Copy of letter sent:
CuomoTARP.blogspot.com June 10, 2011
To: Darrell Issa, Chair House Oversight and Government Reform; Lamar Smith, Chair House Judiciary; Patrick J. Leahy, Chair Sen. Judiciary; Charles E. Grassley, Sen. Judiciary; Paul Ryan, Chair House Budget; Harold Rogers, Chair House Appropriations; Kent Conrad, Chair Sen. Budget; Jeff Sessions, Sen. Budget; Daniel K. Inouye,Chair Sen. Appropriations; Thad Cochran, Sen. Appropriations; Tom Harkin, Chair Sen. Health; Michael B. Enzi, Sen. Health.; Chris Van Hollen, House Budget; Spencer Bachus, House Financial Services; Barney Frank, House Financial Services; Max Baucus, Sen. Finance; Chuck Grassley Sen. Finance
Re: Follow up and confirmation by NY Times of death, beatings and billing excesses funded with Medicaid which Congress must end with block grants which would shift policing to the State.
Dear Congressmen:
The NY Times has confirmed that New York State has
1. "tolerated physical and psychological abuse, knowingly hired unqualified workers, ignored complaints by whistle-blowers and failed to credibly investigate cases of abuse and neglect, according to a review by The New York." Times of thousands of state records and court documents, along with interviews of current and former employees."
2. "These [NY] institutions spend two and a half times as much money, per resident, as the thousands of smaller group homes that care for far more of the 135,000 developmentally disabled New Yorkers receiving services."
http://www.nytimes.com/2011/06/06/nyregion/boys-death-highlights-crisis-in-homes-for-disabled.html?_r=1
Most of these abuses were known to then Attorney General Andrew Cuomo and were defended by NY State in court actions. Presently there is federal court action in northern district of NY involving false claims for Medicaid submitted by NY State.using its SUNY Division.
1.SUNY RESEARCH FRAUD http://www.timesunion.com/default/article/Public-school-private-dealings-1403960.php
2. SUNY RESEARCH - also cited for covering up $22 billion medicaid fraud
http://governmentrico.wordpress.com/2010/09/20/nys-22-billion-dollar-medicaid-fraud-nys-health-department-and-research-foundation-for-state-university-of-new-york-suny/
3. This was not SUNY RESEARCH'S First Go-around with Fraud.
http://oig.hhs.gov/oas/reports/region2/29302006.pdf
While NY State and its present Governor and former Attorney General were well aware of these frauds, he did not end them, nor prosecute. As reported to you earlier and published on this blog, Medicaid block grants would let NY deal with its corruption, rather than profit from the criminal false filings by NY state officials.
http://cuomotarp.blogspot.com/2011/05/medicaid-block-grants-would-save-ny.html
Medicaid Block Grants would save NY taxpayers $32 billion dollars and federal taxpayers $200 billion without affecting services to present beneficiaries and eliminate massive fraudulent billing of Medicaid. Are Governor Cuomo's rewards to his faithful contributors to be funded with fraudulent Medicaid funds obtained by NY State?
http://www.nydailynews.com/news/politics/2011/06 /05/2011-06-05_andy_giveth_show_govs_top_donors_cash_in_with_plum_appointments.html
Let Andrew Cuomo clean his own house with his own money and let the federal government save $200 billion in its budget.
Sincerely yours,
CuomoTarp.blogspot.com
Congress Asked To Seek Special Prosecutor For Multi-Billion Dollar NY Medicaid Fraud By State Employees
Copy of letter sent:
CuomoTARP.blogspot.com May 23, 2011
To: Eric Holder, US Attorney General,
Darrell Issa, Chair House Oversight and Government Reform; Lamar Smith, Chair House Judiciary; Patrick J. Leahy, Chair Sen. Judiciary; Charles E. Grassley, Sen. Judiciary; Paul Ryan, Chair House Budget; Harold Rogers, Chair House Appropriations; Kent Conrad, Chair Sen. Budget; Jeff Sessions, Sen. Budget; Daniel K. Inouye,Chair Sen. Appropriations; Thad Cochran, Sen. Appropriations; Tom Harkin, Chair Sen. Health; Michael B. Enzi, Sen. Health.; Chris Van Hollen, House Budget; Spencer Bachus, House Financial Services; Barney Frank, House Financial Services; Max Baucus, Sen. Finance; Chuck Grassley Sen. Finance
Re: Multi-billion dollar fraud: Special Prosecutor required for the Major Criminal Fraud by NY State officials and others taking billions of dollars a year in federal Medicaid funds. Eric Holder and the NY Offices of the US Attorney have failed to prosecute and obtain refunds. Holder has an 18 year history of covering up for Andrew Cuomo when billions of dollars are missing. Congressional oversight of the Justice Department is needed.
Re: Congress must end misappropriations and deduct past fraudulently obtained funds from present appropriations. Block grants would shift policing to the State.
Dear Congress and Eric Holder:
There is a severe problem in NY State, which has four Federal Court districts, and a conflict of interest by lawyers working for the US Justice Department who may wish to move into the NY private sector at more pay. The Medicaid fraud is reported as a scheme to extract federal Medicaid funds for non Medicaid uses by the State of New York. Such a fraud would involve the highest levels of NYS Government and with the knowledge of the NYS Attorney General, who was Andrew Cuomo. The loss of these fraudulently obtained funds would have a severe effect on NYS finances and could lead to default. Eric Holder's Justice Department has not obtained any cash refunds to the federal government for the frauds reported below.
1. The Times Union reported, "A federal grand jury is continuing to examine allegations that state Health Department managers may have conspired with the Research Foundation for the state University of New York to manipulate audits of New York's $22 billion a year Medicaid program. .... The investigation is centered on a federally mandated program that requires states to randomly audit their Medicaid programs to determine the rate of ineligible recipients of Medicaid benefits. ... Several people who formerly worked for the Research Foundation have alleged that their audits were deliberately sanitized so that New York state would not be penalized for excessive error rates that could have led to New York being penalized or not receiving all or part of approximately $22 billion in federal matching funds.
http://www.timesunion.com/local/article/Were-state-audits-faked-598325.php#ixzz1MeoogW5n
2. "Daily rate for Medicaid patients tops $5,000 in nine institutions in NY and was described as a "cash cow for the State." "Introne, Gov. Andrew Cuomo’s liaison, said state officials were working with the U.S. Centers for Medicare and Medicaid Services “to analyze and resolve the matter."
http://www.poughkeepsiejournal.com/article/20110402/NEWS01/110402002/Daily-rate-for-Medicaid-patients-tops-5-000?odyssey=tab%7Cmostpopular%7Cimg%7CFRONTPAGE
3. It was reported in Wall Street Journal that, "The state spends $700 million a year to house about 1,400 disabled people in the facilities. But it bills Medicaid more than three times that amount. By taking advantage of federal matching funds, the state pockets approximately $1 billion extra every year—and uses it to subsidize other areas of the budget."
http://online.wsj.com/article/SB10001424052748704013604576247300936116610.html?mod=WSJ_NY_LEFTTopStories
4. $22 billion dollar fraud as NYS Keeps Getting Caught For Committing Fraud, But There Never Seems to Be Any Consequences
http://governmentrico.wordpress.com/2010/09/20/nys-22-billion-dollar-medicaid-fraud-nys-health-department-and-research-foundation-for-state-university-of-new-york-suny/
5. Was Cuomo MIA With A $1.2 Billion Per Year Fraud? http://cuomotarp.blogspot.com/2010/09/was-cuomo-mia-with-12-billion-per-year.html
6. An additional $400 million dollars in NY Medicaid fraud and Cuomo MIA http://cuomotarp.blogspot.com/2010/10/andrew-cuomos-corruption-allowed-400.html
7. Eric Holder* has known since 1993 of New York State's complicity in defrauding the Federal government since Holder was a US attorney for D.C. and signatory to the "Denoncourt" consent order where New York State paid the U.S. $26.97 Million To settle federal funding fraud.
http://www.justice.gov/opa/pr/Pre_96/December94/725.txt.html
8. Holder was covering up for Cuomo as Deputy Attorney General for the $17 billion and then $59 billion dollars missing at HUD under Cuomo and his refusal to prosecute despite the recommendation of the the Inspector General and also, the Farkas scandal and the GAO reported HUD mortgage flipping frauds.
http://thekomisarscoop.com/2006/08/fees-for-our-friends-the-scandal-that-taints-andrew-cuomo/
http://cuomotarp.blogspot.com/2010/10/andrew-cuomos-predatory-heart-of.html
http://www.villagevoice.com/2006-08-29/news/andrew-cuomo-s-2-million-man/
Eric Holder must appoint a Special Prosecutor because of 1. his continuing conflicts and the conflicts of Justice department attorneys ; 2. his failure to act on this continuing crime for 18 years by NYS involving the highest levels of NY State government; and 3. his long history of failing to prosecute crimes involving Andrew Cuomo. The NY offices of the US Attorneys have local conflicts which require a Special Prosecutor without ties to local interests and political figures.
Solutions: 1. Use Medicaid block grants to shift this corruption directly to NY State and eliminate the over twenty years of fraud by NY State in the Medicaid program.
2. Have Eric Holder explain why he has failed to prosecute and obtain refunds, even with a prior "Denoncourt consent decree" signed by Holder at Justice Department years ago.
3. I and others are ready to help Congress with testimony and data to end this massive fraud within NYS Medicaid and assist in making sure that the proper refunds are made.
Sincerely yours,
CuomoTARP.blogspot.com
*In 1988, Ronald Reagan appointed Holder to serve as a judge of the Superior Court of the District of Columbia. Holder left the bench in 1993 to become US Attorney for the D.C. by Bill Clinton. The Denoncourt action was brought in D.C.. Holder was the US Attorney for D.C. and oversaw the case from 1993 through the settlement order in 1994. In 1997, Clinton nominated Holder to be the Deputy Attorney General.
P.S. 1. the above links can be accessed directly in the copy of this letter at CuomoTARP.blogspot.com
2. Others have reported these frauds in letters to Congress.
3. The need for Block Grants and a bankruptcy for States proposed law were in earlier letters to Congress and available at these links:
http://cuomotarp.blogspot.com/2011/04/three-billion-dollar-medicaid-fraud-by.html
http://cuomotarp.blogspot.com/2011/05/medicaid-block-grants-would-save-ny.html
http://cuomotarp.blogspot.com/2011/01/bankruptcy-cat-is-out-of-bag-and-some.html
Federal Title 18 Crimes committed by NY State Employees and others:
§1035. False statements relating to health care matters
§1031. Major fraud against the United States
§286. Conspiracy to defraud the Government with respect to claims
§287. False, fictitious or fraudulent claims
§1621. Perjury generally
§1622. Subornation of perjury
CuomoTARP.blogspot.com May 23, 2011
To: Eric Holder, US Attorney General,
Darrell Issa, Chair House Oversight and Government Reform; Lamar Smith, Chair House Judiciary; Patrick J. Leahy, Chair Sen. Judiciary; Charles E. Grassley, Sen. Judiciary; Paul Ryan, Chair House Budget; Harold Rogers, Chair House Appropriations; Kent Conrad, Chair Sen. Budget; Jeff Sessions, Sen. Budget; Daniel K. Inouye,Chair Sen. Appropriations; Thad Cochran, Sen. Appropriations; Tom Harkin, Chair Sen. Health; Michael B. Enzi, Sen. Health.; Chris Van Hollen, House Budget; Spencer Bachus, House Financial Services; Barney Frank, House Financial Services; Max Baucus, Sen. Finance; Chuck Grassley Sen. Finance
Re: Multi-billion dollar fraud: Special Prosecutor required for the Major Criminal Fraud by NY State officials and others taking billions of dollars a year in federal Medicaid funds. Eric Holder and the NY Offices of the US Attorney have failed to prosecute and obtain refunds. Holder has an 18 year history of covering up for Andrew Cuomo when billions of dollars are missing. Congressional oversight of the Justice Department is needed.
Re: Congress must end misappropriations and deduct past fraudulently obtained funds from present appropriations. Block grants would shift policing to the State.
Dear Congress and Eric Holder:
There is a severe problem in NY State, which has four Federal Court districts, and a conflict of interest by lawyers working for the US Justice Department who may wish to move into the NY private sector at more pay. The Medicaid fraud is reported as a scheme to extract federal Medicaid funds for non Medicaid uses by the State of New York. Such a fraud would involve the highest levels of NYS Government and with the knowledge of the NYS Attorney General, who was Andrew Cuomo. The loss of these fraudulently obtained funds would have a severe effect on NYS finances and could lead to default. Eric Holder's Justice Department has not obtained any cash refunds to the federal government for the frauds reported below.
1. The Times Union reported, "A federal grand jury is continuing to examine allegations that state Health Department managers may have conspired with the Research Foundation for the state University of New York to manipulate audits of New York's $22 billion a year Medicaid program. .... The investigation is centered on a federally mandated program that requires states to randomly audit their Medicaid programs to determine the rate of ineligible recipients of Medicaid benefits. ... Several people who formerly worked for the Research Foundation have alleged that their audits were deliberately sanitized so that New York state would not be penalized for excessive error rates that could have led to New York being penalized or not receiving all or part of approximately $22 billion in federal matching funds.
http://www.timesunion.com/local/article/Were-state-audits-faked-598325.php#ixzz1MeoogW5n
2. "Daily rate for Medicaid patients tops $5,000 in nine institutions in NY and was described as a "cash cow for the State." "Introne, Gov. Andrew Cuomo’s liaison, said state officials were working with the U.S. Centers for Medicare and Medicaid Services “to analyze and resolve the matter."
http://www.poughkeepsiejournal.com/article/20110402/NEWS01/110402002/Daily-rate-for-Medicaid-patients-tops-5-000?odyssey=tab%7Cmostpopular%7Cimg%7CFRONTPAGE
3. It was reported in Wall Street Journal that, "The state spends $700 million a year to house about 1,400 disabled people in the facilities. But it bills Medicaid more than three times that amount. By taking advantage of federal matching funds, the state pockets approximately $1 billion extra every year—and uses it to subsidize other areas of the budget."
http://online.wsj.com/article/SB10001424052748704013604576247300936116610.html?mod=WSJ_NY_LEFTTopStories
4. $22 billion dollar fraud as NYS Keeps Getting Caught For Committing Fraud, But There Never Seems to Be Any Consequences
http://governmentrico.wordpress.com/2010/09/20/nys-22-billion-dollar-medicaid-fraud-nys-health-department-and-research-foundation-for-state-university-of-new-york-suny/
5. Was Cuomo MIA With A $1.2 Billion Per Year Fraud? http://cuomotarp.blogspot.com/2010/09/was-cuomo-mia-with-12-billion-per-year.html
6. An additional $400 million dollars in NY Medicaid fraud and Cuomo MIA http://cuomotarp.blogspot.com/2010/10/andrew-cuomos-corruption-allowed-400.html
7. Eric Holder* has known since 1993 of New York State's complicity in defrauding the Federal government since Holder was a US attorney for D.C. and signatory to the "Denoncourt" consent order where New York State paid the U.S. $26.97 Million To settle federal funding fraud.
http://www.justice.gov/opa/pr/Pre_96/December94/725.txt.html
8. Holder was covering up for Cuomo as Deputy Attorney General for the $17 billion and then $59 billion dollars missing at HUD under Cuomo and his refusal to prosecute despite the recommendation of the the Inspector General and also, the Farkas scandal and the GAO reported HUD mortgage flipping frauds.
http://thekomisarscoop.com/2006/08/fees-for-our-friends-the-scandal-that-taints-andrew-cuomo/
http://cuomotarp.blogspot.com/2010/10/andrew-cuomos-predatory-heart-of.html
http://www.villagevoice.com/2006-08-29/news/andrew-cuomo-s-2-million-man/
Eric Holder must appoint a Special Prosecutor because of 1. his continuing conflicts and the conflicts of Justice department attorneys ; 2. his failure to act on this continuing crime for 18 years by NYS involving the highest levels of NY State government; and 3. his long history of failing to prosecute crimes involving Andrew Cuomo. The NY offices of the US Attorneys have local conflicts which require a Special Prosecutor without ties to local interests and political figures.
Solutions: 1. Use Medicaid block grants to shift this corruption directly to NY State and eliminate the over twenty years of fraud by NY State in the Medicaid program.
2. Have Eric Holder explain why he has failed to prosecute and obtain refunds, even with a prior "Denoncourt consent decree" signed by Holder at Justice Department years ago.
3. I and others are ready to help Congress with testimony and data to end this massive fraud within NYS Medicaid and assist in making sure that the proper refunds are made.
Sincerely yours,
CuomoTARP.blogspot.com
*In 1988, Ronald Reagan appointed Holder to serve as a judge of the Superior Court of the District of Columbia. Holder left the bench in 1993 to become US Attorney for the D.C. by Bill Clinton. The Denoncourt action was brought in D.C.. Holder was the US Attorney for D.C. and oversaw the case from 1993 through the settlement order in 1994. In 1997, Clinton nominated Holder to be the Deputy Attorney General.
P.S. 1. the above links can be accessed directly in the copy of this letter at CuomoTARP.blogspot.com
2. Others have reported these frauds in letters to Congress.
3. The need for Block Grants and a bankruptcy for States proposed law were in earlier letters to Congress and available at these links:
http://cuomotarp.blogspot.com/2011/04/three-billion-dollar-medicaid-fraud-by.html
http://cuomotarp.blogspot.com/2011/05/medicaid-block-grants-would-save-ny.html
http://cuomotarp.blogspot.com/2011/01/bankruptcy-cat-is-out-of-bag-and-some.html
Federal Title 18 Crimes committed by NY State Employees and others:
§1035. False statements relating to health care matters
§1031. Major fraud against the United States
§286. Conspiracy to defraud the Government with respect to claims
§287. False, fictitious or fraudulent claims
§1621. Perjury generally
§1622. Subornation of perjury
Cuomo's Pension Reform Is Too Little, Too Late And Fails To Solve New York's Huge Pension Debt Problem
Cuomo's acting is full of sound and fury and accomplishes nothing to solve already existing Pension Debts. Can you do that song and dance routine again, Andy? Or is the stale Albany dog and pony act next?
Andrew Cuomo prances in the limelight futility attempting to close the Pension Barn Door after the pension dollars were already legally given away. Cuomo failed to propose and begin in the NY Legislature the passage of a repeal of NY Constitutional Amendment §7. Fixing the future is good, but ignoring the existing pension debt burden is a disaster.
Specifically,
1. NY forgot to fund $53 Billion in retiree health benefits. link 1
2. Block grants for Medicaid will cost NY $32 Billion dollars a year. link 2
3. $3 Billion in NY State Medicaid fraud must be refunded to the Federal government link 3
4. New York has the highest debt per person of US States at a total debt per person of $31,536, which must be added to USA debt per person of $44,805. Now, multiple this total by four for a family of two adults and two children. link 4
5. New York's unfunded pension liability of $143 billion dollars is combined with a Madoff-style assumption that 7.5% will be safely earned on pension investments when the latest return is 1.1%. link 5
6. Cuomo's budget had a fantasy forecast for increased tax revenues. link 6
7. Cuomo forgot he has to pay the federal government back $3.6 billion which was borrowed last year to fund unemployment benefits and is due by November of this year. link 7
8. Cuomo's plan to attract business fizzles because of more taxes due next year for business. link 8
9. The young workers that Cuomo hopes to keep are planning to flee NY's taxes and dying business opportunities. link 9
Bankruptcy is the only way out for New York, because of its Constitutional protection for pensions in NY Constitution § 7. ...membership in any pension or retirement system of the state or of a civil division thereof shall be a contractual relationship, the benefits of which shall not be diminished or impaired.
Proposed federal bankruptcy laws are described in this blog at link 9, link 10, link 11
Your act is over, Andrew, and the handwriting was on the wall in November. link 12
Medicaid Block Grants Would Save NY Taxpayers $32 Billion Dollars Without Affecting Services To Present Beneficiaries
Letter to Congress:
CuomoTARP.blogspot.com BY FAX 5/12/2011
To: Darrell Issa, Chair House Oversight and Government Reform; Lamar Smith, Chair House Judiciary; Patrick J. Leahy, Chair Sen. Judiciary; Charles E. Grassley, Sen. Judiciary; Paul Ryan, Chair House Budget; Harold Rogers, Chair House Appropriations; Kent Conrad, Chair Sen. Budget; Daniel K. Inouye Chair Sen. Appropriations
Re: Save $200 billion at federal level by block granting Medicaid money to NY and not harm nor eliminate services for poor NY Medicaid recipients, while ending massive over-billing fraud by NY State.
Re: Block granting will save local NY property taxpayers $8 billion, because NY splits its Medicaid expenses 50/50 with the Counties.
Dear Sirs:
This blog has reported: "New York spent $2,903 per person on Medicaid in 2010 — a third more than any other state. The U.S. average is $1,364. Nevada spent the least: $666 per person." That means that if Medicaid is block granted to the States at the National average, NY will receive less and must fund its Medicaid corruption out of its budget and tax revenue. New York's Medicaid is capped at $60.4 billion. So calculating, we have $28.38 billion (1,364 divided by 2,903 x $60.4 billion) as block grant eligible total Medicaid expense. Thus, New York would reduce its total Medicaid expenditure by $32 billion ($60.4 billion - $28.4 billion) of fraud and/or false or excessive billing.
New Yorkers cannot afford to pay its average cost of all government benefits in New York at $9,442 per person. New York has the highest state and local debt of $31,536 which must be added to USA debt per person of $44,805. For New Yorkers, it's a combined local, State and Federal debt of $76,341 per person. link 1
The following newspaper reports show many billions of dollars of fraudulent criminal taking of federal funds by NY State.
1. "Daily rate for Medicaid patients tops $5,000 in nine institutions in NY and was described as a "cash cow for the State." "Introne, Gov. Andrew Cuomo’s liaison, said state officials were working with the U.S. Centers for Medicare and Medicaid Services to analyze and resolve the matter."
http://lonelyconservative.com/2011/04/new-yorks-per-diem-medicaid-rate-four-times-higher-than-other-states/ link 0
2.It was reported in Wall Street Journal that, "The state spends $700 million a year to house about 1,400 disabled people in the facilities. But it bills Medicaid more than three times that amount. By taking advantage of federal matching funds, the state pockets approximately $1 billion extra every year—and uses it to subsidize other areas of the budget."
http://governmentrico.wordpress.com/2010/09/20/nys-22-billion-dollar-medicaid-fraud-nys-health-department-and-research-foundation-for-state-university-of-new-york-suny/ link 2
Using #2 above as an example, we determine that NY spends per these Medicaid recipients: $500,000 ($700 million divided by 1,400 people). If instead, these recipients were in a NY nursing home, where the daily rates range from a high of $376 to a low of $253 (link 3), and a full time aide was assigned for two eight hour periods at $30 per hour total cost for $480 a day. The combined cost per recipient would be a maximum of $856 per day or $312,440 a year. But most recipients would not need so much attention and the Medicaid federal reimbursement rates for NY nursing homes are much lower than the average nursing home rates used.
Summary for this example: NY bills Medicaid for $1.5 million per these Medicaid recipients for services which could be better supplied at a maximum $312,440 per recipient or at one fifth the cost.
Worse still for NY residents, NY State uses this excess Medicaid billing to bill its Counties and ultimately their property taxpayers for these fraudulent and excessively expensive services, which do nothing for the Medicaid recipient, but do enrich the State's bloated government.
Conclusion: Block granting Medicaid to the States would be a giant benefit for NY taxpayers, have no effect on services provided to Medicaid beneficiaries and would substantially reduce Federal expenditures by $16 billion dollars a year for just NY State. A rough estimate could be made by using one half ($8 billion) of the NY share of excess of $16 billion federally paid expenditure and multiplying it by half the number of states (25 states would be over the median Medicaid reimbursement rate). The federal government would save a minimum $200 billion per year or about a minimum 14% of this year's projected deficit ($1.4 trillion) without harming Medicaid recipients.
And collaterally, you would save the NY property taxpayers $8 billion dollars a year, which is approximately 45 percent of property tax levy (link 4) While at the same time, benefiting 25 States, including California, which would be rewarded for their honest services
Sincerely yours,
CuomoTARP.blogspot.com
CC: others
link 0
http://lonelyconservative.com/2011/04/new-yorks-per-diem-medicaid-rate-four-times-higher-than-other-states/
link 1
http://online.wsj.com/article/SB10001424052748704013604576247300936116610.html?mod=WSJ_NY_LEFTTopStories
link 2
http://governmentrico.wordpress.com/2010/09/20/nys-22-billion-dollar-medicaid-fraud-nys-health-department-and-research-foundation-for-state-university-of-new-york-suny/%20
link 3
http://www.health.state.ny.us/facilities/nursing/estimated_average_rates.htm
link 4
http://uticadailynews.com/election_releases/17474-Hawkins-Outlines-Plan-Reduce-Local-Property-Taxes-for-State-Takeover-Medicaid-More-State-Funding-for-Schools-Opposes-Property-Tax-Cap.html
CuomoTARP.blogspot.com BY FAX 5/12/2011
To: Darrell Issa, Chair House Oversight and Government Reform; Lamar Smith, Chair House Judiciary; Patrick J. Leahy, Chair Sen. Judiciary; Charles E. Grassley, Sen. Judiciary; Paul Ryan, Chair House Budget; Harold Rogers, Chair House Appropriations; Kent Conrad, Chair Sen. Budget; Daniel K. Inouye Chair Sen. Appropriations
Re: Save $200 billion at federal level by block granting Medicaid money to NY and not harm nor eliminate services for poor NY Medicaid recipients, while ending massive over-billing fraud by NY State.
Re: Block granting will save local NY property taxpayers $8 billion, because NY splits its Medicaid expenses 50/50 with the Counties.
Dear Sirs:
This blog has reported: "New York spent $2,903 per person on Medicaid in 2010 — a third more than any other state. The U.S. average is $1,364. Nevada spent the least: $666 per person." That means that if Medicaid is block granted to the States at the National average, NY will receive less and must fund its Medicaid corruption out of its budget and tax revenue. New York's Medicaid is capped at $60.4 billion. So calculating, we have $28.38 billion (1,364 divided by 2,903 x $60.4 billion) as block grant eligible total Medicaid expense. Thus, New York would reduce its total Medicaid expenditure by $32 billion ($60.4 billion - $28.4 billion) of fraud and/or false or excessive billing.
New Yorkers cannot afford to pay its average cost of all government benefits in New York at $9,442 per person. New York has the highest state and local debt of $31,536 which must be added to USA debt per person of $44,805. For New Yorkers, it's a combined local, State and Federal debt of $76,341 per person. link 1
The following newspaper reports show many billions of dollars of fraudulent criminal taking of federal funds by NY State.
1. "Daily rate for Medicaid patients tops $5,000 in nine institutions in NY and was described as a "cash cow for the State." "Introne, Gov. Andrew Cuomo’s liaison, said state officials were working with the U.S. Centers for Medicare and Medicaid Services to analyze and resolve the matter."
http://lonelyconservative.com/2011/04/new-yorks-per-diem-medicaid-rate-four-times-higher-than-other-states/ link 0
2.It was reported in Wall Street Journal that, "The state spends $700 million a year to house about 1,400 disabled people in the facilities. But it bills Medicaid more than three times that amount. By taking advantage of federal matching funds, the state pockets approximately $1 billion extra every year—and uses it to subsidize other areas of the budget."
http://online.wsj.com/article/SB10001424052748704013604576247300936116610.html?mod=WSJ_NY_LEFTTopStories link 1
And 3. $22 billion dollar fraud as NYS Keeps Getting Caught For Committing Fraud, But There Never Seems to Be Any Consequenceshttp://governmentrico.wordpress.com/2010/09/20/nys-22-billion-dollar-medicaid-fraud-nys-health-department-and-research-foundation-for-state-university-of-new-york-suny/ link 2
Using #2 above as an example, we determine that NY spends per these Medicaid recipients: $500,000 ($700 million divided by 1,400 people). If instead, these recipients were in a NY nursing home, where the daily rates range from a high of $376 to a low of $253 (link 3), and a full time aide was assigned for two eight hour periods at $30 per hour total cost for $480 a day. The combined cost per recipient would be a maximum of $856 per day or $312,440 a year. But most recipients would not need so much attention and the Medicaid federal reimbursement rates for NY nursing homes are much lower than the average nursing home rates used.
Summary for this example: NY bills Medicaid for $1.5 million per these Medicaid recipients for services which could be better supplied at a maximum $312,440 per recipient or at one fifth the cost.
Worse still for NY residents, NY State uses this excess Medicaid billing to bill its Counties and ultimately their property taxpayers for these fraudulent and excessively expensive services, which do nothing for the Medicaid recipient, but do enrich the State's bloated government.
Conclusion: Block granting Medicaid to the States would be a giant benefit for NY taxpayers, have no effect on services provided to Medicaid beneficiaries and would substantially reduce Federal expenditures by $16 billion dollars a year for just NY State. A rough estimate could be made by using one half ($8 billion) of the NY share of excess of $16 billion federally paid expenditure and multiplying it by half the number of states (25 states would be over the median Medicaid reimbursement rate). The federal government would save a minimum $200 billion per year or about a minimum 14% of this year's projected deficit ($1.4 trillion) without harming Medicaid recipients.
And collaterally, you would save the NY property taxpayers $8 billion dollars a year, which is approximately 45 percent of property tax levy (link 4) While at the same time, benefiting 25 States, including California, which would be rewarded for their honest services
Sincerely yours,
CuomoTARP.blogspot.com
CC: others
link 0
http://lonelyconservative.com/2011/04/new-yorks-per-diem-medicaid-rate-four-times-higher-than-other-states/
link 1
http://online.wsj.com/article/SB10001424052748704013604576247300936116610.html?mod=WSJ_NY_LEFTTopStories
link 2
http://governmentrico.wordpress.com/2010/09/20/nys-22-billion-dollar-medicaid-fraud-nys-health-department-and-research-foundation-for-state-university-of-new-york-suny/%20
link 3
http://www.health.state.ny.us/facilities/nursing/estimated_average_rates.htm
link 4
http://uticadailynews.com/election_releases/17474-Hawkins-Outlines-Plan-Reduce-Local-Property-Taxes-for-State-Takeover-Medicaid-More-State-Funding-for-Schools-Opposes-Property-Tax-Cap.html
NY Like NJ Forgot To Fund Retiree Health Benefits And NY Adds $56.3 Billion To Its Unfunded Liabilities
The Ithaca Journal falsely reports,"New York's [pension]plans aren't underfunded." They must be comparing with the pending NJ disaster of a $120 billion dollar pension shortfall. But NY pensions assume a 7.5% return on pension assets when they only earned 1.1%. NY's unfunded pension debt is estimated at $143 billion dollars. When NJ defaults, NY would soon follow.
But what about funding retiree health benefits liability. Pew reports, "States had only about $31 billion, or 5 percent, saved toward their obligations for retiree health care benefits." NY had $56.3 billion dollars in retiree health benefits unfunded and according to Pew had 0.0% in its retiree health benefits funding account. While NJ had $66.7 billion in retiree health benefits, also funded at 0.0%.
New Yorkers now have another $56.3 billion dollars divided by 19.4 million NY population = $2,902 debt per person to add to the already calculated $24,195 State and local debt per person (link). We have a new higher total of $27,097 State and local debt per person or $108,388 for a family of four.
Is the NY pot blacker than the NJ kettle? Will investors want NY bonds or NJ bonds? Neither NJ or NY can't withdraw from the USA like Greece and issue their own worthless currency to pay off its bondholders.
But in Albany, the thinking is, "What debt crisis? Our pensions are 100% funded, aren't they? We can fund retiree health benefits next year, right? Andrew Cuomo has brought Hope and Change and balanced the budget, right?" Although, Andrew Cuomo had promised to throttle lobbyists in NY, "Spending on lobbying in New York tops $200 million in 2010." And lobbyists are controlling his committees.
Meanwhile out in the cruel dark financial world outside Albany, China is reducing its holding of US debt. link to China and NY debt link to NY bondholders lose big in NY bankruptcy/default
link to poem
But what about funding retiree health benefits liability. Pew reports, "States had only about $31 billion, or 5 percent, saved toward their obligations for retiree health care benefits." NY had $56.3 billion dollars in retiree health benefits unfunded and according to Pew had 0.0% in its retiree health benefits funding account. While NJ had $66.7 billion in retiree health benefits, also funded at 0.0%.
New Yorkers now have another $56.3 billion dollars divided by 19.4 million NY population = $2,902 debt per person to add to the already calculated $24,195 State and local debt per person (link). We have a new higher total of $27,097 State and local debt per person or $108,388 for a family of four.
Is the NY pot blacker than the NJ kettle? Will investors want NY bonds or NJ bonds? Neither NJ or NY can't withdraw from the USA like Greece and issue their own worthless currency to pay off its bondholders.
But in Albany, the thinking is, "What debt crisis? Our pensions are 100% funded, aren't they? We can fund retiree health benefits next year, right? Andrew Cuomo has brought Hope and Change and balanced the budget, right?" Although, Andrew Cuomo had promised to throttle lobbyists in NY, "Spending on lobbying in New York tops $200 million in 2010." And lobbyists are controlling his committees.
Meanwhile out in the cruel dark financial world outside Albany, China is reducing its holding of US debt. link to China and NY debt link to NY bondholders lose big in NY bankruptcy/default
And now the Chinese Debt Master holds the ball, and now he lets it go,
And now the air is shattered by the force of Cuomo's blow.
Oh, somewhere in our favored land the sun is shining bright;
The band is playing somewhere, and somewhere hearts are light,
And somewhere men are laughing, and somewhere children shout;
But there is default in Albany, the mighty Cuomo has struck out.link to poem
News Reports Of NY Medicaid Excesses And Block Grants Will Sink Cuomo's Budget Into $32 Billion Dollar Default.
The media is finally reporting that the NY Medicaid cat jumped out of the bag. "New York spent $2,903 per person on Medicaid in 2010 — a third more than any other state. The U.S. average is $1,364. Nevada spent the least: $666 per person." That means that if Medicaid is block granted to the States at the National average, NY will receive less and must fund the excess out of its budget and tax revenue. New York's Medicaid is capped at $60.4 billion.
So 1,364 divided by 2,903 x $60.4 billion = $28.38 billion. or, New York must pay for an additional $32 billion ($60.4 billion - $28.4 billion)
link to Medicaid calculations
Meanwhile, the Financial Barbarians of the World are at the gates of US debt financing and the prior trickle down effect will become a tsunami effect on States like New York which has the highest state and local debt of of $31,536 compared to USA debt per person of $44,805. link
New Yorkers cannot afford to pay the average cost of all government benefits in New York at $9,442 per person and lenders will soon all figure it out.
Here are the reports on the Financial Barbarians landing on our shores.
End of America as we know it
New York is the Greece among the US States and bond interest will skyrocket
China will (is) selling its US debt and this will force rise in US interest rates
The handwriting on the wall is coming true.
Cuomo and NY Bondholders See The Writing On The Wall
Rating Agencies Need To Revalue New York Bonds To Avoid Liability
Gold hits $1,500. A Creditor: One of a tribe of savages dwelling beyond the Financial Straits and dreaded for their desolating incursions. ~ from Ambrose Bierce's Dictionary
Letter by registered mail: CuomoTARP.blogspot.com
April 19, 2011
Re: protecting buyers of NY bonds and your potential liability.
Dear Sirs:
You have been sent a copy of Three Billion Dollar Medicaid Fraud By New York State dated April 13, 2011. The Financial Crisis Inquiry Commission established by Congress reported on page 25: "We conclude the failures of credit rating agencies were essential cogs in the wheel of financial destruction." You realize your potential liability, if this occurs with NY State Bonds.
Standard+Poor’s lowered its outlook for U.S. debt to “negative” from “stable,” and woke up Washington. NY debt must follow. Comptroller DiNapoli's cash report for end of March reported, "All Funds tax collections were $926.3 million below initial projections included in the SFY 2010-11 Enacted State Budget, but slightly above projections made March 3." This is double talk, which means he knew on March 3, 2011 that the revenue predicted in our budget wasn't coming, so we revised our figures lower, so he could report we received more than expected.
The rating agencies must properly rate NY bonds based on the above mentioned letter and
1. Cuomo's budget expects more money in cigarette taxes, but that is dashed by expected crime wave of smuggled cigarettes. link 1 link 2
2. The World new economic reality is reported in Andrew Cuomo; A State Bankruptcy And NY Bond Devaluation where factors outside of NY control the bond market for NY bonds.
3. New York Pension Books are Cooked
4. New York Bonds Are Down Rated Based On Cuomo's Budget because
a. The Cuomo 2011-2012 Budget proposes to "eliminate a $10 billion dollar deficit without raising taxes or borrowing" and then is borrowing $5.6 Billion dollars.
b. Cuomo has a "funds shift [that] would result in the use of state bond proceeds for payment of a portion of debt service on MTA revenue bonds."
c. Cuomo's budget used the "Madoff-like" assumption of a 7.5% safe return on pension investments. and continues to allow borrowing to fund contributions.
d. Cuomo failed to budget in the required repaying of the federal government for Medicaid frauds. This is minimally estimated at $6.4 billion.
e. Cuomo forgot what happens when New York's bond rate rises and NY's borrowing costs will move up from $5.6 Billion $18.8 Billion.
e. Cuomo forgot about repaying the Unemployment Insurance: State Trust Fund Loans of $3.1 billion. Cuomo must pass this on in higher unemployment contributions by New York Employers and watch the Cuomo Business Friendly New York fizzle.
f. Fitch Downgrade Added $2.99 Billion in Deficit To Andrew Cuomo's Budget Farce
g.New York has the highest State+local debt per person in USA at a total debt per person of $31,536 compared to USA debt per person of $44,805.
h. Andrew Cuomo's Hope For Increased Tax Revenues Was False because he hasn't budgeted the State's payment of the entire unemployment and extended unemployment benefits of laid off workers, such as the 500 court employees which are just a beginning of NY State layoffs. These unemployed will reduce Personal Income Tax receipts,User Taxes and Fees, and Business Taxes (larger unemployment reduces earnings from businesses)
i. New Yorkers paid $48 billion in property taxes in 2010 with the highest local property taxes in USA, 74% above national average.
Bob Brinker recommends seniors leave the high tax States. New York has the highest taxes. Andrew Cuomo's Business Friendly Puff Pieces will Fizzle As Reality And Medicaid Block Grants Close In.
Who'll be left to repay the bonds? Please do your duty and protect buyers of New York Bonds with up-to-date ratings.
Sincerely yours,
CuomoTARP.blogspot.com
Note: all links are available on the CuomoTARP.blogspot.com website where a copy of this letter is posted.
Attached: Three Billion Dollar Medicaid Fraud By New York State In Cuomo Budget Sent To Congress For Oversight dated April 13, 2011
Letter by registered mail: CuomoTARP.blogspot.com
April 19, 2011
To: Moody's Investors Service
175 Federal Street, Suite 501, Boston, MA 02110
Standard & Poors
55 Water Street New York, New York 10041
Fitch's
One State Street Plaza, New York, NY 10004
175 Federal Street, Suite 501, Boston, MA 02110
Standard & Poors
55 Water Street New York, New York 10041
Fitch's
One State Street Plaza, New York, NY 10004
Re: protecting buyers of NY bonds and your potential liability.
Dear Sirs:
You have been sent a copy of Three Billion Dollar Medicaid Fraud By New York State dated April 13, 2011. The Financial Crisis Inquiry Commission established by Congress reported on page 25: "We conclude the failures of credit rating agencies were essential cogs in the wheel of financial destruction." You realize your potential liability, if this occurs with NY State Bonds.
Standard+Poor’s lowered its outlook for U.S. debt to “negative” from “stable,” and woke up Washington. NY debt must follow. Comptroller DiNapoli's cash report for end of March reported, "All Funds tax collections were $926.3 million below initial projections included in the SFY 2010-11 Enacted State Budget, but slightly above projections made March 3." This is double talk, which means he knew on March 3, 2011 that the revenue predicted in our budget wasn't coming, so we revised our figures lower, so he could report we received more than expected.
The rating agencies must properly rate NY bonds based on the above mentioned letter and
1. Cuomo's budget expects more money in cigarette taxes, but that is dashed by expected crime wave of smuggled cigarettes. link 1 link 2
2. The World new economic reality is reported in Andrew Cuomo; A State Bankruptcy And NY Bond Devaluation where factors outside of NY control the bond market for NY bonds.
3. New York Pension Books are Cooked
4. New York Bonds Are Down Rated Based On Cuomo's Budget because
a. The Cuomo 2011-2012 Budget proposes to "eliminate a $10 billion dollar deficit without raising taxes or borrowing" and then is borrowing $5.6 Billion dollars.
b. Cuomo has a "funds shift [that] would result in the use of state bond proceeds for payment of a portion of debt service on MTA revenue bonds."
c. Cuomo's budget used the "Madoff-like" assumption of a 7.5% safe return on pension investments. and continues to allow borrowing to fund contributions.
d. Cuomo failed to budget in the required repaying of the federal government for Medicaid frauds. This is minimally estimated at $6.4 billion.
e. Cuomo forgot what happens when New York's bond rate rises and NY's borrowing costs will move up from $5.6 Billion $18.8 Billion.
e. Cuomo forgot about repaying the Unemployment Insurance: State Trust Fund Loans of $3.1 billion. Cuomo must pass this on in higher unemployment contributions by New York Employers and watch the Cuomo Business Friendly New York fizzle.
f. Fitch Downgrade Added $2.99 Billion in Deficit To Andrew Cuomo's Budget Farce
g.New York has the highest State+local debt per person in USA at a total debt per person of $31,536 compared to USA debt per person of $44,805.
h. Andrew Cuomo's Hope For Increased Tax Revenues Was False because he hasn't budgeted the State's payment of the entire unemployment and extended unemployment benefits of laid off workers, such as the 500 court employees which are just a beginning of NY State layoffs. These unemployed will reduce Personal Income Tax receipts,User Taxes and Fees, and Business Taxes (larger unemployment reduces earnings from businesses)
i. New Yorkers paid $48 billion in property taxes in 2010 with the highest local property taxes in USA, 74% above national average.
Bob Brinker recommends seniors leave the high tax States. New York has the highest taxes. Andrew Cuomo's Business Friendly Puff Pieces will Fizzle As Reality And Medicaid Block Grants Close In.
Who'll be left to repay the bonds? Please do your duty and protect buyers of New York Bonds with up-to-date ratings.
Sincerely yours,
CuomoTARP.blogspot.com
Note: all links are available on the CuomoTARP.blogspot.com website where a copy of this letter is posted.
Attached: Three Billion Dollar Medicaid Fraud By New York State In Cuomo Budget Sent To Congress For Oversight dated April 13, 2011
Three Billion Dollar Medicaid Fraud By New York State In Cuomo Budget Sent To Congress For Oversight And Demand That Eric Holder Be Replaced By Special Prosecutor
Copy of letter sent: CuomoTARP.blogspot.com April 13, 2011
To: Eric Holder, US Attorney General,
Darrell Issa, Chair House Oversight and Government Reform; Lamar Smith, Chair House Judiciary; Patrick J. Leahy, Chair Sen. Judiciary; Charles E. Grassley, Sen. Judiciary; Paul Ryan, Chair House Budget; Harold Rogers, Chair House Appropriations; Kent Conrad, Chair Sen. Budget; Jeff Sessions, Sen. Budget; Daniel K. Inouye,Chair Sen. Appropriations; Thad Cochran, Sen. Appropriations; Tom Harkin, Chair Sen. Health; Michael B. Enzi, Sen. Health.; and Andrew Cuomo, NY Governor.
Re: Multi-billion dollar fraud: Special Prosecutor required for the Major Criminal Fraud by NY State officials and others taking billions of dollars a year in federal Medicaid funds. Eric Holder and the NY Offices of the US Attorney have failed to prosecute and obtain refunds. Holder has an 18 year history of covering up for Andrew Cuomo when billions of dollars are missing. Congressional oversight of the Justice Department is needed. Congress must end misappropriations and deduct past fraudulently obtained funds from present appropriations. Block grants would shift policing to the State. Andrew Cuomo must adjust his 2011-2012 budget for that refund and remove such anticipated funds from 2011-2012 budget ($3 billion dollars added to budget deficit)
Dear Federal Officials and Governor Cuomo:
The following newspaper reports show massive, in excess of $1 billion dollars, fraudulent criminal taking of federal funds by NY State
1. "Daily rate for Medicaid patients tops $5,000 in nine institutions in NY and was described as a "cash cow for the State." "Introne, Gov. Andrew Cuomo’s liaison, said state officials were working with the U.S. Centers for Medicare and Medicaid Services “to analyze and resolve the matter."
http://www.poughkeepsiejournal.com/article/20110402/NEWS01/110402002/Daily-rate-for-Medicaid-patients-tops-5-000?odyssey=tab%7Cmostpopular%7Cimg%7CFRONTPAGE
2. It was reported in Wall Street Journal that, "The state spends $700 million a year to house about 1,400 disabled people in the facilities. But it bills Medicaid more than three times that amount. By taking advantage of federal matching funds, the state pockets approximately $1 billion extra every year—and uses it to subsidize other areas of the budget."
And 3. $22 billion dollar fraud as NYS Keeps Getting Caught For Committing Fraud, But There Never Seems to Be Any Consequences
http://governmentrico.wordpress.com/2010/09/20/nys-22-billion-dollar-medicaid-fraud-nys-health-department-and-research-foundation-for-state-university-of-new-york-suny/
These are criminal fraud by NYS employees and others to obtain federal Medicaid funds. The federal criminal laws violated are copied below. These criminal frauds have been a continuing problem in NY State as this blog had earlier reported:
1. Was Cuomo MIA With A $1.2 Billion Per Year Fraud? http://cuomotarp.blogspot.com/2010/09/was-cuomo-mia-with-12-billion-per-year.html
2. An additional $400 million dollars in NY Medicaid fraud and Cuomo MIA http://cuomotarp.blogspot.com/2010/10/andrew-cuomos-corruption-allowed-400.html
Eric Holder* has known since 1993 of New York State's complicity in defrauding the Federal government since Holder was a US attorney for D.C. and signatory to the "Denoncourt" consent order where New York State paid the U.S. $26.97 Million To Settle federal funding fraud.
http://www.justice.gov/opa/pr/Pre_96/December94/725.txt.html
Holder was covering up for Cuomo as Deputy Attorney General for the $17 billion and then $59 billion dollars missing at HUD under Cuomo and his refusal to prosecute despite the recommendation of the the Inspector General and also, the Farkas scandal and the GAO reported HUD mortgage flipping frauds .
http://thekomisarscoop.com/2006/08/fees-for-our-friends-the-scandal-that-taints-andrew-cuomo/
http://cuomotarp.blogspot.com/2010/10/andrew-cuomos-predatory-heart-of.html
http://www.villagevoice.com/2006-08-29/news/andrew-cuomo-s-2-million-man/
Eric Holder must appoint a Special Prosecutor because of 1. his continuing conflicts; 2. his failure to act on this continuing crime for 18 years involving the highest levels of NY State government; and 3. his long history of failing to prosecute crimes involving Andrew Cuomo. The NY offices of the US Attorneys have local conflicts which require a Special Prosecutor without ties to local interests and political figures.
Darrell Issa, Lamar Smith, Paul Ryan, Harold Rogers and their committees in the House and the Senators above named and their committees are asked to look into these yearly thefts and frauds of more than a billion dollars a year. Medicaid block grants would shift this corruption directly to NY State and eliminate the over twenty years of fraud by NY State in the Medicaid program. Why was Eric Holder unable to prosecute and obtain refunds, even with a prior "Denoncourt consent decree" signed by Holder at Justice Department years ago?
Andrew Cuomo must make a budget deduction of $3 billion dollars for these frauds, as $3 billion dollars less Medicaid funds will be received by NY State and make contingencies for the larger potential $22 billion cost.
Sincerely yours,
CuomoTARP.blogspot.com
*In 1988, Ronald Reagan appointed Holder to serve as a judge of the Superior Court of the District of Columbia. Holder left the bench in 1993 to become US Attorney for the D.C. by Bill Clinton. The Denoncourt action was brought in D.C.. Holder was the US Attorney for D.C. and oversaw the case from 1993 through the settlement order in 1994. In 1997, Clinton nominated Holder to be the Deputy Attorney General.
cc: others, credit rating agencies
P.S. the above links can be accessed directly in the copy of this letter at CuomoTARP.blogspot.com
Federal Title 18 Crimes committed by NY State Employees and others:
§1035. False statements relating to health care matters
Whoever, in any matter involving a health care benefit program, knowingly and willfully— (1)falsifies, conceals, or covers up by any trick, scheme, or device a material fact; or makes any materially false, fictitious, or fraudulent statements or representations, or makes or uses any materially false writing or document knowing the same to contain any materially false, fictitious, or fraudulent statement or entry, in connection with the delivery of or payment for health care benefits, items, or services, shall be fined under this title or imprisoned not more than 5 years, or both.
§1031. Major fraud against the United States
Whoever knowingly executes, or attempts to execute, any scheme or artifice with the intent— to defraud the United States; or to obtain money or property by means of false or fraudulent pretenses, representations, or promises, in any grant, contract, subcontract, subsidy, loan, guarantee, insurance, or other form of Federal assistance, ..., if the value of such grant, contract, subcontract,subsidy,loan, guarantee,insurance,or other form of Federal assistance, or any constituent part thereof, is $1,000,000 or more shall, subject to the applicability of subsection (c) of this section, be fined not more than $1,000,000, or imprisoned not more than 10 years, or both.
§286. Conspiracy to defraud the Government with respect to claims
Whoever enters into any agreement, combination, or conspiracy to defraud the United States, or any department or agency thereof, by obtaining or aiding to obtain the payment or allowance of any false, fictitious or fraudulent claim, shall be fined under this title or imprisoned not more than ten years, or both.
§287. False, fictitious or fraudulent claims
Whoever makes or presents to any person or officer in the civil, military, or naval service of the United States, or to any department or agency thereof, any claim upon or against the United States, or any department or agency thereof, knowing such claim to be false, fictitious, or fraudulent, shall be imprisoned not more than five years and shall be subject to a fine in the amount provided in this title.
§1621. Perjury generally
who having taken an oath before a competent tribunal, officer, or person, in any case in which a law of the United States authorizes an oath to be administered, that he will testify, declare, depose, or certify truly, or that any written testimony, declaration, deposition, or certificate by him subscribed, is true, willfully and contrary to such oath states or subscribes any material matter which he does not believe to be true; or in any declaration, certificate, verification, or statement under penalty of perjury as permitted under section of title 28, United States Code, willfully subscribes as true any material matter which he does not believe to be true; is guilty of perjury and shall, except as otherwise expressly provided by law, be fined under this title or imprisoned not more than five years, or both.
§1622. Subornation of perjury
Whoever procures another to commit any perjury is guilty of subornation of perjury, and shall be fined under this title or imprisoned not more than five years, or both
To: Eric Holder, US Attorney General,
Darrell Issa, Chair House Oversight and Government Reform; Lamar Smith, Chair House Judiciary; Patrick J. Leahy, Chair Sen. Judiciary; Charles E. Grassley, Sen. Judiciary; Paul Ryan, Chair House Budget; Harold Rogers, Chair House Appropriations; Kent Conrad, Chair Sen. Budget; Jeff Sessions, Sen. Budget; Daniel K. Inouye,Chair Sen. Appropriations; Thad Cochran, Sen. Appropriations; Tom Harkin, Chair Sen. Health; Michael B. Enzi, Sen. Health.; and Andrew Cuomo, NY Governor.
Re: Multi-billion dollar fraud: Special Prosecutor required for the Major Criminal Fraud by NY State officials and others taking billions of dollars a year in federal Medicaid funds. Eric Holder and the NY Offices of the US Attorney have failed to prosecute and obtain refunds. Holder has an 18 year history of covering up for Andrew Cuomo when billions of dollars are missing. Congressional oversight of the Justice Department is needed. Congress must end misappropriations and deduct past fraudulently obtained funds from present appropriations. Block grants would shift policing to the State. Andrew Cuomo must adjust his 2011-2012 budget for that refund and remove such anticipated funds from 2011-2012 budget ($3 billion dollars added to budget deficit)
Dear Federal Officials and Governor Cuomo:
The following newspaper reports show massive, in excess of $1 billion dollars, fraudulent criminal taking of federal funds by NY State
1. "Daily rate for Medicaid patients tops $5,000 in nine institutions in NY and was described as a "cash cow for the State." "Introne, Gov. Andrew Cuomo’s liaison, said state officials were working with the U.S. Centers for Medicare and Medicaid Services “to analyze and resolve the matter."
http://www.poughkeepsiejournal.com/article/20110402/NEWS01/110402002/Daily-rate-for-Medicaid-patients-tops-5-000?odyssey=tab%7Cmostpopular%7Cimg%7CFRONTPAGE
2. It was reported in Wall Street Journal that, "The state spends $700 million a year to house about 1,400 disabled people in the facilities. But it bills Medicaid more than three times that amount. By taking advantage of federal matching funds, the state pockets approximately $1 billion extra every year—and uses it to subsidize other areas of the budget."
And 3. $22 billion dollar fraud as NYS Keeps Getting Caught For Committing Fraud, But There Never Seems to Be Any Consequences
http://governmentrico.wordpress.com/2010/09/20/nys-22-billion-dollar-medicaid-fraud-nys-health-department-and-research-foundation-for-state-university-of-new-york-suny/
These are criminal fraud by NYS employees and others to obtain federal Medicaid funds. The federal criminal laws violated are copied below. These criminal frauds have been a continuing problem in NY State as this blog had earlier reported:
1. Was Cuomo MIA With A $1.2 Billion Per Year Fraud? http://cuomotarp.blogspot.com/2010/09/was-cuomo-mia-with-12-billion-per-year.html
2. An additional $400 million dollars in NY Medicaid fraud and Cuomo MIA http://cuomotarp.blogspot.com/2010/10/andrew-cuomos-corruption-allowed-400.html
Eric Holder* has known since 1993 of New York State's complicity in defrauding the Federal government since Holder was a US attorney for D.C. and signatory to the "Denoncourt" consent order where New York State paid the U.S. $26.97 Million To Settle federal funding fraud.
http://www.justice.gov/opa/pr/Pre_96/December94/725.txt.html
Holder was covering up for Cuomo as Deputy Attorney General for the $17 billion and then $59 billion dollars missing at HUD under Cuomo and his refusal to prosecute despite the recommendation of the the Inspector General and also, the Farkas scandal and the GAO reported HUD mortgage flipping frauds .
http://thekomisarscoop.com/2006/08/fees-for-our-friends-the-scandal-that-taints-andrew-cuomo/
http://cuomotarp.blogspot.com/2010/10/andrew-cuomos-predatory-heart-of.html
http://www.villagevoice.com/2006-08-29/news/andrew-cuomo-s-2-million-man/
Eric Holder must appoint a Special Prosecutor because of 1. his continuing conflicts; 2. his failure to act on this continuing crime for 18 years involving the highest levels of NY State government; and 3. his long history of failing to prosecute crimes involving Andrew Cuomo. The NY offices of the US Attorneys have local conflicts which require a Special Prosecutor without ties to local interests and political figures.
Darrell Issa, Lamar Smith, Paul Ryan, Harold Rogers and their committees in the House and the Senators above named and their committees are asked to look into these yearly thefts and frauds of more than a billion dollars a year. Medicaid block grants would shift this corruption directly to NY State and eliminate the over twenty years of fraud by NY State in the Medicaid program. Why was Eric Holder unable to prosecute and obtain refunds, even with a prior "Denoncourt consent decree" signed by Holder at Justice Department years ago?
Andrew Cuomo must make a budget deduction of $3 billion dollars for these frauds, as $3 billion dollars less Medicaid funds will be received by NY State and make contingencies for the larger potential $22 billion cost.
Sincerely yours,
CuomoTARP.blogspot.com
*In 1988, Ronald Reagan appointed Holder to serve as a judge of the Superior Court of the District of Columbia. Holder left the bench in 1993 to become US Attorney for the D.C. by Bill Clinton. The Denoncourt action was brought in D.C.. Holder was the US Attorney for D.C. and oversaw the case from 1993 through the settlement order in 1994. In 1997, Clinton nominated Holder to be the Deputy Attorney General.
cc: others, credit rating agencies
P.S. the above links can be accessed directly in the copy of this letter at CuomoTARP.blogspot.com
Federal Title 18 Crimes committed by NY State Employees and others:
§1035. False statements relating to health care matters
Whoever, in any matter involving a health care benefit program, knowingly and willfully— (1)falsifies, conceals, or covers up by any trick, scheme, or device a material fact; or makes any materially false, fictitious, or fraudulent statements or representations, or makes or uses any materially false writing or document knowing the same to contain any materially false, fictitious, or fraudulent statement or entry, in connection with the delivery of or payment for health care benefits, items, or services, shall be fined under this title or imprisoned not more than 5 years, or both.
§1031. Major fraud against the United States
Whoever knowingly executes, or attempts to execute, any scheme or artifice with the intent— to defraud the United States; or to obtain money or property by means of false or fraudulent pretenses, representations, or promises, in any grant, contract, subcontract, subsidy, loan, guarantee, insurance, or other form of Federal assistance, ..., if the value of such grant, contract, subcontract,subsidy,loan, guarantee,insurance,or other form of Federal assistance, or any constituent part thereof, is $1,000,000 or more shall, subject to the applicability of subsection (c) of this section, be fined not more than $1,000,000, or imprisoned not more than 10 years, or both.
§286. Conspiracy to defraud the Government with respect to claims
Whoever enters into any agreement, combination, or conspiracy to defraud the United States, or any department or agency thereof, by obtaining or aiding to obtain the payment or allowance of any false, fictitious or fraudulent claim, shall be fined under this title or imprisoned not more than ten years, or both.
§287. False, fictitious or fraudulent claims
Whoever makes or presents to any person or officer in the civil, military, or naval service of the United States, or to any department or agency thereof, any claim upon or against the United States, or any department or agency thereof, knowing such claim to be false, fictitious, or fraudulent, shall be imprisoned not more than five years and shall be subject to a fine in the amount provided in this title.
§1621. Perjury generally
who having taken an oath before a competent tribunal, officer, or person, in any case in which a law of the United States authorizes an oath to be administered, that he will testify, declare, depose, or certify truly, or that any written testimony, declaration, deposition, or certificate by him subscribed, is true, willfully and contrary to such oath states or subscribes any material matter which he does not believe to be true; or in any declaration, certificate, verification, or statement under penalty of perjury as permitted under section of title 28, United States Code, willfully subscribes as true any material matter which he does not believe to be true; is guilty of perjury and shall, except as otherwise expressly provided by law, be fined under this title or imprisoned not more than five years, or both.
§1622. Subornation of perjury
Whoever procures another to commit any perjury is guilty of subornation of perjury, and shall be fined under this title or imprisoned not more than five years, or both
Will Andrew Cuomo Charm The Bond Market For The State With The Highest Debt Per Person?
The economic grim reaper has his eyes on New York as the most indebted per person State.
Did you think the debt problem at the federal level was bad? New York has the highest debt per person of US States at a total debt per person of $31,536 compared to USA debt per person of $44,805. Meanwhile, the Chinese and foreign barbarians are closing in on US bonds and the underlying State bonds, because of federal and state budget excesses. Low bond interest rates or selling a bond will be fond memories, because of excessive debt per person.
These are the reports from outside:
Think US Debt is a problem; look at the States
How NY's Madoff like assumption of 7.5% safe return on investments will creates a giant deficit.
US follows the path of Greece and Portugal
US dollar becoming toxic
US debt increases despite budget agreement.
Inflation to return
Gas prices inflate
Will Cuomo's charm help? Buy this bond at the old interest rate and a framed iconic picture of Andrew Cuomo with an aura and the words "More Than Just Hope" will be provided for personal devotional use.
Pension Debts And Warren Buffet Sink New York's Budget Into Huge Debt
The chickens come home to roost
New York's "Madoff-like" promised 7.5% safe return on pension investments chickens are headed home to roost. Warren Buffet says 6.0% would be a better rate. It is reported as "The State Pension Time Bomb" where, "Poor accounting rules and flagrant irresponsibility have sped up the states’ day of reckoning." This blog previously in November 2010 reported: link
Madoff had promised safe returns of 10% before the economic recession began. The SEC warns in its Ponzi Schemes – Frequently Asked Questions that Ponzi schemes share common characteristics:
High investment returns with little or no risk
Overly consistent returns.
Comptroller Di Napoli has reduced his hope to earn 8% percent a year to 7.5%. Except for Madoff, who guarantees a 7.5 percent safe rate of return? Or 7 percent? Or 6 percent? No junk bonds allowed. NY's real rate of return was less than 4% for ten years.
Even worse, NY's return for past 5 years was 01.1%. Link.
A report in the August issue of Governing, called New York State, the nationwide pension leader with Pension liability: $141 billion. The NY Times, agrees and had "How to Cheat a Retirement Fund", an "approach that assumes, as economists generally do, that even corporate accounting standards in this area are too lenient, public pension underfunding is about $3.5 trillion, or one-quarter of gross domestic product."
"Private pension plans must discount their liabilities based on a market rate—typically, a corporate or U.S. government bond rate—which is often much lower than the plans’ projected returns."
*Return US Treasury: 10-MONTH NOTE 10-15-2010 2.475%
There appears to be a large difference between 2.475% and 7.5% and DiNapoli's assumed drop from 8% to 7.5%.
Bottom line: New York's balance sheet is tipped by an unfunded pension liability of up to $143 billion dollars. Already, the New York Debt per person including local debt is $24,195. (For a family of four that is about $97,000.)
Now add another $143 Billion divided by 19.4 million (NY Population) to add another $ 7,341 to that $24,195.
NY State and local debt per person $24,195
NY unfunded pension debt per person $7,341
NY total debt per person $31,536
USA debt per person $44,805 (Dec 2010) Who would lend money to such a debtor?
Cuomo And Chief Judge Lippman Dance Around Phony Budget Numbers On The Albany Titanic Barge
"The worst enemies of the republic are the demagogue and the corruptionist." ~ T. Roosevelt
The Albany Follies Show continues:
Cuomo struts out looking tough by forcing a 7.5% decrease on Courts' budget. Chief Judge Lippman appears and releases a video, where “The consequences will be felt heavily on the public as well as on every other part of our state that depends on and is affected by the courts,” Lippman said. The first scene's script had Lippmann wanting only a 3.7% decrease and Cuomo wanting a 10% decrease and 7.5% compromise resulted. (Applaud, please)
But, the final scene has the surprise ending when,
1. Lippman expects a Commission to give raises to the 1,300 Judges, with pay for Supreme Court Judges rising from $136,700 to more than $179,000 or 31% increase or $48 million dollars in judicial salaries to added to Lippman's budget.
. 2. The Judges are also suing for $780 million in back pay to be added to Lippman's budget.
So the revised real Court budget arithmetic is: $2.7 billion this year; minus -$170 million by Cuomo; plus +$48 million in judicial salary increases; plus +$780 billion in back pay; or court budget increases by +$658 million dollars or a 25% increase.
P.S. Why did Cuomo drop the ball on Lippman? Andrew Cuomo had promised to clean out corruption in Albany and that is impossible if the New York Courts are run by a Crook as Chief Judge. See Chief Judge Lippman must step aside pending FBI probe.
Will Cuomo drop corruption ball link
And all of this is will be overshadowed by the $46 Billion New York State budget deficit disaster looming from the 2011-2012 Federal budget, "One of the new health-care reforms proposed by the GOP budget is converting the federal share of Medicaid—the federal-state program that provides health insurance to low-income people—into block grants to state governments."
Latest: Debt on Track to Hit 800 Percent of GDP; 'CBO Can't Conceive of Anyway' Economy Can Continue
The Albany Follies Show continues:
Cuomo struts out looking tough by forcing a 7.5% decrease on Courts' budget. Chief Judge Lippman appears and releases a video, where “The consequences will be felt heavily on the public as well as on every other part of our state that depends on and is affected by the courts,” Lippman said. The first scene's script had Lippmann wanting only a 3.7% decrease and Cuomo wanting a 10% decrease and 7.5% compromise resulted. (Applaud, please)
But, the final scene has the surprise ending when,
1. Lippman expects a Commission to give raises to the 1,300 Judges, with pay for Supreme Court Judges rising from $136,700 to more than $179,000 or 31% increase or $48 million dollars in judicial salaries to added to Lippman's budget.
. 2. The Judges are also suing for $780 million in back pay to be added to Lippman's budget.
So the revised real Court budget arithmetic is: $2.7 billion this year; minus -$170 million by Cuomo; plus +$48 million in judicial salary increases; plus +$780 billion in back pay; or court budget increases by +$658 million dollars or a 25% increase.
Final scene's tally: Lippman wins with +25%
Taxpayers out an additional $658 million dollars
Cuomo's exit speech says "don't blame me."
P.S. Why did Cuomo drop the ball on Lippman? Andrew Cuomo had promised to clean out corruption in Albany and that is impossible if the New York Courts are run by a Crook as Chief Judge. See Chief Judge Lippman must step aside pending FBI probe.
Will Cuomo drop corruption ball link
And all of this is will be overshadowed by the $46 Billion New York State budget deficit disaster looming from the 2011-2012 Federal budget, "One of the new health-care reforms proposed by the GOP budget is converting the federal share of Medicaid—the federal-state program that provides health insurance to low-income people—into block grants to state governments."
Latest: Debt on Track to Hit 800 Percent of GDP; 'CBO Can't Conceive of Anyway' Economy Can Continue
Federal Medicaid Block Grants Will Destroy Cuomo's Budget By $47 Billion Dollars
The party's over.
At least $46.8 billion dollars will be added to New York's Medicaid expenditures, when Congress in the next budget year beginning in October changes to a block grant for Medicaid as proposed in the next federal budget, and California will support block grants for Medicaid.
Last year's New York State's share of Medicaid expenditures was $13.8 Billion and the cap on next year's expenditure will be $15.1 Billion (+9.4%), which is matched by an equal contribution of $15.1 billion by NY Counties.
Here are the Medicaid comparisons by State.
Medicaid Cost Per Person Served, 1998
(Red States less than half New York's cost)
New York ~ $8,961
California $2,386
Washington $2,563
Oregon $3,652
Virginia $3,740
Florida $3,607
Texas $4,419
Illinois $4,435
Delaware $4,440
Michigan $4,494
Ohio $5,346
Massachusetts $6,870
Wisconsin $5,457
Pennsylvania $5,808
New Jersey $6,856
Rhode Island $6,603
If the federal Medicaid block grant rate is at the Texas rate per recipient (Texas $4,419), New York's Medicaid total Federal Reimbursement (State +County) will be reduced ($4,419 divided by $9,861 x $30.2 billion) to $13.6 Billion. But, New York's total predicted Medicaid expenditure (Federal+State+County) cap was $60.4 billion, or New York needs to find an additional ($60.4-$13.6) $46.8 billion dollars. And New York will find no sympathy or support from California for replacement with Medicaid block grants, as California will gain tremendously due to California's $2,386 lower rate.
Now add that $46.8 billion to all the delusional revenue predictions in Cuomo's budget. Will that additional $2,412 per person ($46.8 billion divided by NY population of 19.4 million) or $9,648 for a family of four be funded with new taxes or added to the New York's Debt per person including local debt of $24,195? Where will the Counties get their increased share? And this will be repeatedly added in future years.
link to poem
At least $46.8 billion dollars will be added to New York's Medicaid expenditures, when Congress in the next budget year beginning in October changes to a block grant for Medicaid as proposed in the next federal budget, and California will support block grants for Medicaid.
Last year's New York State's share of Medicaid expenditures was $13.8 Billion and the cap on next year's expenditure will be $15.1 Billion (+9.4%), which is matched by an equal contribution of $15.1 billion by NY Counties.
Here are the Medicaid comparisons by State.
Medicaid Cost Per Person Served, 1998
(Red States less than half New York's cost)
New York ~ $8,961
California $2,386
Washington $2,563
Oregon $3,652
Virginia $3,740
Florida $3,607
Texas $4,419
Illinois $4,435
Delaware $4,440
Michigan $4,494
Ohio $5,346
Massachusetts $6,870
Wisconsin $5,457
Pennsylvania $5,808
New Jersey $6,856
Rhode Island $6,603
If the federal Medicaid block grant rate is at the Texas rate per recipient (Texas $4,419), New York's Medicaid total Federal Reimbursement (State +County) will be reduced ($4,419 divided by $9,861 x $30.2 billion) to $13.6 Billion. But, New York's total predicted Medicaid expenditure (Federal+State+County) cap was $60.4 billion, or New York needs to find an additional ($60.4-$13.6) $46.8 billion dollars. And New York will find no sympathy or support from California for replacement with Medicaid block grants, as California will gain tremendously due to California's $2,386 lower rate.
Oh, somewhere in our favored land the sun is shining bright;
The band is playing somewhere, and somewhere hearts are light,
And somewhere men are laughing, and somewhere children shout;
But there is default in Albany — mighty Cuomo has struck outlink to poem
Cuomo Celebrates Before His Budget Revenue Forecasts Become Fantasies
Strike up the Band, Cuomo is now Captain of the New York's Titanic.
There is joy in the Albany Swamp as Andrew Cuomo Kisses And Makes Up With The Albany Swamp's Legislature Vermin, lobbyists, large contributors and Reprobate Politicians, and passes his budget
TAXPAYERS WATCH OUT!
Which one of them checked the revenue predictions in the Cuomo budget? Inflation has appeared and expected employment increases are unlikely. Which politician thinks the voters will be fooled when local taxes rise and judges get a pay raise?
Cuomo Budget's Hope had expected increased revenue from real estate transfer tax but apartment prices are falling.
Has Cuomo heard of the Domino effect where problems in Greece had spread to many other EU Countries. If California, or Illinois goes under, will New York with the highest debt per person in the US follow?
Sheldon Silver OutFoxes Cuomo And Sticks Cuomo With The Future Blame For Revenue Shortfalls And Default/Bankruptcy
New York's budget is a fool's delight.
The Cuomo Budget process and its Committees and teams were all a big farce, because Cuomo operatives prepared the outcomes and the committees were left with a rubber stamp. "Add Common Cause to the list of organizations unhappy with the about-to-be-completed 2011-12 budget. Rather than the cuts, they are upset about the level of secrecy involved in crafting the spending plan, which appears to be a replay of the time-tested “three men in a (closed door) room” method.
"Localities were quick to knock the first report ... from Mandate Relief Redesign Team, saying it falls short of the reforms needed. ...Gov. Andrew Cuomo ... is seeking to cap the growth in property taxes to 2 percent a year. Governments and schools said they would be hard-pressed to abide by the cap without having some state requirements removed." "What irked some on the 23-member panel was that while they had discussions with Cuomo's staff about the final version of the report, they only saw it minutes before it was released publicly." Suffolk County's Steve Levy said Cuomo's team report was 78 pages of nothing.
This was a temporary victory for Cuomo, but disaster is ahead, because the revenue side of the budget is a farce. "The new governor holds the commanding heights,” said Robert B. Ward, deputy director of the Rockefeller Institute, a research center. “The role for the Legislature often is to wait out a governor — and certainly the speaker has proven he’s a master of that." Was Assembly Speaker Sheldon a sly fox who knew Cuomo now had responsibility for the budget and the phony revenue predictions? "Mr. Silver [had]explained, it would be the widely reviled Legislature — not the popular governor — that would be blamed [if a budget wasn't passed]." Didn't Silver responsibly want more taxes?
Local schools are announcing layoffs in response to budget cuts. A sample of schools follow.
Beekmantown School layoffs
Saranac Central School District has no reserves and layoffs needed
Ausable Central School district has low reserves and layoffs will be needed
Cohoes City school district proposes layoffs
And these unemployed workers won't pay State income taxes (reduces Income Tax revenues) and also drains State coffers (unbudgeted expenditures for benefits), because NY State can't borrow its share of unemployment expenses from the federal government as it did in 2010. Worse still many local districts have to layoff more workers because they don't save the entire cost of wages paid, because many must still pay the full cost of unemployment benefits, because they use the benefit reimbursement plan instead of making regular unemployment contributions (in other words, they paid nothing until a worker is laid off and then they pay the full benefits)
"The Benefit Reimbursement program lets employers reimburse the Unemployment Insurance Fund for benefits paid to their former employees in place of paying on a tax rated basis. The following groups that are tax exempt under Section 501 (c) (3) of the Internal Revenue Code qualify for this option: Nonprofit organizations organized and run only for: religious, charitable, scientific, literary or educational purposes and Government entities."
This same unemployment benefit (unbudgeted expenditure) payment will affect any New York State layoffs Cuomo plans, because the promised savings will have to be reduced by the full cost of all unemployment benefits paid.
And NY Counties will follow with more layoffs because of Cuomo's pass down of a 9.4% increase in Medicaid County expense which is the largest expenditure for Counties and the failure of his Mandate Relief Team. Things get worse because a Pension Tsunami is going to hit California and New York. New York State has an absurd assumption that it earns 7.5% on its pension funds when the real rate was 1.1% for the past five years. This will effect New York's credit rating and lending rates.
Meanwhile, as inflation threatens and gas and fuel prices rise 100%, will Cuomo get more money by borrowing when New York is all ready the most indebted per person with $97,000 for a family of four?
The Clever Fox Award goes to Sheldon Silver and the booby prize to?
New York's Budget Is Now Cuomo's Budget And Default His Responsibility
Assembly Speaker Sheldon Silver and Senate Majority Leader Dean Skelos laugh and smile as they pass Cuomo's budget. Now, Andrew Cuomo owns the New York State budget. He can't blame the legislators for passing his budget. So, who will Cuomo blame when the revenue fails to come in and the massive borrowing begins?
Now, there is Joy in Albany as Andrew Cuomo passes his budget and Cuomo comes to bat. But, all the flaws reported in this blog in Cuomo's Executive budget are still there. Most importantly, New York will run out of cash because of
1. fantasy revenue predictions.
2. $3.6 billion in required spending is missing from the budget .
3. Cuomo's hidden taxes on business will discourage new business in New York.
4. Cuomo has ignored the pending suit to increase judges pay and its additonal cost to the State.
5. Counties and Cities will have to raise taxes to pay their 9.4% increase in Medicaid costs which is the largest expense in their budgets?
Now, there is Joy in Albany as Andrew Cuomo passes his budget and Cuomo comes to bat. But, all the flaws reported in this blog in Cuomo's Executive budget are still there. Most importantly, New York will run out of cash because of
1. fantasy revenue predictions.
2. $3.6 billion in required spending is missing from the budget .
3. Cuomo's hidden taxes on business will discourage new business in New York.
4. Cuomo has ignored the pending suit to increase judges pay and its additonal cost to the State.
5. Counties and Cities will have to raise taxes to pay their 9.4% increase in Medicaid costs which is the largest expense in their budgets?
But, Hope as Cuomo comes to bat:
Then from 5 million throats and more there rose a lusty yell;
It rumbled through the Hudson valley, it rattled in the Albany dell;
It knocked upon the Adirondack mountains and recoiled throughout the State,
For Cuomo, mighty Cuomo, was advancing with his budget's plate.
There was ease in Cuomo's manner as he pranced into his place;
There was pride in Cuomo's bearing and a smile on Cuomo's face.
And when, responding to the cheers, he lightly doffed his hat,
No stranger in the crowd could doubt 'twas Cuomo at the bat.
Ten million eyes were on him as he rubbed his hands in Albany's dirt;
Five million tongues applauded when he wiped them on his shirt.
Then while the writhing tort lawyer ground the ball into his hip,
Defiance gleamed in Cuomo's eye, a sneer curled Cuomo's lip.
And now the cap on medical malpractice sphere came hurtling through the air,
And Cuomo stood a-watching it in haughty grandeur there.
Close by the sturdy batsman the malpractice cap unheeded sped-
"That ain't my style," said Cuomo. "Strike one," the doctors said.
From the crowds, black with people, there went up a muffled roar,
Like the beating of the storm-waves upon Long Island's shore.
"Kill them! Kill the lawyers!" shouted someone in the band;
And it's likely they'd a-killed them had not Cuomo raised his hand.
With a smile of Christian charity great Cuomo's visage shone;
He stilled the rising tumult; he bade the budget farce go on;
He signaled to the mandate relief pitcher, and the mandate relief spheroid flew;
But Cuomo still ignored it, and Steve Levy said, "Strike two."
"Fraud!" cried the maddened millions, and the echos answered fraud;
But one scornful look from Cuomo and the People were awed.
They saw his face grow stern and cold, they saw his muscles strain,
And they hoped that Cuomo wouldn't let a ball go by again.
The sneer is gone from Cuomo's lip, his teeth are clenched in hate;
He pounds with cruel violence his silver spoon upon his plate.
And now the Chinese Debt Master holds the ball, and now he lets it go,
And now the air is shattered by the force of Cuomo's blow.
Oh, somewhere in our favored land the sun is shining bright;
The band is playing somewhere, and somewhere hearts are light,
And somewhere men are laughing, and somewhere children shout;
But there is default in Albany — mighty Cuomo has struck out.
Would you buy NY Bonds knowing?
New York State Debt per person including local debt is $24,195. For a family of four that is about $97,000. That is the highest in the USA. And surprise, Cuomo's budget revenue predictions were a farce.
Andrew Cuomo Faces Steep Interest Rates Or Default With Highest State/Local Debt Per Person Or About $97,000 Per Family Of Four
What is the Credit Rating for New York's indebtedness?
Let's look at New York's outstanding debt, which will affect New York's ability to borrow more money when Andrew Cuomo's Budget fails to produce desired revenue. (See blog post below or link) New York leads California in official debt per person by 29% and greater than the average for all States by 73%. The grim numbers are below.
From governmentspending.com
State Gross Local and State Debt Population Debt per person
in billions millions dollars
California 371.2 32.8 $11,317
New York 281.9 19.4 $14,531
Florida 128.4 19.3 $ 6,653
Michigan 72.2 10.0 $ 7,220
Texas 210.6 25.4 $ 8,291
All States 2,617.4 311.4 $ 8,405
But, New York State's Pension Plans use a fraudulent Madoff like safe return of 7.5% to calculate Pension reserves. (The actual rate of return for the past 5 years was 1.1%). If we correct the pension liabilities optimistically with a 3.1% return, instead of the 7.5% fraudulent rate we find another $9,664 additional debt per person, raising the New York Debt per person including local debt to $24,195. For a family of four that is about $97,000.
The USA and its States will face borrowing problems, as reality sinks in:
US finances near worst in World
Moody's cracks the whip on Britain
The exact cost of bad decisions by government bodies, whether they be the U.S. Congress, state legislatures or local city councils, is often hard to quantify.
Now, the simple questions, if you wanted to invest in State Bonds?
1. Which State is most heavily in debt per person? NY
2. Which State balanced their budgets? not NY
3. Which made outlandish predictions of revenue and now wants to borrow to finance their spending excesses? NY
3. Would you demand a large premium in interest rates to lead to New York over other States? Yes
How many ads will be needed to be purchased in the future to convince you Cuomo's promised good intentions excuse his failures?
Let's look at New York's outstanding debt, which will affect New York's ability to borrow more money when Andrew Cuomo's Budget fails to produce desired revenue. (See blog post below or link) New York leads California in official debt per person by 29% and greater than the average for all States by 73%. The grim numbers are below.
From governmentspending.com
State Gross Local and State Debt Population Debt per person
in billions millions dollars
California 371.2 32.8 $11,317
New York 281.9 19.4 $14,531
Florida 128.4 19.3 $ 6,653
Michigan 72.2 10.0 $ 7,220
Texas 210.6 25.4 $ 8,291
All States 2,617.4 311.4 $ 8,405
But, New York State's Pension Plans use a fraudulent Madoff like safe return of 7.5% to calculate Pension reserves. (The actual rate of return for the past 5 years was 1.1%). If we correct the pension liabilities optimistically with a 3.1% return, instead of the 7.5% fraudulent rate we find another $9,664 additional debt per person, raising the New York Debt per person including local debt to $24,195. For a family of four that is about $97,000.
The USA and its States will face borrowing problems, as reality sinks in:
US finances near worst in World
Moody's cracks the whip on Britain
The exact cost of bad decisions by government bodies, whether they be the U.S. Congress, state legislatures or local city councils, is often hard to quantify.
Now, the simple questions, if you wanted to invest in State Bonds?
1. Which State is most heavily in debt per person? NY
2. Which State balanced their budgets? not NY
3. Which made outlandish predictions of revenue and now wants to borrow to finance their spending excesses? NY
3. Would you demand a large premium in interest rates to lead to New York over other States? Yes
How many ads will be needed to be purchased in the future to convince you Cuomo's promised good intentions excuse his failures?
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