New York Medicaid Blocked From Cutting Aging Nursing Homes Funds

December 31, 2025, 6:12 PM UTC

A federal court temporarily blocked the state of New York from cutting Medicaid maintenance funding for nursing facilities more than 40 years old.

Judge Glenn T. Suddaby of the US District Court for the Northern District of New York granted 92 nursing homes a preliminary injunction that temporarily blocks New York’s Medicaid program from withdrawing funding for capital reimbursement, which is used to renovate or maintain nursing home buildings to ensure adequate living conditions.

The nursing homes sued the state in 2024 over its plan to stop all capital reimbursements for facilities exceeding their “useful life” of 40 years. The ...

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