Republican Assembly: State Should Take Over and Pay for Local Share of Medicaid

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Angelo Morinello wants to change how Medicaid coats are paid.

Yesterday, Assemblyman Angelo J. Morinello (R,C,I,Ref-Niagara Falls) joined members of the [Republican]’ Minority Conference at a press conference unveiling a plan to improve New York’s Medicaid program by providing critical assistance to localities.

Under this proposal, the state would take over and pay for the local share of Medicaid, resulting in economic growth and reduced property taxes for state taxpayers. New York currently has the second-most costly Medicaid program in the nation next to California.

“The work done by my colleagues in the Minority Conference will largely reduce the tax burden faced by many state residents,” said Morinello. “For too long we’ve forced localities to endure massive Medicaid expenses, which has stifled job growth and our local economies. I applaud efforts to assist county governments and local taxpayers, and hope to continue working toward meaningful legislation that benefits all state residents.”

According to the Division of the Budget, New York’s Medicaid program cost $72.1 billion in 2017-18. New York is paying up to $8.2 billion annually toward the program and is one of only 18 states that require counties to cover some of the non-federal cost of Medicaid

           Components of the Assembly Minority’s structural change to the Medicaid program include:

  • State Takeover of the Local Share of Medicaid Outside of New York City:

o   Takeover of the local share of Medicaid for counties outside of NYC over a 10-year period;

o   Require the state to assume the local share of Medicaid costs, over multiple years, to allow the state time to make structural changes that do not reduce services to the overall cost of the program; and

o   Require all local savings realized from the program to be passed on directly to property taxpayers.

  • State Takeover of 50 Percent of New York City’s Medicaid Costs:

o   Takeover 50 percent of the City’s Medicaid costs over a 20-year period; and

o   Require all local savings realized from the program to be passed on directly to taxpayers.

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