Proposed and existing federal funding cuts, as well as inadequate Medicaid payment levels, threaten New York’s hospitals and health systems’ ability to provide care and critical services.
The healthcare-focused fund proposed within the Governor, Assembly, and Senate budgets is a critical safety valve that must be created and funded in the final 2019 state budget.
Hospital Shortfall Fund = Stabilization
The Governor, Assembly, and Senate have all individually recognized a need for this important healthcare funding.
The "Healthcare Shortfall Fund" was originally proposed in Governor Cuomo's fiscal year 2019 budget. The Assembly included the fund in its budget, referring to it instead as a "healthcare stabilization account." The Senate also included the fund, though the Senate did not specify how it would be funded.
It is critical that the agreed-upon final budget maintain this commitment to stabilization. This fund provides New York an opportunity to stabilize and strengthen healthcare areas already under duress.
We Must Continue Investing in Healthcare
The administration and Legislature have made a multi-year effort to help hospitals and providers improve their value proposition, and for that, we are grateful. This proposed stabilization funding represents a commitment to hold on to gains that have been made in recent years. Now is not the time to take steps backward.
Care needs are expected to increase. Pressing healthcare issues, such as the opioid epidemic, an aging patient population, social factors, and technological advances are changing how hospitals and healthcare systems approach patient care, both within our facilities and within our communities. New Yorkers need a stabilized and strengthened healthcare delivery system now, as well as investments that will prepare it for the future.
We encourage New York's lawmakers to include healthcare stabilization funding in the final 2019 state budget.