Center for Justice & Democracy 90 Broad Street, Suite 401 New York, NY 10004 Tel: 212.267.2801
[email protected] http://centerjd.org SAVING MEDICAID $213 MILLION BY CAPPING HOSPITAL SALARIES, NOT PATIENTS’ RIGHTS March 22, 2011 On January 5, 2011, Governor Andrew M. Cuomo established a Medicaid Redesign Team (MRT) to provide the Governor with Medicaid reform “findings and recommendations for consideration in the budget process of New York State Fiscal Year 2011-12.”1 This Team was dominated by hospital and industry lobbyists, with consumer or patient advocates mostly excluded. Among the original 274 ideas distributed to MRT on February 9, 2011,2 was proposal 261, which would have limited multi-million dollar hospital executive salaries. The proposal was killed for reasons that remain unclear, although perhaps not surprising given the make-up of the Medicaid Redesign Team. In a March 25, 2011 article about multi-million dollar hospital CEO salaries, New York Times reporter Jim Dwyer wrote: A proposal to allow public financing for only the first $1 million in wages for an executive died before it even reached the task force. “It was classic how it was killed,” said Judy Wessler, director of the Commission on the Public’s Health System, an advocacy group that had suggested the limits. “We submitted the proposal in writing, met with the state staff members about it, then testified for our two minutes at a hearing,” Ms. Wessler said. “Then in the written summary of all the 4,000 proposals, they twisted the wording of ours so that it would be impossible to implement.