Ridge Branch, which is a freight rail line that runs through Brooklyn and Queens, connecting ethnically and socioeconomically diverse neighborhoods such as Bay Ridge, Sunset Park, Borough Park, Kensington, Midwood, Flatbush, Flatlands, New Lots, Brownsville, East New York, Bushwick, Ridgewood, Middle Village, Maspeth, Elmhurst and Jackson Heights. The project would include several new connections in neighborhoods that currently lack efficient connections to each other, and in some cases, to Manhattan.

The project has the potential to provide connections up to 17 subway lines (2, 3, 5, 7, A, B, C, D, E, F, J, L, M, N, Q, R, Z) serving areas of Brooklyn and Queens, and initial studies indicate this new transit option could serve up to 115,000 daily weekday riders, amounting to an annual ridership of approximately 40 million. Travel times between Brooklyn and Queens could be reduced by up to 30 minutes each way, depending on travel distance.

MARKING 11 YEARS SINCE SUPERSTORM SANDY, MAYOR ADAMS CELEBRATES COMPLETION OF $110 MILLION NEW CREEK BLUEBELT EXPANSION TO PREVENT FLOODING ON STATEN ISLAND

 

Mid-Island’s New Creek Bluebelt Will Reduce Stormwater Flooding and

Fortify Surrounding Communities Against Extreme Weather Due to Climate Change

Marking 11 years since the week Superstorm Sandy — which killed 44 New Yorkers and caused $19 billion in damages and lost economic opportunity to the city — made landfall in the five boroughs, New York City Mayor Eric Adams today announced the completion of a $110 million project to protect the Mid-Island section of Staten Island from flooding, and fortify surrounding communities against climate change-driven extreme weather events by significantly expanding the New Creek Bluebelt. Bluebelts — ecologically rich and cost-effective drainage systems that naturally handle the runoff precipitation that falls on streets and sidewalks — provide both critical support to Staten Island’s drainage infrastructure and beautiful open green space for residents, while creating diverse habitats for wildlife. The New Creek Bluebelt now covers 94 acres and drains a 2,249-acre watershed area.

 

This portion of the New Creek Bluebelt expansion consists of three connected projects, with construction done in separate phases. With all three phases now complete, stormwater that falls on roadways, rooftops, and sidewalks in portions of the Midland Beach, Grant City, Dongan Hills, and Todt Hill neighborhoods of Staten Island will now drain into new catch basins and storm sewers and be discharged into the New Creek Bluebelt. From there, it will slowly make its way to thelower New York Bay while being naturally filtered along the way.

 

“Eleven years after Superstorm Sandy stole 44 of our neighbors, family members, and loved ones, the need for major investments in flooding infrastructure has only grown as climate change continues to create stronger storms and extreme weather events. Too often, our concrete jungle gives rain no place to go, leaving communities to manage devastating flooding without the necessary infrastructure. But with this $110 million expansion of the New Creek Bluebelt, Staten Island is more prepared than ever,” said Mayor Adams. “These bluebelts are a key part of our broad strategy to protect New York City from flooding. The days of Staten Island being the ‘forgotten borough’ are over. We will not allow any borough in our city to experience another Superstorm Sandy without being prepared.”

 

“Today we celebrate how New Yorkers can have it all, a bluebelt that creates open space, greenery, wildlife and critical absorption to protect Staten Islanders against more frequent, heavier and more unpredictable storms,” said Deputy Mayor of Operations Meera Joshi, “Bluebelts are one of many ways the Adams administration maximizes every square foot, turning it into green infrastructure to protect New Yorkers against flooding. We will continue to be creative and opportunistic to build a more resilient city.”

 

“Bluebelts are a key strategy for managing stormwater throughout the city, making New York more resilient to changing climate. These innovative drainage systems reengineer existing wetlands to protect communities from inland flooding, while also providing beautiful open spaces for residents and wildlife,” said New York City Chief Climate Officer and Department of Environmental Protection (DEP) Commissioner Rohit T. Aggarwala. “As we seek natural solutions to fortify neighborhoods against extreme weather, we need look no further than to the successful development and implementation of the bluebelt program right here on Staten Island.”

 

“DOT is proud to collaborate with our sister agencies to fight climate change with more resilient, fortified infrastructure. As part of our contribution, DOT worked with our sister agencies to rebuild sidewalks along Hylan Boulevard with upgraded, accessible curbs and curb extensions at intersections to expand pedestrian space and make the corridor safer for all road users,” said New York City Department of Transportation Commissioner Ydanis Rodriguez. “We thank Mayor Adams and the administration for their close partnership.”

 

“Bluebelts are an efficient and environmentally sensitive way to manage stormwater while preserving open space and beautifying communities,” said New York City Department of Design and Construction Commissioner Thomas Foley. “Congratulations to the DDC team that completed the New Creek Bluebelt. DDC is also building thousands of pieces of green infrastructure around the city, and we look forward to expanding our stormwater management efforts in coordination with the city’s larger flood mitigation strategy.”

 

“Our wetlands and stream corridors are vital ecological systems that support dragonflies, amphibians, fish, majestic waterbirds, birds of prey, and diverse plant species.  As these bluebelt projects demonstrate, our aquatic systems also play a pivotal role in absorbing and managing stormwater and providing critical open space for communities,” said New York City Department of Parks and Recreation Commissioner Sue Donoghue. “We are excited to continue to work with our agency partners to ensure the multiple benefits of these ecosystems are preserved and well managed for New Yorkers.”

 

“Bluebelts use existing and newly constructed natural resources — streams, ponds, and wetlands — to capture and convey stormwater runoff,” said Mayor’s Office of Climate & Environmental Justice Executive Director Elijah Hutchinson. “They help manage neighborhood flooding, offer critical open space benefits and increase native plantings. The New Creek Bluebelt will be a resilient, restorative destination for Staten Island residents and other New Yorkers alike, and a rich natural environment for social connection and community-building.”

Drone footage of the Staten Island bluebelt network after Tropical Storm Ophelia, September 30, 2023. Credit: DEP

Originally implemented on Staten Island, the bluebelt program preserves natural drainage corridors including streams, ponds, and wetlands, and revitalizes and enhances them to optimize their functions of conveying, storing, and filtering stormwater. Bluebelts have proven to be an excellent mechanism for reducing urban flooding while creating a rich natural environment for the local community. As New York City prepares for rising sea levels and heavier rains due to climate change, bluebelts offer a natural and effective solution for stable and sound stormwater management.

 

To complete this multiphase expansion of the New Creek Bluebelt, the city most recently concluded a $42 million project in Midland Beach, which encompasses 12 acres and features the largest man-made wetland in the bluebelt system. Enhancements feature two outfalls, stilling basins to reduce water velocity, micropools and forebays to provide maintenance points, and a weir chamber at Olympia Boulevard to regulate the downstream flow of water as it makes its way toward the lower New York Bay. The Midland Beach project also included adding more than 85,400 wildflowers and natural plants, 810 native shrubs, 440 trees, 6,000 linear feet of storm sewers, 2,150 linear feet of sanitary sewers, and 5,300 linear feet of water mains.

 

Prior to the Midland Beach site, the city undertook the $25 million “Gateway to the Bluebelt,” which created a panoramic-like viewing area introducing the public to the rehabilitated New Creek wetlands. This three-part expansion of the New Creek Bluebelt began with a $43 million project that saw two new wetlands built at Last Chance Pond Park. The Gateway Project, received a $4.9 million grant from the U.S. Department of Housing and Urban Development Community Development Block Grant Disaster Recovery Program. The Last Chance Pond portion of the New Creek Bluebelt received additional funding from an $11 million U.S. Department of Agriculture grant, which was secured by Senator Charles Schumer.

 

Bluebelts are a key part of the city’s strategy to mitigate inland flooding, while DEP’s new Bureau of Coastal Resiliency focuses on coastal flooding. This holistic approach unifies long-term planning and funding, increases coordination and efficiency, and improves maintenance of flood resilience projects. The Adams administration is also investing billions in grey and green infrastructure to prevent flooding — from neighborhood-scale coastal resiliency projects in Lower Manhattan to porous, receded playgrounds that act as water retention tanks during extreme rainfall, to small rain gardens and other green features that absorb stormwater, among other tools. Additionally, the Adams administration is actively evaluating locations in all five boroughs to expand the successful bluebelt network, including in the Jewel Streets neighborhood between Brooklyn and Queens.

 

“Recent extreme rain events and flooding are a stark reminder to New Yorkers about the need to adapt our city to the growing impacts of climate change. The expanded New Creek Bluebelt is a terrific example of the kind of infrastructure we need to meet the moment, and be better prepared for the future," said Emily Nobel Maxwell, director, New York Cities, The Nature Conservancy. “The bluebelt helps address local flooding, and benefits wildlife and surrounding neighborhoods. The Nature Conservancy congratulates New York City for completing this important project and encourages ongoing investments in green and nature-based infrastructure to improve quality of life and resilience in New York City.”

 

“It’s exciting to see the city completing another forward-thinking bluebelt project on Staten Island,” said Cortney Worrall, president and CEO, Waterfront Alliance. “As climate change continues to bring heavy rainfall, often in unexpected ways, bluebelts are a proven way to use nature to help lessen the impacts of climate change, and in this case, manage stormwater. Nature-based solutions like these will make communities and residents less vulnerable to the impacts associated with the climate crisis.”

 

“New York Restoration Project believes in broadening green infrastructure for all New Yorkers,” said Lynn Bodnar Kelly, executive director, New York Restoration Project.”  “Expanding the New Creek Bluebelt on Staten Island is an important step towards making our city more resilient and livable in the face of extreme weather. Bluebelts help modernize and adapt our drainage infrastructure to handle more water while also expanding critical green space.”

 

“New Yorkers for Parks congratulates Mayor Adams on the forward-looking expansion of the New Creek Bluebelt, which will provide critical support to Staten Island’s drainage infrastructure,” said Adam Ganser, executive director, New Yorkers for Parks. “Our city’s parks and opens spaces are critical green infrastructure, essential in our efforts to mitigate the impacts of climate change. What’s more, this project provides beautiful open green space for Staten Island residents and moves the needle on New Yorkers for Parks’ goals to increase the amount of park space in this densely populated city.” 

DEC Announces $12.9 Million Now Available Through New Federal Grant Opportunity to Support Urban and Community Forestry

 

Applications Being Accepted Now Through January 31, 2024

New York State Department of Environmental Conservation (DEC) Commissioner Basil Seggos today announced that applications are now being accepted for a total of $12.9 million for urban and community forestry projects through the Inflation Reduction Act funding opportunity. Earlier this month Governor Hochul announced the funding was made available by the U.S. Department of Agriculture Forest Service’s Urban and Community Forestry Program to increase equitable access to healthy trees and green spaces in urban and community forests to support building a clean energy economy, advance environmental justice, and create economic opportunity.

“DEC is grateful to President Biden and Secretary of Agriculture Vilsack for this substantial investment in New York’s urban forestry program and to be able to offer this historic funding opportunity to improve the health of trees and green spaces in disadvantaged communities, increase urban tree cover, and support New York’s aggressive climate requirements,” said Commissioner Seggos. “I encourage all eligible entities to take advantage of this funding to safeguard and increase the numerous environmental, economic, and public health benefits of their community forests.”   

Applicants may apply for funding under two categories, Community Forest Management Plan Implementation ($10 million) and Ash Tree Management ($2.9 million). The maximum request is $500,000 per application and no match is required. All projects must take place in disadvantaged communities as identified by any of three Federal and State tools listed in the Request for Applications (RFA). The deadline to submit applications is Wednesday, Jan. 31, 2024.

 

DEC’s Urban and Community Forestry program is holding a virtual information session on Wednesday, Nov. 15, from 10 a.m. to 12 p.m. to provide information on this limited-time funding opportunity. The information session will cover eligible applicants and projects, application requirements and scoring, and other information that will help applicants plan their projects. Register for this webinar here. 

 

For more information on DEC’s Urban and Community Forestry program and the application process for the Inflation Reduction Act Urban and Community Forestry Grants visit DEC’s website.

Albanian & American Open Hand Association New Food Pantry

 

Come rain or shine the Albanian American Open Hands Association is out doing Gods work ensuring the community in the Pelham Parkway area of the Bronx does not go without food. The AAOHA i led by Aleskander Nilaj who saw a need in the community and started the food pantry in 2014.  

The AAOHA just opened their new food pantry location at 821 Lydig Avenue at the corner of Matthews Avenue. Previously the AAOHA food pantry was located on the ground floor of 2134 Barnes Avenue one block away from the new location.  The reason for the move was that 2134 Barnes Avenue was occupied by Destination Tomorrow who has since vacated the building which made the AAOHA pantry and the Pelham Parkway Neighborhood Association relocate to other places. The future of 2134 Barnes Avenue is in doubt as rumors are that it will be turned into a migrant shelter. 

Assemblyman John Zaccaro Jr. helps cut the ribbon on the new AAOHA food pantry located at 821 Barnes Avenue corner of Matthews Avenue.

Elected officials were thanked for their support of the AAOHA.

The elected officials pose with supporters and volunteers of the AAOHA.

Entertainment included authentic Albanian dancers and a Mariachi band afterwards.

Governor Hochul Announces Five-Million-Pound Milestone Reached in State’s Food Donation and Food Scraps Recycling Program

 

Nation-Leading Program Helps Provide Food to Hungry New Yorkers, Reduce Greenhouse Gases in Landfilled Waste

New York State Partnership with Non-Profit Feeding New York State to Collect and Distribute Food to State’s 10 Regional Food Banks

Governor Kathy Hochul today announced Feeding New York State, the state association of New York’s 10 Feeding America member food banks, has reached the five-million-pound collection milestone as part of the ongoing implementation of the New York State Food Donation and Food Scraps Recycling Law that reduces waste and climate-altering emissions caused by landfilling, while providing quality food to New Yorkers in need. This latest milestone is a direct result of Department of Environmental Conservation funding to Feeding New York State to capture new food donations and help build stronger, healthier communities.

“New York State is proud to support initiatives to help ensure that families have access to healthy, quality food,” Governor Hochul said. “Under the State’s Food Donation and Food Scraps Recycling Law, this repurpose effort supports our community food supplies while taking innovative steps to reduce greenhouse gases from landfilled waste as we continue to move forward in actions to achieve the State's ambitious climate goals. I congratulate Feeding NYS, our food scrap providers, and our state partners in reaching this extraordinary milestone."

The New York State Food Donation and Food Scraps Recycling Law continues to see more food managed sustainably and diverted away from disposal at the state's largest food-related businesses. To support the law’s implementation and successful food donations, DEC provided $4.8 million to Feeding New York State (Feeding NYS) and the 10 regional food banks through the Environmental Protection Fund (EPF) to dramatically increase donations beginning in October 2021. The funds are used by Feeding NYS to deploy staff to grocery stores, restaurants, colleges, and other food industry facilities to increase participation in the program and encourage food donations. The fund also supported several equipment purchases for the 10 regional food banks to increase food pickup capabilities at food pantries, meal centers, and other partner agencies.

The partnership between New York State and Feeding NYS is a nation-leading model for food diversion programs. The implementation of the law and investments by New York to put the program into action helped successfully divert millions of pounds of food to those in need. As of October 2023, Feeding NYS reported receiving more than 300,000 pounds of monthly food donations over the last six months, with an increasing number almost every month. This is a significant increase from 50-60,000 pounds per month when the program first launched in October 2021. The program previously reached the one-million-pound food donation milestone in August 2022.

As outlined in the draft Scoping Plan for the State's climate law, the Climate Leadership and Community Protection Act (CLCPA), the release of methane from the breakdown of organic waste in landfills is the largest contributor to greenhouse gas emission in the waste sector. Actions to reduce landfilling of these organics are critical to achieving New York's climate goals. Additionally, DEC also provided $1.6 million directly to emergency food relief organizations, and $5.3 million to municipalities for wasted food reduction, food donation, and food scraps recycling programs.

With big game hunting season underway across the state, New York’s hunters are reminded that they can continue to help with food insecurity by participating in venison donation efforts. Each year, DEC partners with the Venison Donation Coalition and Feeding NYS to help provide food for those in need. Through a cooperative relationship involving the New York State Department of Health, not-for-profit organizations like Feeding New York State's regional food banks, and deer processors, hunters contribute nearly 40 tons of venison each year to needy families across the state. In 2022, DEC issued more than $16,000 in hunter donated funds to Feeding NYS and more than $8,000 to the Venison Donation Coalition.

There are many ways a hunter can help feed those less fortunate. Hunters can donate their deer or part of it at a cooperating processor, support their regional food bank monetarily, or make a cash donation to the Venison Donation Coalition when purchase your hunting license to help offset the cost of processing donated venison. To learn more on how to support these programs or donate venison to help feed local families, visit the Venison Donation Coalition or Feeding New York State.