The union 1199SEIU and a coalition of home care providers and patients, known as the New York Caring Majority, say the state's Medicaid program could save about $2.5 billion annually by cutting health insurance companies out of the long-term care system. The insurers disagree — and they're attempting to enlist home care agencies across the state in a forthcoming opposition campaign. The New York Health Plan Association, a lobbying group, tasked insurers with wrangling stakeholders to sign onto a letter criticizing the proposal. The effort has thrust home care executives into a tough spot, caught between the insurance plans they rely on for revenue and the union that represents their staff. A leader of one home care agency called the plans' request "unsettling" given the power imbalance. Medicaid pays for the vast majority of home care delivered in New York, with the money funneled through private insurers. Those insurers then ink contracts with select home care providers to deliver care to their enrollees. "There’s reluctance to sign on but also concern about what the potential impact could be," said the executive, who was granted anonymity out of concerns over retaliation. "These plans are the ones that control the clients we get. They control the reimbursement rates that we get. They have the power.” Eric Linzer, president and CEO of the Health Plan Association, said he has heard from a “broad range” of groups worried about the impact of the proposal on Medicaid enrollees who require long-term care and skeptical that it would save money. "There is not consensus among the providers who serve these individuals that the legislation will benefit patients, despite the proponents’ assertions," he said in a statement to POLITICO. "Instead, it will take away choices from more than 280,000 New Yorkers who rely on the program, reduce the quality of care they receive, and fail to generate the savings the bill’s supporters claim.” But the so-called Home Care Savings & Reinvestment Act, which is sponsored by state Assemblymember Amy Paulin and Sen. Gustavo Rivera, may appeal to Gov. Kathy Hochul as she hunts for ways to slash Medicaid spending by $1.2 billion in the upcoming budget. Hochul has already said long-term care will be a major target. IN OTHER NEWS: — Brooklyn Communities Collaborative has received a $1.4 million grant from the Robert Wood Johnson Foundation to support community-based organizations focused on improving maternal health in central and eastern Brooklyn neighborhoods, the nonprofit announced today. Through its Strong Communities Fund, Brooklyn Communities Collaborative will use the money to help educate adolescents and young adults on preparing for pregnancy and maintaining one’s health between pregnancies. ON THE AGENDA: — Thursday at 10 a.m. The Public Health and Health Planning Council’s Committee on Establishment and Project Review meets. — Thursday at 1 p.m. The HHC Capital Corporation hosts its semi-annual meeting. — Thursday at 3 p.m. NYC Health + Hospitals’ board of directors meets. GOT TIPS? Send story ideas and feedback to Maya Kaufman at mkaufman@politico.com. Want to receive this newsletter every weekday? Subscribe to POLITICO Pro. You’ll also receive daily policy news and other intelligence you need to act on the day’s biggest stories.
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