WNYLaborToday.com Editor’s Note: At 1199 Service Employees International Union (SEIU) Healthcare Workers East’s Buffalo Headquarters, a coalition of Labor Unions, Community Organizations, Hospital and Nursing Home Leaders and bi-partisan New York State Legislators came together late last week to kick off a major public awareness campaign to address what they described as a “dire” Medicaid Funding Crisis.  (WNYLaborToday.com Photos)

(BUFFALO, NEW YORK) – Sometimes a problem becomes so dire that it brings together an unlikely group of individuals who normally would not be on the same side of the street - but that’s exactly what is happening as a coalition of Labor Unions, Community Organizations, Hospital and Nursing Home Leaders and State Legislators have joined together to commence a major public awareness campaign across New York State to address what they described as a “dire” Medicaid funding crisis.

A news conference was held late last week inside 1199 Service Employees International Union’s (SEIU) Healthcare Workers East’s Buffalo Headquarters to kick off the effort. 

In a very large room, 1199 SEIU Reps were joined by fellow Union Members from the Civil Service Employees Association (CSEA), the Communications Workers of America (CWA), the New York State Nurses Association (NYSNA), the Public Employees Federation (PEF) and United University Professions (UUP).  Also on board were representatives from Catholic Health, Kaleida Health, the McGuire Group and the Schofield Residence, as well as a host of bi-partisan State Elected Officials, including Crystal People-Stokes - the Majority Leader of the New York State Assembly, Republican State Senator Patrick Gallivan and Democratic State Senators Tim Kennedy and Sean Ryan, to name but a few.

In a nutshell, speaker after speaker hit on the problems facing seven million New Yorkers who rely on Medicaid for their health care, including many right here across Western New York.

Even though Medicaid provides vital coverage to these New Yorkers, the State pays hospitals 30% less than the actual cost of care and 24% less to nursing homes. 

As a result of this underfunding, those hospitals and nursing homes continue to struggle financially more than in the rest of the United States - with nearly two-thirds of New York hospitals facing operating deficits, those who spoke at the news conference said.

In fact, 90% of nursing homes in Western New York have Medicaid reimbursement rates that fall below the statewide average, compounding staffing shortages and pushing facilities to the financial brink, they added.

Western New York AFL-CIO Area Labor Federation President Peter DeJesus (pictured above) said: “This is ‘what I love’ about Western New York when there is a ‘call to action’ - ‘we all come together.’  I stand before you to advocate for Medicaid equity, not merely as a matter of policy, but as a moral imperative and a cornerstone of freedom in our society.  Health care is a fundamental human right, and yet, millions of our fellow citizens are denied access to essential medical services due to financial barriers.  This is not just a matter of economics - it is a matter of justice.  Every person, regardless of their socio-economic status, deserves the right to receive quality health care when they need it most.  That starts with fully funding our health care institutions.  Our nursing homes and hospitals for years have been forced to operate closer and closer to the brink - an untenable financial situation that has weakened the safety net here in Western New York, and across the State.  Medicaid equity is not only about ensuring access to health care - it is about ensuring equality of opportunity.  When individuals are burdened by untreated illnesses or medical debt, their ability to pursue education, employment and overall well-being is severely hindered.  By providing equitable access to Medicaid, we empower individuals to live healthier, more productive lives, contributing to the betterment of our communities and to society as a whole.  Furthermore, Medicaid equity is a matter of freedom.  True freedom cannot exist when individuals are shackled by the chains of illness or financial insecurity.  By guaranteeing equitable access to health care for all, we liberate individuals from the fear of bankruptcy due to medical expenses, allowing them to pursue their dreams and aspirations without fear of falling into poverty.  In a Nation founded on the principles of equality and liberty, it is our duty to ensure every person has the opportunity to lead a healthy and fulfilling life.  That is a promise that is not being kept.  The trauma of going without care is real. The trauma of working in an understaffed and under-resourced facility is real.  For our patients and our Health Care Heroes, we are standing here to say with one voice: It is long past time to do what is right and fill the gap.  By championing Medicaid equity, we uphold these fundamental values and move closer to realizing the promise of a more just and equitable society for all.”

Those who spoke said without sufficient funding in the Governor Kathy Hochul’s final budget, many hospitals and nursing homes will be unable to invest in programs or infrastructure that benefit patients and residents and communities they serve.

For example, the Western New York Region has seen the consequences of inadequate funding first-hand, with the abrupt closure of Eastern Niagara Hospital, cuts to services at Mount St. Mary’s Hospitals, and nursing homes regionwide that are on the brink of failure.

The region also continues to see overcrowding in hospital emergency rooms and staffing issues in nursing homes, both of which are a real threat to the continuum of care for all patients and residents across the State, those in the know said.

Grace Bogdanove (pictured above), who serves as1199 SEIU’s Vice President of Western New York Nursing Homes, said: “Despite our repeated cries for help, the reality is that the health care systems in place are at their most vulnerable.  Year after year, the crisis has worsened and now they are teetering on the edge of complete and utter failure.  Yet, at the beginning of the year, when Governor Hochul released her proposed budget, we saw proposals that actually exacerbate the very crisis we’re in.  Nursing home Medicaid funding across the State only covers (76%) of the cost of providing care, leaving a ($1.6 billion) gap due to inadequate Medicaid reimbursement rates.  Here in Western New York, the crisis is at catastrophic levels, with nine out of ten nursing homes falling well below the statewide average reimbursement rate.  We know what this means.  We are calling on the Governor to do the right thing, to do the morally just thing, to act in the interest of the most vulnerable members of our communities.  And in the Nursing Home Industry, that means committing to increase Medicaid reimbursement rates by ($44) per resident, per day across the State as a necessary bridge to rebasing.  Next year, the Governor must fund and rebase Medicaid reimbursement rates on a two-year cycle to correct significant regional disparities and to provide adequate funding that covers the cost of providing care.  Lastly, the Governor must continue to fund and improve the application process for the vital Access Provider Assurance Program and other necessary funds for struggling nursing homes.  The future of health care depends on it.” 

Chronic underfunding of Medicaid continues to perpetuate health disparities in largely Black and Latino Communities, those who spoke said - particularly affecting low-income seniors, expectant mothers, young children from low-income families, and people with disabilities.  

For example, while Medicaid covers 50% of births in New York, Women covered by Medicaid accounted for 61% of pregnancy-associated deaths in 2018, with Black Women experiencing significantly higher mortality rates than other races.

Meanwhile, infant mortality rates for Blacks and Latinos are also higher than for Whites.

By raising Medicaid rates to cover the cost of hospital services over the next four years, those who spoke said, the State can eliminate the Medicaid funding gap and reduce the resulting care gaps and health disparities for the 40% of New Yorkers covered by Medicaid Health Insurance Program.  Doing this will not only stabilize hospitals across the State, they added, but will also allow them to invest and grow critical services needed to treat the most vulnerable New Yorkers.

CWA Local 1168 President Cori Gambini (pictured above) said: “"Our hospitals are in crisis in Western New York because the State does not provide adequate funding or reimbursement to hospitals - only (70%) of the total cost of care.  And there is no adequate funding or reimbursement (for Medicaid).  There is also rampant understaffing.  Our Nurses are taking care of too many patients - at once.” 

State Senator Gallivan said: “Millions of our fellow New Yorkers depend on Medicaid for their health care, including seniors, people with disabilities and children right here in Western New York.  As a State, we need to ensure Medicaid reimbursement rates cover the actual cost of care. The alternative is devastating cuts to services and programs, including hospitals and nursing homes right here in Erie County.  It’s time to fix Medicaid underpayments - now.”

Senator Kennedy said: "Our Health Care Workers pour their hearts into their work, whether they're giving world-class care to our seniors in a nursing home or saving the life of a trauma patient in the hospital or ensuring that our medical facilities run smoothly and efficiently - they give it their all - every single day.  It's time New York does the same for them.  We need to close the Medicaid Health Insurance funding gap in order to ensure all New Yorkers have access to quality, comprehensive care long-term.”

C.J. Urlaub, who serves as Senior Vice President of Strategic Growth and New Partnerships at Catholic Health, said: “New Yorkers - regardless of their ability to pay or the type of insurance they have - need and deserve high quality care.  New York must raise rates to cover the cost of care and commit to rebase rates on a regular interval.  The health of our community depends on it.”

Dr. Steve Turkovich, who serves as President of Kaleida Health’s Oishei Children’s Hospital, said: “At Oishei Children’s Hospital (60% to 70%) of our patients receive health insurance through Medicaid.  We need a robust and sustained funding plan to ensure that we can collectively and effectively address the social determinants of health for our community’s kids and families.”

On January 30th, at the State the Capitol in Albany, more than 200 Faith Leaders signed on to a letter calling on the Governor to end the Medicaid funding crisis.

Last month, a majority of Democratic Legislators in New York pledged to support fully funding Medicaid.

In early January, Greater New York Hospital Association (GNYHA) President Ken Raske and 1199 SEIU President George Gresham rallied at the Capitol with Albany Leaders, Health Care Workers and patients in support of legislation that would increase the Medicaid reimbursement rate.

Those who spoke at the news conference in Buffalo last week provided information for all involved to help spread the message and urge all to call Governor Hochul directly and tell her that New York State Needs Medicaid Equity - Now!

WNYLaborToday.com Editor’s Note: A Good Portion Of Information From An 1199 SEIU Press Release Was Used In This Labor News Report.  For More, Go To: Coalition of Healthcare Unions, Community Organizations, Faith Leaders, and Hospital/Nursing Home Leaders Join Bi-Partisan State Legislators Calling For Governor Kathy Hochul to Address New York’s Dire Healthcare Funding Crisis (1199seiu.org)