Senator Kemp Hannon recently announced a comprehensive mandate relief plan that would save local property taxpayers billions of dollars. The plan includes Medicaid and pension reform, as well as reforms related to education, municipal liability, local government services and hundreds of other measures that together could save municipalities $4 billion annually. Highlights of the Senate Mandate Relief Plan include:

• Medicaid Reform. After six months of statewide public round-table meetings, open discussions and information gathering, the Senate Medicaid Reform Task Force issued a set of more than 40 recommendations in December 2003. The recommendations, comprising the first comprehensive overhaul of the state's Medicaid program since it was enacted, would save state and local taxpayers $2.5 billion over five years.

"The need to deliver better quality care to Medicaid beneficiaries while ensuring the New York State taxpayer's hard earned dollar was wisely being spent guided the recommendations found in this report," Hannon, co-chair of the Senate Medicaid Reform Task Force, said.

The main components of the plan include a state takeover of the local share of the Family Health Plus program, implementation of reforms and cost containment aimed at making Medicaid more efficient, improved quality of care and fiscal relief to state and local taxpayers.

In addition to the takeover of the local share of Family Health Plus, the task force recommendations include substantial reforms that will save state government $600 million on top of the nearly $2 billion in local savings over five years. The panel's recommendations include reforms to the Long Term Care program, including stronger estate planning provisions. Reforms to control skyrocketing pharmaceutical costs, including the establishment of a preferred drug list. Establishment of disease management programs to better coordinate care and improve efficiency of the Medicaid program and establishment of a comprehensive utilization review to closely monitor patient use of the system and provider billing of the Medicaid system.

• Pension Reform. The Senate's pension restructuring plan, similar to recent plans advanced by the governor and comptroller, would provide $1.8 billion in fiscal relief to local governments and school districts over the next three years and ensure a sound pension fund.

Municipal Liability Reform. The Senate's plan has been applauded by local officials, businesses and organizations statewide as a way to save billions of dollars by, among other things, restricting baseless lawsuits, limiting jury awards and extending Court of Claims jurisdiction to localities.

• Local Government Cooperation and Shared Services. The Senate plan would provide additional resources to encourage localities to share services and cooperate to reduce duplicative layers of government and save taxpayers money.

• Wick's Law Reform. The Senate is proposing a phased-in increase of the $50,000 Wick's competitive bidding threshold for plumbing, electrical and HVAC components of public construction projects that could save localities hundreds of millions of dollars.

• Education Mandates. While the Senate has pushed for increased school aid and the STAR property tax relief program, onerous mandates drive up costs for local school districts and taxpayers. The Senate is proposing to eliminate hundreds of mandates placed on schools to cut red tape and save school districts and taxpayers tens of millions of dollars.

• Omnibus Mandate Relief Act. For over a decade, the Senate has advanced legislation to provide comprehensive relief for local governments and taxpayers from a wide array of expensive, unfunded state mandates. The package aims to reduce local burdens, provide increased flexibility, eliminate unnecessary reporting and approval requirements and encourage local cooperation.

• Constitutional Ban on Unfunded Mandates. The Senate plan includes a proposed Constitutional Amendment that would prohibit the state from imposing unfunded mandates on local governments and school districts. Also, compliance with new state mandates, once determined to be unfunded, would be voluntary for localities.