New York budget proposes $700M for upstate hospitals and $700M for construction in Brooklyn

New York Gov. Andrew Cuomo has proposed a budget that would give upstate hospitals $700 million for capital improvements and debt refinancing, according to a Syracuse, N.Y. news report.

That money would be divided between multiple hospitals. Part of the funds — $300 million — would go to St. Elizabeth Medical Center and Faxton St. Luke's Healthcare to "develop an integrated healthcare system." Last year, Faxton St. Luke's Healthcare and St. Elizabeth Medical Center, both based in Utica, N.Y., officially announced their affiliation and the formation of Mohawk Valley Health System.

Some of the funds would go toward building a new inpatient facility, Gary Fitzgerald of the Iroquois Healthcare Alliance, a hospital trade group, said in the report.

The $400 million that remains would be available to other upstate hospitals, according to the report.

Speaking of hospitals outside of New York City, there has been revenue growth in recent years at a majority of Western New York hospitals, according to a Buffalo Business First report.

"Of the 21 hospital entities operating 26 sites in the eight-county region, 15 showed revenue growth over a five-year period from fiscal 2009 through 2013, with nine seeing double digit increases," the report reads. "As a group, the 26 hospitals studied grew revenue from $3.77 billion to $4.28 billion, an increase of 13.5 percent."

Westfield (N.Y.) Memorial Hospital saw the greatest growth, with revenue jumping 41 percent to $11 million from $7.8 million, although total admissions dropped by nearly half during that same time period following a state-mandated realignment of hospitals, according to the report.

Gov. Cuomo's budget also addresses downstate hospitals. Specifically, his proposed budget sets aside $700 million for capital construction in east or central Brooklyn, according to a Capital report.

Somebody familiar with funding conversations told Capital that state officials are looking at possibly constructing a new hospital in Brooklyn that could replace Brookdale Hospital.


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