Saturday, February 06, 2010


As many of you know, The President offered a federal spending plan that extends the Federal Medicaid Assistance Percentage (FMAP) last week, the federal share of the Medicaid program, for states and counties. What most of us don't know is that only about 30% of the first stimulus money has been allocated since the initial plan went into effect. Why is that?

The American Recovery and Reinvestment Act (ARRA) and was intended to help states weather the financial crisis. What we faced on the municipal level was acting on what we already had "shovel ready" regarding projects. Most towns weren't prepared for the first wave of deadlines. Kingston, Ulster County and New York State had to scramble to get the proposals finalized, just like the rest of the country. What's interesting is the impact it has had already.

Since then, Senator Schumer has stepped up to make sure counties across the state received the increased FMAP because of the financial Albany plays in the State's Medicaid program. The increased FMAP has helped our counties stave off property tax increases and mass service cuts and layoffs. Extending the FMAP increase for two more quarters will provide counties with an additional tool to get through this recession.

I think this also prompts the leadership throughout the state to have their planning departments close up any unfinished municipal proposals. Lesson here would be to be ready for the second round of grants. Schumer has pledged to lead this measure through the upcoming Federal budget-making process. I don't see any reason for the legislation to be delayed, pending anymore meltdowns on the Senate floor. Cross your fingers.


Anonymous said...

This is our tax money. Thanks for taking it Obama - and then giving it back. What a swell guy.

Anonymous said...

Actually; we just got out of the last Bush implimented tax cycle. Check your Next tax statement and you'll see a drop in your portion. I say that because it's most likely you don't make over 250k.
Let Chuck and Kirsten do what they can to offset NY taxes. You know the crew in Albany won't change.

Anonymous said...

Hinchey project in Saugerties gets help from Federal government?

Anonymous said...

Hinchey, Hinchey Hinchey. Man, does he ever turn down a pork barrel item? and why is it labeled a "Hinchey Project"?
A new contestant has entered the arena who is going to contest the Mighty Mo' His name is George Phillips and he has some great ideas. He will be a refreshing change in Washington. So, pay attention and keep your eyes and ears open for his campaign coming soon to a town near you.

Haven't you all had enough???