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Council urges state to cap routine outpatient prices at 150% of Medicare; one council member opposed

3171008 · May 1, 2025
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Summary

Resolution 8‑22‑A calls on the New York State Legislature to cap charges for non‑complicated routine outpatient procedures at 150% of Medicare rates. The Council adopted the resolution by voice vote; Council Member Rafael Salamanca opposed the measure on fiscal sustainability grounds for hospitals.

The New York City Council adopted Resolution 8‑22‑A on May 1, 2025, a non‑binding resolution that asks the New York State Legislature and governor to limit the prices people pay for certain routine outpatient procedures to 150% of the Medicare payment for the same services.

What the resolution does: Resolution 8‑22‑A requests that state lawmakers enact the Fair Pricing Act (state bills as listed on the agenda) to cap prices for non‑complicated outpatient services at 150 percent of Medicare rates, regardless of the setting where care is delivered.

Sponsor and positions: The resolution was listed on the agenda as sponsored by Council Member Lynn Schulman. Supporters argued the policy would reduce excessive medical bills and could save New Yorkers money on routine care. Council Member Rafael Salamanca spoke in opposition on the floor, saying the measure could threaten the financial sustainability of public and academic hospitals — including Lincoln, Jacobi and other city hospitals — and argued Medicare and Medicaid reimbursement levels vary and may not cover operating costs for those institutions.

Outcome: Adopted by voice vote during the resolutions portion of the stated meeting.

Context and limits: The council’s resolution asks the state to pass legislation; it does not itself change state law or set reimbursement rates. Opposing speakers cited concerns about hospital finances and the complexity of health‑care reimbursement; supporters emphasized relief from high out‑of‑pocket costs for patients.