1199SEIU/GNYHA Commend Governor Kathy Hochul, Assembly Speaker Assembly Speaker Carl Heastie & Majority Leader Andrea Stewart-Cousins for Protecting Healthcare in Budget
The Greater New York Hospital Association (“GNYHA”) and 1199SEIU United Healthcare Workers East (“1199SEIU”) commend New York Governor Kathy Hochul, Assembly Speaker Carl Heastie, and Majority Leader Andrea Stewart-Cousins for protecting healthcare in the State fiscal year 2025-26 budget. This budget includes the continuation of a 10% increase in hospital Medicaid outpatient rates, the restoration of $500 million in Vital Access Provider Assurance Program (VAPAP) funding for financially distressed hospitals, and funding to keep the Medical Indemnity Fund (MIF) open to new enrollments for another year.
GYNHA and 1199SEIU advocated for these important outcomes, and we thank the Governor and the Legislature for investing in New York’s financially struggling hospitals and nursing homes. We are also grateful to the Senate and Assembly members who supported budget provisions that protect and strengthen our institutions’ fiscal viability and patient care mission.
This budget was developed and finalized against the backdrop of the chaos and uncertainty coming from Washington, D.C., and its foundation relies heavily on the successful implementation of the Managed Care Organization (MCO) tax. The looming threat of deep federal healthcare cuts and the potential elimination of managed care taxes have been major concerns throughout the budget process. While the final budget provides important funding for healthcare facilities around the state, New York’s struggling hospitals and nursing homes require ongoing investment and support.
