A majority of New York’s county leaders are so concerned about Governor Kathy Hochul’s proposal to end the practice of sharing federal Medicaid savings with counties that they have asked Senator Charles Schumer to intervene.
The New York State Association of Counties has sent what it termed as an “unprecedented bi-partisan” letter, signed by more than 50 county executives, to the Senate Majority Leader asking for his help in protecting the state’s renters, homeowners, and businesses from looming property tax increases that could result from the Governor’s proposal.
“Senator Schumer understands the history of why this federal funding was sent to New York State and to the counties: to help the state and local taxpayers. Our Senator fought hard to include this direct aid to counties in the Affordable Care Act and in COVID relief legislation,” said NYSAC President Michael E. Zurlo.
At issue is the Governor’s proposal to end the decades-long practice of sharing federal Medicaid savings with counties and New York City. Instead of continuing to share this funding — $625 million in the next fiscal year, growing to $808 million by State Fiscal Year 2027, the State is proposing to put local governments in a difficult financial position, forcing service cuts or property tax increases, or both.
The letter calls on Senator Schumer to intervene to “clarify congressional intent for sharing these funds with counties.”