STATE BUDGET: Local health care officials praise Spitzer plan

By Mark Scheer/scheerm@gnnewspaper.com
Niagara Gazette

January 22, 2008 09:39 pm

— Gov. Eliot Spitzer’s plan to expand health coverage for the uninsured and to push for more preventative care within state-sanctioned programs drew praise Tuesday from the head of one local hospital that is currently dealing with a financial crisis caused, at least in part, by the high cost associated with helping patients who cannot afford to pay.
Niagara Falls Memorial Medical Center President and CEO Joseph Ruffolo thinks Spitzer’s proposed expansion of the state’s Child Health Plus program coupled with his interest in reducing the cost of inpatient services related to Medicaid would help health care facility’s like Memorial address one of their most pressing concerns: the high cost of uncompensated care.
“I think the governor is right on the money,” Ruffolo said.
Under his proposed 2008-09 budget, the governor would provide $19 million in additional revenue to fill a funding gap related to the state’s Child Health Plus program. The move would allow more than 400,000 children who are currently uninsured to qualify for low-cost coverage under the program.
Last year’s state budget expanded eligibility for Child Health Plus, New York’s version of the State Children Health Insurance Program, or SCHIPS. The proposed expansion would have allowed children from families with incomes up to 400 percent of federal poverty level to qualify. Requirements imposed at the federal level denied New York and other states from obtaining federal support for their proposed program expansions. President Bush has repeatedly vetoed congressional legislation reauthorizing and increasing SCHIPS funding. New York and several other states are now suing the federal government over its funding requirements.
Spitzer’s proposal would fully fund the federal government’s share of the Child Health Plus expansion. The governor’s own estimates peg the overall cost for program expansion at $37 million.
“It is imperative that we continue working toward providing access to affordable health care for all New Yorkers — and that starts with insuring every child,” Spitzer said.
In addition, Spitzer’s budget proposal includes provisions aimed at reducing unsustainable growth in New York’s Medicaid program by shifting state resources toward primary and preventative care.
The governor’s budget proposal was also welcome news at Mount St. Mary’s Hospital where spokesperson Fred Caso said providing services to the uninsured and underinsured continues to be a concern. Caso said helping more individuals secure coverage and encouraging individuals to seek treatment before ailments become to progressive and more costly to address, would go a long way toward helping health care providers remain financially viable.
“If people are uninsured, they just avoid the necessary wellness screening they need,” Caso said.
The governor’s budget would also add 75 new staff members and advance other anti-fraud measures aimed to help the Office of Medicaid Inspector General.
Last year, state Medicaid spending declined by 1.9 percent, the first decrease in nearly a decade. Spitzer’s budget plan calls for additional reduction in 2008-09 of more than $980 million.