Nassau University Medical Center has received $109.6 million in funding from New York state, an investment announced by Gov. Kathy Hochul in a Jan. 15 release.
The release states the funding reflects the state’s “recognition of the hospital’s progress under new leadership and its commitment to stabilizing operations while preserving access to essential health care services for Long Island residents.”
It’s been a turbulent year at NUMC, Long Island’s only public hospital. It provides health care to all residents, including the undocumented and uninsured — regardless of their ability to pay. Due to provisions that passed in the state’s budget in 2025, the restructured board at the Nassau Health Care Corporation was implemented at NUMC, shifting control of the hospital from Nassau County leadership to Hochul and state Democrats.
In addition, the state also granted the Nassau Interim Finance Authority, a public benefit corporation, expanded oversight, including the ability to approve hospital contracts exceeding $1 million.
A majority of the new board members at NUMC were named by Hochul throughout last year, who also designated the chairman, Stuart Rabinowitz, a former president of Hofstra University.
Thomas Stokes was tapped to lead the hospital as its chief executive officer in late-2025 and began his role earlier this month. With over 25 years of experience overseeing finance and operations in top-tier health care institutions, his appointment, according to a Jan. 1 release, “brings deep expertise and a longstanding commitment to public service” to the hospital.
The state’s Department of Health’s Vital Access Provider Assurance Program, also known as VAPAP provided $82.1 million of the funding for Fiscal Year 2025-2026, which ends this March. VAPAP aids hospitals and health care providers facing financial distress. Another $27.5 million was provided through an Inter-Governmental Transfer associated with enhanced Federal Medical Assistance Percentage funding tied to the coronavirus pandemic.
Of the VAPAP award, $25 million was received in August 2025, with the remaining $57.1 million anticipated in the first quarter of 2026. The $57. 1 million, along with the additional $27.5 million, was not reflected in NUMC’s previously approved budget. The combined funding, according to last week’s release, will reduce the hospital’s projected 2026 operating loss from $167.1 million to $82.5 million.
NUMC, in the release, said the state’s investment helps it build on a year of “decisive action” under the direction of the hospital’s new board, now with Stokes stepping into the chief executive role.
In his first days of leadership. Stokes identified major opportunities to strengthen performance, while efforts to tighten financial oversight, contain costs, and improve revenue and operational efficiency continue to take hold. Stokes remarked that he was “deeply committed to restoring and strengthening this hospital for the patients and communities that depend on us.”
“With this critical investment, we can continue building a stronger, more stable future for NUMC — one that delivers the quality, access, and accountability our residents deserve,” he said.
“The board is deeply appreciative of Gov. Hochul and the Department of Health for their confidence in NUMC’s direction and leadership,” Rabinowitz added. “This funding acknowledges the difficult but necessary reforms underway and provides the financial runway needed to continue stabilizing operations, improving care delivery, and positioning the hospital for long-term sustainability.”
Hospital leadership stated that it will continue to work in close partnership with the state and county stakeholders to advance reforms, strengthen fiscal accountability and maintain NUMC’s mission as a vital health care resource for Long Island.
“This funding marks an important step forward for NHCC and reflects growing confidence in the direction of its leadership,” said Richard Kessel, chairman and director of the Nassau Interim Finance Authority. “We look forward to continued collaboration in supporting NHCC’s financial stability and ensuring that public resources are managed effectively.”
The funding was well-received by local leadership on Long Island.
Legislator Olena Nicks, a Democrat, is the ranking member of the legislature’s health and social services committee, and a representative of communities that heavily rely on NUMC’s care. She said she is “committed to ensuring its long-term viability as an essential health care resource.”
“I thank Gov. Kathy Hochul for delivering nearly $110 million in vital funds to secure NUMC’s future,” she said in a statement on Jan. 16.
State Sen. Siela Bynoe, a Democrat who represents the state’s 6th District, said NUMC “is a lifeline for thousands, providing critical care for strokes, severe burns, cancer and other complex conditions.” She added that previous financial disarray and mismanagement have threatened NUMC’s future, against which she has long fought.
“This recent investment of nearly $110 million from New York state strengthens NUMC’s role as our region’s safety-net hospital, helping secure operations and ensure patients continue to have access to the care they need,” Bynoe said.
