Hospitals fear cuts Paterson proposed
Staff and wire reportsALBANY - A health care industry group's warning that medical services in New York would be cut and access to treatment would be more limited if Gov. David Paterson's proposed budget cuts for Medicaid and health care are enacted was echoed by local hospital officials.
The Hospital Association of New York State issued data Sunday showing that Paterson's proposal would cut more than $771.5 million from hospitals in the next two years, including nearly $2 million from Nathan Littauer Hospital in Gloversville, and St. Mary's Hospital and Amsterdam Memorial Hospital in Amsterdam combined.
''We're making these deep cuts, and since 60 percent of the cost of the hospitals is staff, and since we already have a staff shortage, there's literally no way to accommodate this unless you cut services,'' HANYS President Daniel Sisto said. ''We need to find out what services would be reduced.''
The new data offer a breakdown of losses by region, and includes how much individual hospitals would lose. Nathan Littauer would lose $742,000 over the next two years, St. Mary's would lose more than $1 million and Amsterdam Memorial would lose $163,000, according to the association.
Amsterdam Memorial Hospital spokeswoman Rana Huber said any such cuts would be "devastating" to Amsterdam Memorial. She said Amsterdam Memorial's cuts would be substantially higher than what HANYS has predicted because of the patients the hospital cares for in its Wilkinson's Residential Facility.
"We would be concerned these [cuts] would impact our ability to provide care," she said. "Hospitals across the state are already either losing money or just barely breaking even, and this certainly isn't going to help. Hospitals should be spending more time battling illness."
Nathan Littauer spokeswoman Sue Kiernan said the existence of the hospital's nursing home facility would add nearly $400,000 to the cuts, bringing Nathan Littauer's potential losses over a 16-month period to $1.1 million. She said hospital officials expect the number could be closer to $1.5 million, due to Medicaid reimbursements.
"This is serious," she said. "We don't have a contingency plan for a cut this big."
Kiernan said she understands the state's fiscal woes but feels hospitals are being unfairly targeted.
"We feel this is a disproportionate amount of cuts from hospitals and nursing homes," she said. "If these cuts go through, it could mean layoffs across the state."
Paterson spokesman Jeffrey Gordon says the state Division of Budget is still reviewing the numbers released by the hospital association.
''Governor Paterson has said that the only way to overcome this unprecedented crisis is through shared sacrifice, and he proposed a plan that reduced spending in virtually every area of the state budget,'' Gordon said. ''The savings he proposed in hospitals represent only one-half of one percent of the hospitals' revenues.''
New York City hospitals alone would lose $505 million in the next two years, and $121.7 million before the end of this fiscal year March 31. The association put together the report to inform hospitals around the state of what they could expect to lose if Paterson's recommendations go into effect. The hospitals are expected to report back to the association with plans for what they would cut.
Paterson's proposal would cut reimbursements to hospitals in Medicaid, a double whammy because the federal government matches every Medicaid dollar. So for every dollar the state cuts, hospitals lose two, Sisto said.
New York spends $2,283 per person on Medicaid - more than any other state in the country and more than twice the national average of $1,026. Despite the cuts, Medicaid spending would still grow 1 percent - $144 million - from the 2007-2008 fiscal year to the current fiscal year. Paterson's plan would set total Medicaid spending at $15.3 billion.
The midyear cuts are particularly challenging for hospitals because they have already planned their budgets for the year, Sisto said.
''We've already provided [pay] increases to the nurses, pharmacists and staff at our institutions,'' he said. ''So we can't go back and take those costs out. There's no way at this point in the year to adjust for cuts of this magnitude.''
The HANYS study only reflects the $771 million in cuts to Medicaid fee-for-service programs. Millions more would be cut from managed-care programs. Data on their cost and proposed savings were not yet available.
Leader-Herald reporter Kayleigh Karutis contributed to this report. She can be reached at gloversville@leaderherald.com
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JamesD
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11-18-08 10:52 PM
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That $742,000 loss at Littauer can probably be compensated for by holding off on acquiring a few desirable, but unnecessary, pieces of "state of the art" equipment that hospital management want to purchase. Really, we've got to start accepting the fact that sacrifices are going to have to be made in every aspect of our society, and that includes our health care institutions. I've got to believe that, if there's no contingency plan for losing one half of one percent of your annual revenue, there are some significant managerial issues that need to be addressed.
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ipaymyway
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11-18-08 2:08 PM
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no a democratic congress approved this, with bush backing his congress. maybe the congress should have looked at all the loop holes before signing on the dotted line. it doesnt matter anyways. each party has its own agenda and im not one of them. so ill get up, go to work and pay my taxes like a good little boy. god forbid i let the welfare starve. and for paterson, hes a down state guy, we dont have bruno so battle for us anymore.
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Aingymclass
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11-18-08 2:01 PM
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Resident69, you are 100 percent correct. Well said. Nonetheless, we have to chose the lesser of two evils for now. The "lesser" are dems.
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Aingymclass
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11-18-08 1:58 PM
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Hospitals are all privately owned. So any tax money giving to them go straight into the pockets of the hospital execs
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resident69
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11-18-08 1:56 PM
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Aingymclass, The democrats have run this country into the ground just like the republican. No independent candidate has (nor will they get that chance with the Electoral College). Both parties have given the shaft to the public for years, you’ll find fault on both sides. When the Demmy’s screw up again the Repuby’s will be back in power to screw up the mess worse than the previous administration has. Neither party is any good if they continue to play by their own rules and not in our best interest! Paterson has to clean up Spitzer's mess leftover from Pataki
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Aingymclass
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11-18-08 1:43 PM
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...And do not forget, it was Bush who just passed the biggest financial bailout of all times. That was your tax money people. And to CEO's of the companies he bailed out got rich from it. And your worried about welfare. HAHAHAHAHAHA
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Aingymclass
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11-18-08 1:39 PM
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HERE. I'm a "LIB". Obama is not even in office yet and you are blaming the dems? Come on now. Bush ruined this country, and only dems can save it now. Patterson is doing what needs to be done. As for blaming welfare. You are telling me that the 13,000 people in upstate NY receiving $225 a month are the problem? No, the problem is Bush's politics (Take from the poor and give to the rich)and people like you. You are all against progress. That is why, even though Bush was ******** all of you for the last 8 yrs, you still think he was great. He made sure to regress. Are society has gone back to the 1800's where only church and taxes matter. Come on fulton county, wake up and smell the clean air.
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Discobulous
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11-18-08 11:21 AM
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Looks like Paterson wants to surgically remove some hospital sacred cow funding. If hospitals need so much money, how come the magazines in the waiting rooms are six months old?
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LoyalSocialist
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11-18-08 9:30 AM
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But resident, if they combined services, that would be that dreaded socialism!!! OH NOOOOOOOO!!!!!! THE HILLS ARE RUNNING RED!!!!! God forbid people who need medical care, get medical care.
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resident69
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11-18-08 8:47 AM
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don't forget the guy to drive the truck for the one to get coffee! Has the local hospitals looked into sharing more services? I remember when the state closed Johnstown Hospital, NLH claimed they could handle it...then they started to whine they could not handle it. If they all stop trying to make the outside of the building fancy and work on making the services better than they might not have a problem.
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ipaymyway
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11-18-08 7:14 AM
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they cant make cuts there. you need one guy to shovel, two guys two watch the guy shovel, and one more to get coffee.
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ve22gg
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11-18-08 6:22 AM
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Make the cuts in the state labor force.
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wolfman
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11-17-08 6:27 PM
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you think it's bad now? wait until our new president takes over and implements the socilized medicine plan he has up his sleeve!! say goodby to medicine as we know it.
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Discobulous
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11-17-08 6:16 PM
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Doomed
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ipaymyway
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11-17-08 3:57 PM
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i will do my part and give more. i dont have a choice, and im ok with that. were do the welfare fit into making sacrifices. maybe they could shovel my driveway, or cook my dinner while i go get a second job. man i crack myself up!! but really im worried about the elderly who cant go and earn some cash to get through it.
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lizzie
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11-17-08 3:07 PM
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These proposed cuts effect more than just hospitals. And I'm sure everyone who is effected has set their budget for the year, and who plans for a million dollar or more shortfall? Everyone wants cuts, but no one wants it to effect them. What's the answer then? Cuts are coming, and individuals and businesses better figure out how to do more with less.
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ipaymyway
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11-17-08 2:05 PM
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wow, were are all the libs chirping now, about the how great it would be to be a democrat. look you want big goverment, then you better be able to handle it when they want to take a little more. the only people that are going to suffer are the ones that like to work and make a honest living. they are not going to take away from welfare, or the officials, but then again this is all bushs fault. thats what libs do point fingers. hahhahahahahah
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Dirtracefan
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11-17-08 12:52 PM
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They better not cut our only community hospital. Nathan Littauer is not only needed, but it is vital to this areas population. No company in there right mind is going to invest millions of dollars to come to an area without proper health care. I had surgery performed two years ago at Nathan Littauer and it was without question top of the line treatment. The Governnor needs to look at the overpaid Legislators that work 6 months a year and spend 90% of their time fighting between them selves on issues that hold up the budget process and cost us taxpayers millions of dollars. It is time to cut the number of legislators that we have making six figures salarys, how many people do we need sitting there wondering what kind of bottle bill to pass or which bridge to repair next or how much to increase the tolls on the thruway. Get to work
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ipaymyway
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11-17-08 11:16 AM
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they cant take things from welfare, who do you think elected these guys into office.
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givemeabreak
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11-17-08 11:10 AM
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how about cutting from the top! lots of wasted state money at the top. Why do they always take from the elderly? and disabled? and people who work that need the help? there are alot of people in fulton county that do not work that are able bodied that are on welfare how about starting there too. do not take from the retired. they worked all their lives. let them live worry free the remainder of their years. Hey Patterson how about you and the state employees take a pay cut. thats an idea.
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