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Health care costs in state: Being more responsible with Medicaid

New York’s Medicaid spending problem is out-of-control, was self-created, and must be fixed by our New York State Legislature; fixing the problem will require a fiscally responsible solution that also supports health care in New York.

Medicaid is important medical coverage for low-income and vulnerable New Yorkers, but its mismanagement has resulted in more expansive coverage, rising costs, and increased spending. Those costs, to the tune of billions of dollars, are borne by you, the taxpayer.

According to the New York State Comptroller, New York has the second largest medicaid enrollment behind only California because it defines eligibility much broader than many other states. About 35% of all New Yorkers are enrolled in Medicaid (almost 1/2 of all New York City residents are enrolled in Medicaid).

New York’s “Essential Plan” subsidizes insurance for those with income at 250% of the poverty level. Unlike other states that reimburse premiums, New York, instead directly funds insurance coverage, costing taxpayers billions more.

According to Bill Hammond at the Empire Center, New York spends more per person on Medicaid than any other state in the nation. It spends more than Texas and Florida combined and there are approximately 34 million more people in those two states combined than in New York. Over 40% of the state budget is dedicated to Medicaid spending, more than education, public safety, economic development and transportation combined. New York’s total Medicaid budget accounts for 10% of national spending on the program. Your local, state and federal taxes pay for Medicaid.

Redefining eligibility, allowing more insurance market competition, and reallocating spending to support our rural hospitals/ long-term care facilities while also properly supporting medical prevention services are all ways we can provide fiscally responsible quality health care in New York State.

Our rural hospitals, like the new Brooks Hospital in Fredonia, are a safety net for families during their most vulnerable moments.

When a child spikes a fever in the middle of the night, or an accident happens on the job, people need to know that care is nearby. If our hospitals are forced to scale back or close because of Albany’s misplaced priorities, it isn’t just a health crisis, it’s a community crisis.

Organizations like The Chautauqua Center (with locations in Dunkirk and Jamestown) provide excellent preventative services. These kinds of community investments are proven to keep people healthier, lowering the long-term cost on our health care system.

Of course, nothing happens in a vacuum. With a better business climate in New York, not only would New Yorkers have greater access to quality jobs, but also quality health insurance. More businesses, employees, and families means increasing the number of available taxpayers, which could mean the reduction of taxes. Our healthcare system is another system that is suffering from New York’s dwindling population.

I will continue to fight for a balanced approach, one that supports vulnerable New Yorkers while also protecting taxpayers.

Our communities deserve a health care system that puts patients first and a government that knows how to allocate your hard-earned tax dollars responsibly.

Good health care and fiscal responsibility are not mutually exclusive, we can and must have both. That’s the vision I’ll keep pushing for in Albany, because the future of our community depends on it.

Assemblyman Molitor represents the 150th Assembly District, encompassing all of Chautauqua County. For more information on Assemblyman Molitor, please follow him on Facebook.

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