Senate Democrats are “secretly considering” up to $1 billion in “new taxes on medical services” as an alternative to health care spending cuts in Governor Paterson’s deficit reduction plan, according to
this report in today’s New York Post.
Such a tax would add to what is already a heavy and fast-growing burden. Using projected revenues for 2009-10, New York’s current array of special taxes and fees under the
Health Care Reform Act (HCRA) includes:
$2.242 billion in surcharges on
health care providers; $1.165 billion from the
covered lives assessment on health insurance policies; $306 million in hospital assessments; and
$131 million from a newly enacted tax on non-profit HMOs.
All of which comes to
$3.8 billion — up $1.4 billion, or 56 percent, in just the past four years. Collections from the covered lives assessment alone have nearly doubled since 2005-06.
This year, in fact, health-care taxes and fees will total at least $1 billion more than total receipts from New York’s principal general business tax, the state corporation franchise tax.
You may also like
Local governments across every region of the state raked in robust sales tax collections during the three months that ended on June 30th
Remote work and a more mobile professional class will increase the speed and scope of New York's ongoing out migration.
New York's hospitals remain near the bottom of two quality report cards. The state's hospitals received the lowest rate of any state except Nevada and DC.
Looking ahead to an uncertain post-pandemic recovery, New York’s newly enacted state budget for fiscal year 2022 raises spending by staggering amounts that—barring an unlikely rapid return to peak 2019 economic activity in New York City—can't possibly be sustained for more than a few years. The budget is a mid-2020s fiscal disaster in the making: an incomplete bridge over a deepening river of red ink.
New York state today began its 2022 fiscal year without an adopted budget—which, in itself, is not a big deal. The state government can continue to pay bills and employee salaries next week if either final appropriations
In the midst of the constitutional showdown over his pandemic policies, Governor Cuomo made changes to a disputed Brooklyn 'cluster zone' that seemed to contradict his own declared guidelines.
New York State's tax receipts in the current fiscal year will exceed Governor Cuomo's latest projections by $3.8 billion—still down from last year, but a big improvement over the governor's worst-case scenario—according to updated estimates from state Comptroller Thomas DiNapoli's office.
With the national election results still unclear, Governor Cuomo can no longer put off tough decisions on how to balance New York's pandemic-ravaged state budget.