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Proposed Medicaid cuts in New York would hurt autism services for children, health care centers say

Many children with autism rely on Medicaid to get the critical therapy they need, but next year, New York state wants to cut spending by millions.

Some health care centers tell CBS News New York investigator Mahsa Saeidi if the cuts go through, they may have to close, leaving kids behind.

New York state budget proposes $30 million in cuts over 2 years

In Gov. Kathy Hochul's budget, due April 1, she's proposing to cut $30 million over two years.

Lawmakers questioned the cuts at a hearing in Albany on Feb. 11.

"How many kids who have autism, who are currently in the juvenile justice system or in foster care, are going to lose access to this benefit?" Assemblyman Andrew D. Hevesi said.

"It's still a fair wage," New York State Health Commissioner James McDonald said. "This is what most other states have done."

"Forgive me, commissioner, the fact that most other states have done it doesn't make me feel better," Hevesi said.

In a statement late Wednesday, Hochul's office said, "This proposal will not impact a single licensed provider ... and will hopefully encourage unlicensed providers to go through ... critical training necessary to be qualified."

Advocates say the licensed providers design the treatment, and the so-called "unlicensed" ones are the techs who execute the plan.

"You expect the same level of service that we're gonna have from before?" Hevesi said.

"Absolutely," McDonald said.

Bronx autism center says proposed cuts will force staff out

Shannan Thenstead fears her child is about to lose critical therapy. For three years, her son Sebastian has received treatment at Applied ABC, an autism center in the Bronx.

"He made so many good behavioral changes. He doesn't hit. He doesn't, he doesn't bite, and those were the problems that I was struggling with before he got these services," Thenstead said.  

Now, the center's leadership says New York's proposed cuts to Medicaid will reduce rates, forcing their staff out.

To make a living, therapists like Dorothy Kim would opt to work with families who have private insurance, not Medicaid.

"So it creates, I think, a greater void. Less resources for a population that already is kind of picking bones at this point," said Kim, a board-certified behavior analyst at Applied ABC.

"Think about the small people. People like, who's a single mom, who relies on Medicaid," Thenstead said. "If they cut these services, I'm going to struggle because my son is making good progress."

Applied ABC's leadership says their technicians are qualified and it's standard practice to use them.

Advocates say the effective delivery of these services relies on a tiered model, and if these cuts happen, New York will have the lowest reimbursement rates for services in the country.

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