Governor Paterson released the following statement on the impact the Senate’s health care reform bill will have on New York if it is enacted as written today.

“While I am pleased that today’s announcement of a Senate agreement on health care reform should benefit the 2.5 million uninsured New Yorkers, I am deeply troubled that it worsens what was already an inequitable situation for New York State.

“As Mayor Bloomberg and I pointed out earlier this month, the Senate’s bill already disproportionately burdened New York State and New York City by increasing out Medicaid expenditures by nearly $1 billion annually. Today’s agreement addresses concerns of the only two states that would have fared worse than New York – Massachusetts and Vermont – by including state-specific provisions to provide both states with additional assistance. New York received nothing.

“In fact, the bill worsens an already bad situation by retroactively taking away federal Medicaid assistance provided through the American Recovery and Reinvestment Act. This may cost the State Financial Plan between $300 and $400 million.

“New York continues to send more money to Washington than its gets back. In 2008, it was $55.6 billion more – a greater disparity than any other state. At the same time, New York still faces a projected deficit of $7 to $9 billion for the 2010-2011 fiscal year, and a four-year gap of $44 billion. Any additional burden is simply untenable.

“While I fully support the federal health care reform, it should be done in a way that treats states equitably, and I urge our Delegation to insist on changes to treat New York fairly during the Conference Committee process.”