Assemblyman Stirpe: Assembly Bill Shifts Medicaid Costs in Responsible Manner

“In recent days, members of Congress from New York proposed an amendment to the House of Representative’s legislation to repeal and replace the Affordable Care Act that would impact how New York State currently funds Medicaid. Reducing the Medicaid burden on counties so we can cut local property taxes is a goal I share; however, their approach does this without any guarantee that these changes will actually reduce local property taxes, nor any regard for the statewide impact on local services. Moreover, it has the potential to devastate local hospitals and nursing homes.

“There is a far better way to accomplish this goal. Earlier this year, I proposed a more reasoned and thoughtful approach that would reduce the local Medicaid burden while also encouraging more efficient local government. My bill, called the Government Modernization and Medicaid Reimbursement program, moves us toward a state takeover of local Medicaid costs incrementally, starting with a pilot program in Onondaga County connected to local government modernization efforts there, and expanding to the rest of the state in the years ahead. As written, the proposal would require the county to cut property taxes comparable to any Medicaid savings. Tied to modernization efforts, it would also take some time to implement, thus giving the state time to predict and absorb any increased costs.

“This is a far better way to reduce the local Medicaid burden, and since it would actually reduce property taxes and modernize local government, it could also usher in a new era of economic growth in upstate New York.”