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Spano lukewarm to Pataki's Medicaid plan.

Article Excerpt
Westchester officials for years have pointed to the runaway cost of the state's Medicaid program as a key cause of higher county spending that they say forced property "taxes to rise by double digits in 2003 and again last year.

Last week, as part of his $105.5 billion budget for the fiscal year starting April 1, Gov. George Pataki proposed to take that burden off of Westchester and the state's other counties gradually over the; next three years, with the state taking over administration and payments for the entire Medicaid program by 2008.

Pataki would pay for the county portion of Medicaid spending through $1.1 billion in spending cuts and new taxes--including the resumption of a 0.7 percent gross receipts tax on hospitals and an increase in a similar tax on nursing homes from 5 to 6 percent. Both are opposed by health-care institutions.

The move could save Westchester more than $17 million during the 12 months of the coming state fiscal year.

Despite that savings, as well as the prospect of eliminating Medicaid payments by 2008, the deal does not...

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