CM Restler on H&H financial modeling of health insurance losses
Restler asks about the financial impact of 783,000 New Yorkers losing health insurance. Katz says DSH dollars cover about 50% of uncompensated care, with the average commercial rate generating $2B as the first line of defense. Olberg confirms they've factored EP5 losses and 10-13% Medicaid disruption into their model.
Okay, Councilmember Ressler.
Thank you so much to the chairs, and congratulations to Chair Lee for making it to your last hearing of an exceedingly long week.
And President Katz, sorry?
Last one for the week, not in general.
Next week will be even more fun.
And President Katz, always good to see you.
Thank you for your exceptional public service.
I think you're now the one person who's been appointed by three mayors in a row, is that right?
That is correct.
That is a hat you wear unto yourself.
So congratulations on that well-deserved reappointment.
I have a variety of questions for you, but I'll do Patsy first for a moment.
2029 is the date that Commissioner Richards gave for when DOC anticipates Woodhull and NCB opening their facilities.
Is that consistent with your timeline as well?
It currently still is 2029, but we are all looking at ways that
We could push that up.
And we now fully have teams at DOC and DDC, and our partners are pushing ahead as quickly as possible.
Everyone is on the same page and pulling the same.
The wind's at our back, finally.
Yes.
Good.
And if there are obstacles or barriers, you will be sure to let us know.
Yes.
Thank you.
Okay.
Thank you.
Dr.
Katz.
So the health department testified earlier that their modeling has us losing, has about 783,000 New Yorkers losing health insurance as a result of H.R.
1.
It's mind-boggling to think about one of 11 New Yorkers losing their health care, but that's what we're imminently facing.
And we know that those folks end up on your doorstep.
Do you have a financial model of kind of uncompensated care that we'll now need to provide to these three-quarters of a million New Yorkers who've just lost their health insurance?
Well, the only real financial model we have is that we can access disproportionate share hospital dollars, which would provide about 50% of the cost of the uncompensated care.
So, I mean, that will be, you know, a major source.
50% is better than zero.
And the modeling I've seen is that we're anticipating a $2 billion increase in hospital uncompensated care.
So you're saying that that would be a, we'd get a billion in federal funding through DISH and be able to cover half.
But looking at an additional billion.
And expense is rough estimates at this point.
Right.
Big picture.
You got it right.
Okay.
Thank you.
And forgive my ignorance, but when do you think that funding will need to be in H&H's budget?
Well, again, you know, I do wonder how the mid-year elections will affect this, since that's when you'd start to get some of the biggest cuts.
And I still remain hopeful that the worst-case scenario will not happen.
And a lot depends also on how successful the city is in keeping people on insurance, right?
There's certain people who you can't keep on insurance, right?
Like the people in the essential care.
Between 200 and 250%.
They're just going to lose.
They're done.
They're done.
But how we recertify.
But the other people, potentially, if you consider that almost everybody could, you know, either be working or be taking care of children or be in school or volunteer.
Or be disabled, if you could imagine getting everybody through those hoops, you could have relatively few people falling off.
But the recertification process every six months is intended to create a bureaucratic nightmare that people will not be able to comply with.
Absolutely.
And to that, I would love, do you mind if I keep going with a few more questions?
Fast?
Are you guys rushing?
Quickly.
All right, fast.
I have a few more questions.
So just on that and then a couple more things.