In a letter to the governor, Santabarbara is calling for $20 million in the upcoming state budget for the St. Clare’s pension fund that was established to serve the more than 1,100 former employees of St. Clare’s Hospital in the City of Schenectady after its closure.

In the letter, Santabarbara noted the unique history of the now crisis situation that started back in 2005 when the New York State Commission on Health Care Facilities was formed under then-Governor George Pataki. The Commission, now known as the Berger Commission, was tasked with improving efficiency and reducing costs in the healthcare industry of New York State. The Commission forced St. Clare’s to give up its operating license in 2008 and it was absorbed by Ellis Hospital (now known as Ellis Medicine). At that time, New York State put $28.5 million into the St. Clare’s pension plan that was managed by the Roman Catholic Diocese.

Now, ten years after the hospital was absorbed by Ellis Hospital, the former employees of St. Clare's Hospital were notified that they would no longer receive the retirement benefits promised to them—the plan did not have enough assets to cover the payments due to the retirees and was terminated.

Following a recent meeting with Bishop Scharffenberger and St Clare’s retirees at the state Capitol, Santabarbara requested actuarial estimates from Prudential, who managed the fund for the Roman Catholic Diocese. That information was provided and estimated $53.3 million is needed for the fund to become whole again and restore payments to the pensioners.

“The St. Clare's retirement plan was not only a commitment, but a promise that many planned their futures around,” Santabarbara said. “The Roman Catholic Diocese of Albany and the State of New York must come together for a solution.” Santabarbara noted that the Roman Catholic Diocese made an agreement to sell Fidelis Care for $3.2 billion and in the letter proposed that part of this money is used to fill the remainder of the void in the pension fund. “By contributing $20 million towards the $53.5 million needed, the state can do its part to help restore the full pension benefits that these hardworking men and women are entitled to,” Santabarbara added.