ALBANY, N.Y. (NEWS10) — Now that the Governor has laid out his executive budget proposal, it will take coordination with lawmakers to become a reality.

“The Medicaid system has to be fiscally sustainable, and if it is not financially sustainable, then we accomplish nothing,” Gov. Andrew Cuomo said.

Cuomo announced a Medicaid Redesign Team on Tuesday that will explore solutions for the growing costs. It’s tasked with looking for $2.5 billion in savings.

“The Governor had to tackle a close to $7 billion budget deficit,” Director of State Studies with the Citizens Budget Commission NY David Friedfel said. “A large part of that was caused by Medicaid overspending in prior years as well as the expectation that those trends would continue.”

“They have a tight timeline, and they probably should have been convened previously when this problem first came to light about nine months ago,” he continued.

Friedfel said another area of concern could push more costs onto local governments.

“The Governor proposed kind of a series of changes to the way that the local governments, counties and New York City would have to fund Medicaid and that was a poor recommendation.”

The Medicaid Redesign Team will have to come up with their recommendations by the end of March.