An unusual clause in Governor Cuomo's Medicaid budget would trigger $2.5 billion in across-the-board cuts if the Legislature doesn't otherwise agree to a package of savings.
Governor Cuomo's response to New York's big Medicaid deficit, as laid out in his budget presentation on Tuesday, was a disappointing mix of delay, deflection and delegation.
This year marks the 90th anniversary of New York State’s first Executive Budget, presented by Governor Franklin D. Roosevelt in January 1929. Constitutional amendments establishing the Executive Budget process had been approved by New York voters in November 1927, capping a more than decade-long bipartisan effort to bring order to what had been a shambolic and fiscally profligate legislative budget process.
In the coming skirmish over how to close a multi-billion-dollar deficit in the Medicaid program, New Yorkers can expect a lot of misleading claims and half-truths from the health-care industry.
A case in point is a Jan. 6 letter signed by 23 provider groups – representing hospitals, nursing homes, pharmacies, physicians and more – which calls for Governor Cuomo to reverse the 1 percent cut to most Medicaid fees that his administration announced on New Year's Eve.
The cash flow of New York’s Medicaid program has become increasingly volatile in recent years, a byproduct of questionable fiscal maneuvers that spawned the current $4 billion deficit.
The ball in Times Square isn't the only thing dropping on New Year's Eve: The state Health Department also announced a 1 percent reduction in most Medicaid payments.
In a sign of a deepening state budget crisis, the Cuomo administration says it is planning to delay another $2 billion in Medicaid payments this coming spring, according to a recent report from the Budget Division.
Governor Cuomo has kept his perfect record of consistently ignoring the statutory deadline for issuing a mid-year financial plan update.