Listed below is an update from Lara Kassel of Medicaid Matters. We echo
the sentiments of Lara and many of our colleagues in advocating for a more
equalized distribution of funding for Community Based Organizations from
the Capital Restructuring Financing Program and the Essential Health Care
Provider Support Program.
On Friday, the announcement was made on the funding provided in last year’s
budget for the Capital Restructuring Financing Program, as well as the
Essential Health Care Provider Support Program. As reported below, roughly
90% of the funding went to hospitals, leaving little support for community
This was an issue MMNY took up when the over $1B showed up in last year’s
budget for capital for hospitals, and we have joined with the Community
Health Care Association of NYS (CHCANYS) and other community-based provider
groups in asking for a better distribution of funds. The bottom line is
that State funding should mirror the State’s own efforts to reform the
delivery system in a way that emphasizes and supports community-based
care. We will continue to carry this message.
Here is the PoliticoNY story about the awards, along with the State’s
announcement on the MRT listserve. There is a link to the list of awards
at the bottom of the article.
Cuomo releases long-awaited $1.2 B. in capital funding for hospitals,
By Dan Goldberg
6:06 p.m. | Mar. 4, 2016
The Cuomo administration on Friday awarded $1.2 billion in capital funding
for hospitals and clinics, money that executives had been anxiously
awaiting since it was first approved two years ago.
The vast majority of that funding — 90 percent — will go toward hospitals
while about $120 million will be spent on clinics.
The funding dovetails with the state’s Delivery System Reform Incentive
Payment, or DSRIP, program, the more than $7 billion initiative that aims
to reduce avoidable hospitalizations by 25 percent by investing in a series
of care management programs that, in theory, produce better health outcomes
and prevent those with chronic diseases such as asthma or diabetes from
relying on the emergency room as a primary source of care.
The $7 billion was part of a federal waiver, which did not allow any money
to be spent on capital projects such as outpatient clinics or IT to manage
population health. Those are the kind of investments that most public
health officials believe are needed to achieve the desired results.
To that end, Gov. Andrew Cuomo allocated $1.2 billion in his 2014-15
budget. But for two years, the money stayed in Albany, despite cries from
health care advocates for the governor to release the funding.
“The awards we are announcing today will help us meet DSRIP’s goal of
reducing avoidable admissions,” said state Health Commissioner Howard
Zucker, who announced the awards at the Greater New York Hospital
Association in Manhattan on Friday.
Zucker spoke for less than 10 minutes and did not take questions about the
But both trade associations stepped up to praise the governor for his
efforts to improve the delivery system.
“It’s a big day for anybody who cares anything about health care,” said Ken
Raske, president of Greater New York Hospital Association.
The governor’s office also released $355 million in Essential Health Care
Provider Support funding, which hospitals can use to pay down debt, a move
that might make them more attractive to a larger health system.
Maimonides in Brooklyn, for example, received $24 million for their
advanced ambulatory care network and an additional $20 million for debt
Maimonides recently partnered with Northwell Health and could become
part of the larger system in future years.
New York City’s Health + Hospitals Corporation received the largest share
of the funding, roughly $300 million, or more than 20 percent of the total.
The money is being used to improve the IT system, which will better allow
the city’s public hospitals to manage population health.
New York Presbyterian, which recently reported $228.9 in operating
income, received more than $10 million.
“This money is so important to the health care community,” said Richard
Cook, the COO of the Healthcare Association of New York State. “We are
going to be able to develop new models of care.”
A full list of recipients is here: on.ny.gov/1Ycw3K1
From: Medicaid Redesign Team Update List
Subject: Award Announcement: Capital Restructuring Financing Program and
Essential Health Care Provider Support Program
Dear MRT Listserv Subscriber:
Today, Governor Andrew M. Cuomo announced a total of $1.5 Billion to fund
162 projects statewide through the Capital Restructuring Financing Program
and Essential Health Care Provider Support Program. This funding is a
commitment made by New York State to help health care providers statewide
fund critical capital and infrastructure improvements, as well as integrate
and further develop health systems.
The awards are being made through the Capital Restructuring Financing
Program and Essential Health Care Provider Support Program. Both were
created by Governor Cuomo to support the goals of the Delivery System
Reform Incentive Payment (DSRIP) Program, the main mechanism for investing
the $7.3 billion in Medicaid savings that resulted from the groundbreaking
waiver between New York and the federal government in 2014.
The awards were spread out across the following regions: New York City, the
Mohawk Valley, Long Island, the Mid-Hudson Region, the Southern Tier,
Western New York, the Capital Region, Central New York, the Finger Lakes
Region, and the North County.
For a list of awardees and award amounts, visit Governor Cuomo’s website
here: www.governor.ny.gov/news where you will find the press
releases by region.