PEP, May 2005: Coalition wins Medicaid victories

A well-organized coalition of health care advocates, elected officials and union members managed to stymie most of Gov. George E. Pataki’s plans to cut millions of dollars from the budget for Medicaid.

The increased pressure and polls showing Pataki’s approval rating near an all-time low had a strong impact as the Legislature passed the budget on time for the first time in 21 years and canceled many of the governor’s cuts. Final modifications were made late April 12, shortly after 1,500 AFSCME activists departed Albany after demonstrating the union’s political strength (see '1,500 at statewide lobby day').

The governor’s proposal could have cost the city Health and Hospitals Corp. up to $300 million. But in the final budget there are no reductions in benefits or changes in eligibility requirements for Family Health Plus or Child Care Plus, key HHC funding sources.

Senate saves $15 million
In Washington, the Senate passed the Smith-Bingaman Amendment that eliminated $15 billion in Medicaid cuts from the budget bill. “The passage of the Smith-Bingaman amendment March 17 is a victory for the 51 million elderly and low income families that depend on the critical services Medicaid provides,” said Gerald W. McEntee, president of AFSCME, DC 37’s national union.

“The amendment provides much needed relief to state and local governments that would have been left to fill the huge financial shortfall created by Bush’s $15 billion dollar cut,” he said.

The amendment also sets aside $1.5 million for a bipartisan blue ribbon panel to offer ideas on how to improve Medicaid service delivery and quality in the most cost-effective way possible.

“We need a national rally in support of health care to give Congress the message that this is a priority,” said DC 37 Executive Director Lillian Roberts at a recent Cornell University forum on Medicaid. “We have to communicate our message on a national level.”

— Alfredo Alvarado