| FOR IMMEDIATE RELEASE February 6, 2006 | FOR MORE INFORMATION WILLIAM VAN SLYKE
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PRESIDENT’S $770 MILLION BUDGET CUT DEALS SECOND BLOW TO NY’S HOSPITALS
Bush Plan Combines with Pataki Cuts for Punishing “One-Two” Punch to Health Care Providers
HANYS’ Analysis Shows No Region Would Be Spared; Some Hospitals May Not Survive Impact
ALBANY, N.Y. – President Bush today provided the second blow of a punishing “one-two” punch combination to New York State’s health care system, announcing his 2007 federal budget proposal containing nearly $770 million in cuts to hospitals across the state over the next five years. Combined with Governor Pataki’s recent state budget proposal that in one year would cut $431 million from the state’s hospital, the President’s cuts would represent a virtual TKO for some New York hospitals.
“New York’s hospitals now find themselves in the ring essentially fighting two heavyweights at once, and the stakes couldn’t be higher” said HANYS President Daniel Sisto. “The inescapable reality is that some hospitals simply won’t survive this brutal ‘one-two’ punch combination if it’s allowed to occur.”
The President’s federal budget proposal would cut Medicare by nearly $36 billion nationwide over the next five years—including more than $10 billion in cuts to hospitals. New York State hospitals alone stand to lose a staggering $770 million over that period. Governor Pataki’s state spending plan, released in early January, would make $431 million in cuts in just one year to New York’s Medicaid program, threatening critical health services and in some instances the very survival of local hospitals.
“Our hospitals need investment and support from our leaders, not hundreds of millions of dollars in cuts,” Mr. Sisto said.
HANYS’ analysis of the impact the President’s plan has determined that hospitals in every region of the state would face significant federal Medicare cuts. Specifically, the President’s budget would result in the following cuts, by region: New York City - $355.7 million; Western New York - $41.7 million; Rochester Region - $41 million; Central New York - $62.1 million; Northeastern New York - $52.6 million; Long Island - $124.5 million; and Lower Hudson Region - $91.9 million.
“We are calling on members of Congress and members of the State Legislature who we know care about our hospitals to join hands and tell the President and the Governor that enough is enough! Our hospitals simply cannot survive more health care cuts,” said Mr. Sisto.
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