Skyrocketing medical costs fuel NYC's growing budget woes

[Kamaji]

Skyrocketing medical costs fuel city’s growing budget woes

By Bernadette Hogan and Nolan Hicks
February 23, 2023

City Hall’s mounting budget woes are fueled by the exploding cost of providing municipal employees and retirees health care — which could potentially add $3 billion annually to the Big Apple’s deficits by 2027, statistics obtained by The Post show.

The analysis from the Independent Budget Office and provided to the paper shows that the cost of providing medical, dental and optical care and prescriptions for employees will hit $8.2 billion by 2027 — up from $6.1 billion in 2023.

Retiree costs will spike to $3.9 billion from $3.1 billion over the same four-year window, the IBO projects.

“Something’s got to give and if you wait until you’re in a crisis situation, that’s when you slash budgets and everyone suffers: the public, unions,” said Andrew Rein, the executive director of the Citizens Budget Commission.

Nowhere have costs risen faster than at the major hospitals across the region — which has brought together an unusual coalition of employers, labor unions and city lawmakers, who are demanding the major medical systems rein in costs.

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Source:  https://nypost.com/2023/02/23/skyrocketing-medical-costs-fuel-citys-growing-budget-woes/