Gov. David Paterson yesterday said New York will be “punished” and stands to lose up to $1.25 billion under the national health care bill backed by his fellow Democrats in Washington, D.C. As the bill is currently written, states get increased federal funds for adding people to their Medicaid rolls.
New York won’t get benefit because it has already reached its limit after years of expanding Medicaid to include more residents, Paterson said.
Unless the bill’s language is changed, “we are, in a sense by the bill, being punished for our own charity,” Paterson said in an interview with WBEN radio in Buffalo.
The state also suffers because Medicaid reimbursements are calculated based on per capita income, not poverty rate, he said.