Last Wednesday, HCP Public Policy staff and retained lobbyists Reid, McNally & Savage (RMS) met with Assembly Member Richard Gottfried (D-Manhattan), longtime Chair of the Assembly Health Committee, as well as staff from the offices of Senate Finance Committee Chair Cathy Young (R-Olean) and Assembly Insurance Committee Chair Kevin Cahill (D-Kingston), to discuss HCP’s priorities for the Fiscal Year (FY) 2018 State Budget.
HCP briefed Assembly Member Gottfried and Legislative Aide Monica Miller on HCP’s work over the past year to ensure that the minimum wage funding earmarked in last year’s State Budget for Medicaid providers was adequate and passed through in a timely manner to home care providers. HCP explained the difficulties providers have continued to have in securing rate adjustments from Medicaid managed care plans for their increased labor costs, despite the fact that the New York State Department of Health (DOH) and the Division of Budget (DOB) went to great lengths to ensure that the plans had adequate funds in advance of the minimum wage rate increase.
As previously reported in the HCP Insider (1/20/17), the Executive Budget Proposal provides $255 million to support the direct cost of the minimum wage increases for health care workers that provide Medicaid-reimbursed services in FY 2018, of which $242.7 million is earmarked for home care/managed long term care (MLTC) services. While according to HCP’s preliminary analysis, this funding level is sufficient to meet the direct costs of the minimum wage increase, the Governor’s Budget proposal does not address the larger problem of inadequate reimbursement rates in Medicaid managed care.
Read the full article in the January 27, 2017 issue of the HCP Insider.