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Medicaid benefits on the line with $2 billion dollar federal budget gap in NY

John Smith / Charlie Hynes WAER News
A view of Crouse Hospital on a rainy March morning.

Central New Yorkers who depend on Medicaid could feel the impacts of cuts to the program, if Governor Hochul and lawmakers don’t act soon. The state faces a $2 billion-dollar budget deficit for Medicaid due to funding cuts in last year’s “Big Beautiful Bill” in Washington. Crouse Hospital CFO Kevin Randall says the lost funding will reduce support for a large number of the hospital’s patients.

‘We’re grateful for everything that’s been done at the state level by governor Hochul and her team. As well as the strength and support by this (State) Senate and Assembly. But more needs to be done. Crouse Health is a safety next hospital. Where more than 26% of our patients that come into the hospital receive Medicaid funding.”

Others say the federal loss in support will make it difficult to hire and retain qualified healthcare employees. They're calling on state lawmakers to make up the gap in the state budget, which is due April first. 1199 SEIU healthcare union Vice President Kevin Lockhart argues the funding is necessary to maintain care for hospital patients and nursing home residents.

“But, if the final budget does not fully close the $2 billion dollar gap before April 1st, instability will deepen. Especially in Upstate communities like ours. Facilities in Central New York operate on narrow margins. There’s no excess cushion here.”

Assemblymember Pam Hunter says additional funding combined with legislative policy is needed to ensure families get the healthcare they need. An estimated 1.7 million people or roughly 9% of the state’s population is enrolled in Medicaid. However, last summer the “Big Beautiful Bill” also known as H.R. 1 gutted coverage for immigrants, including those with legal status.

John Smith has been waking up WAER listeners for a long time as our Local Co-Host of Morning Edition with timely news and information, working alongside student Sportscasters from the Newhouse School.