Proposed Hospital Tax Change Could Affect Mo.

8 years 6 months 2 weeks ago Tuesday, November 15 2011 Nov 15, 2011 Tuesday, November 15, 2011 12:51:00 PM CST November 15, 2011 in News
By: Associated Press

JEFFERSON CITY, Mo. (AP) -- Some of Missouri's top elected officials and business leaders are urging Congress not to cap a special health care tax when cutting the federal budget.

A research arm of the Associated Industries of Missouri released a report Tuesday analyzing the effect of a federal proposal to reduce the tax rate that states can impose on hospitals in order to generate matching federal Medicaid money.

The report says Missouri could lose $2.4 billion of federal Medicaid money during the 2015 through 2018 fiscal years, if the proposal is adopted. The analysis was conducted for the business group by the University of Missouri.

Missouri's entire congressional delegation, Gov. Jay Nixon and the leaders of the state Legislature also have signed statements urging Congress not to reduce the maximum hospital tax rates.

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