Thursday, March 23, 2017

NY Considers Lawsuit Over Collins-Faso Amendment to AHCA

New York State is considering bringing a Lawsuit against the Federal Government should the House GOP’s Obamacare Repeal-and-replace Plan be passed into Law with a provision requiring that the State absorb Medicaid costs currently covered by Counties.

New York Gov. Cuomo said he believes that Provision, an Amendment to the Bill pushed by Republican Reps. Chris Collins and John Faso, is Unconstitutional because it unfairly targets a sovereign State without a clear Federal objective behind it.

Cuomo said the State is continuing to research other Provisions in the Republican Bill to see if the State would have Standing for a Lawsuit against any other piece.

The Faso-Collins Amendment would require that the State pick up the tab for County costs only in New York and not any other State. The cost shifting would not apply to New York City.

If the State didn’t pick up the County costs, it would lose $2.3 billion in funding, the same value as the County share of Medicaid.

“There is no justification for why you target New York,” the Governor said in a conference call with reporters.

The Amendment, added on Monday, is being pitched as a way to help alleviate crushing Local Property Tax burdens. Faso, a Kinderhook Republican who first proposed such a cost-shifting plan during his run for the House last year, has said the provision would fix “Nelson Rockefeller’s 51-year-old mistake” to have the Counties pick up a portion of Medicaid costs, while most States split cost with the Federal Government without pushing some burden onto Counties.

Faso and Collins contend that the State can find bloat elsewhere in its Budget to trim to make up for the $2.3 billion that their Provision would cost the State beginning in 2020.

NYC Wins When Everyone Can Vote! Michael H. Drucker
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