Confidentiality law nixes plan to save county money

NORWICH – An effort to save the county money on indigent defense fell flat on its face Tuesday when a county director said privacy law prevents her department from screening potential clients for their ability to pay.
Chenango County Department of Social Services Director Bette Osborne said the Health Insurance Portability and Accountability Act of 1996 (HIPAA) would make it illegal for her department to screen clients for their ability to pay.
“We can’t do it on the front end unless the PD suspects fraud,” she said.
Public Defender Alan Gordon was directed in April to use the county’s fraud department to determine whether clients can or cannot pay for assigned counsel. Two supervisors, Linda E. Natoli, R-City of Norwich, and Jack Cook, R-Greene, suggested that DSS could conduct random reviews and save the department money.
“They (DSS) probably already know your clients’ backgrounds,” Natoli said at a meeting of the Safety & Rules Committee.
State aid for assigned council services in the county has been slashed by more than half this year. The levy will be tapped for nearly $500,000 for public defender services. Gordon said he suspects approximately 50 percent of his clients do not expose their assets when completing applications for indigent defense.
“Even if a client’s application shows no income, and they tell their attorney that they are working off the books, their attorney cannot disclose that confidential information,” he said.

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