New York Budget Successes - Includes Increases in Physician Medicaid Fees

Dear Chapter Health and Public Policy Chairs:

Please see Linda Lambert's, Executive Director of the New York ACP Chapter, message below on New York budget successes, which includes increases in physician Medicaid fees.

If you have not heard already, we here in New York have a very good result in our Governor's/Legislature's final budget for 2008-2009. While they are still working on some "cleanup" to get the "language" matching the "funding", I wanted you to know our primary care coalition has really paid off. I have attached a couple of press releases (one from NYACP, and one from our Coalition) that speak to the successes. While the following is not a full report of the budget issues, it does cover our most important successes:

1) Physician Medicaid fees were increased from 48th lowest in the country up to 75% of the Medicare fee schedule (to be phased in over the next two years) within appropriations reflecting $170 million shift from inpatient care to hospital clinics, emergency rooms and ambulatory care (fiscal year impact for 2008-09 equals $57 million). According to Gov. Paterson's office, "these investments and the implementation of a more rational reimbursement system for ambulatory care services will reward quality and support primary and preventive care."

2) There were some additional Medicaid fee enhancements for evening and weekend hour availability and for asthma and diabetes education (starting to achieve some steps to PCMH)

3) A new program, Doctors Across New York, was enacted to encourage additional primary care practices throughout the state, with special consideration for physician shortage and underserved areas. This program will:

  • Create a loan repayment program of up to 100 awards of $150,000 for medical school loans for new physicians who make a 5-year commitment to practice in medically underserved communities.
  • Establish two-year grants totaling $100,000 to support new physicians who establish or join practices or clinics in medically underserved communities.
  • Enhance funding for post-baccalaureate programs for minority and economically disadvantaged students accepted to medical school programs.
  • Dedicate $5 million to support resident training in community-based settings.

As originally proposed, funding for Doctors Across New York would have increased significantly in the four subsequent years, however, this provision was not included in the final budget package. However, this budget does commit to at least this level of these new expenditures in the out years

4) Finally, we have been included in the budget funding for a small PCMH demonstration to be administered by us through DOH - in Nassau and Onondaga Counties - but we still have lots of details to work out about what we will actually do with the funding!

Related info:

Primary Care Coalition Press Release on NY Health Budget

NY Times Article Quote ACP on Access to Primary Care

Linda A. Lambert, CAE
Executive Director
New York Chapter, American College of Physicians
100 State Street, Suite 700
Albany, NY 12207
Phone 518-427-0366 Fax 518-427-1991
email: llambert@nyacp.org

To access recent and past state health policy reports go to the State Health Policy section on the Chapter Leadership Network (CLN) website

Please contact Shuan Tomlinson at 800-338-2746 ext. 4547 or by email at stomlinson@acponline.org with questions on these or other topics.

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