Valhalla, N.Y.-based Westchester Medical Center Health Network and New York Gov. Kathy Hochul are going head to head about the utilization of taxpayer funds from the state to subsidize healthcare, lohud.com reported Dec. 13.
The health system recently issued statements cautioning about significant service reductions at HealthAlliance Hospital in Kingston, N.Y., unless it secures a state bailout to address a projected $24 million budget gap for the upcoming year.
Westchester Medical Center Health Network claimed that it required tax dollars primarily because of unexpected financial challenges during the pandemic. These challenges surpassed the projections outlined in a government funding deal made in 2019 with the state for consolidating two hospital campuses in Kingston into HealthAlliance Hospital.
However, Ms. Hochul's team contended that the health system seemed to have ample funds to avert service cuts at HealthAlliance Hospital, including $160 million in state taxpayer dollars received over the last five years.
"Sadly, the misinformation campaign being waged by the hospital system's leadership puts dollars above employees, patients and the well-being of the Hudson Valley Region," a spokesperson for Ms. Hochul said in a statement to the publication.
On Dec. 11, the health system gave a statement to the USA Today Network stating that the remarks from Ms. Hochul's administration regarding the situation is an effort to "evade accountability and shift responsibility by engaging in irrelevant and personal criticisms about executive compensation."
Westchester Medical Center Health Network told the publication that it not only fulfilled but surpassed the terms outlined in its 2019 agreement with the state, having invested over $70 million in HealthAlliance during the past two years. In contrast, the health system pointed out that the state has "failed to fulfill its commitment for this year's contribution to that plan."