Will implementing health care reform overall cost New York taxpayers a lot of money?

No. In fact, New York’s Division of Budget estimates significant savings to New York State – $18 billion over 10 years – as a result of health care reform. Similarly, the Urban Institute estimates annual state savings of $2.3 billion when reform is fully implemented. These savings are largely due to enhanced federal financing of certain Medicaid enrollees. Under the ACA, New York was one of seven “expansion states” that will receive 90% federal financing on all childless adults that were covered by Medicaid prior to the ACA. Because New York has been paying 50 percent of the costs for 800,000 childless adult Medicaid enrollees, the State will realize substantial savings when the federal government increases its contribution.