More cuts to an industry in need of help

The governor is once again proposing health care cuts and taxes that will place greater financial strain on already stressed hospitals, nursing homes and home care providers. Under his proposed budget, health care cuts and taxes would add up to $16.8 million to our local hospitals this year alone, and over $68 million over 5 years – jeopardizing good-paying jobs.

The governor’s budget cuts could force local hospitals and nursing homes to turn away patients – or even permanently close their doors.

According to the Healthcare Association of New York State, local hospitals would be devastated by the governor’s budget:

• SUNY Upstate Medical University
  would lose over $7.5 million

• Crouse Hospital
  would lose almost $6.3 million

• St. Joseph’s Hospital
  would lose nearly $3 million

Dodging a solution to the Medicaid burden

The governor’s proposal sidesteps the real problem facing New York – a lack of federal Medicaid dollars. New York currently has the lowest reimbursement rate in the nation, receiving aid for just half of the cost. If New York’s reimbursement rate was increased by just 1 percent, we would have another $450 million – nearly the amount county executives say is needed to cover annual Medicaid cost hikes.

But instead of lobbying his good friend President Bush for an adequate reimbursement rate, the governor proposes slashing programs and cutting needed services.

Last year, the Assembly helped enact a state takeover of local costs for the Family Health Plus program. The state will pick up half the local share during fiscal year 2005 and the rest the following year. Onondaga County will save $2.8 million this year and at least twice as much next year.

Stripping Family Health Plus

The governor’s proposed cuts to Family Health Plus would:

• eliminate vital services for our families including dental, vision, medical equipment, mental health and home health services, and hospice

• impose or drastically increase co-payments for hospital visits and prescription drugs

• impose a 1-year waiting period for Family Health Plus for workers who previously had group insurance coverage – even if the employer drops coverage or the employee can’t afford increases in health insurance premiums

• denies coverage to individuals who work for companies with more than 50 employees Magnarelli continues to fight for quality, affordable health care

Last year, the Assembly and Senate’s bipartisan budget rejected many of the harshest cuts the governor sought. The agreement:

• restored well over half – $450 million – of the governor’s proposed $800 million in cuts

• rejected his $429 million “sick tax” on hospitals, nursing homes and home health care agencies

• rejected the governor’s proposed elimination of Medicaid benefits for psychological, dental, hearing, and foot care services

“Cutting essential services and forcing New York’s most vulnerable citizens to shoulder additional costs are more of the same wrong choices proposed by this administration. I am fighting for real reforms to help keep our families healthy and provide much-needed relief to our local taxpayers.”

-Bill Magnarelli