By: RAND Corporation
Authors: Jodi L. Liu, Chapin White, Sarah A. Nowak, Asa Wilks, Jamie Ryan, Christine Eibner
Financed by: New York State Health Foundation
Legislation analyzed: New York State Health Act
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The authors estimate that total health care spending under the New York Health Act (NYHA) could be slightly lower than spending under the status quo.
- Spending would be similar in 2022 and 3 percent lower by 2031, with the ten-year cumulative net savings being about 2 percent, if administrative costs and growth in provider payment rates are reduced.
- The initial similarity reflects the net effect of increased utilization of health care services offset by reduced administrative costs, while the decrease over time reflects the assumption that provider payment rates would grow more slowly over time under the NYHA.