WI passes hospital tax

Wisconsin has passed a new hospital tax that, despite involving new expenses, should ultimately benefit the state's facilities, according to the state's hospital trade group. Wisconsin Gov. Jim Doyle has just signed the measure, which should increase the state's Medicaid reimbursement funding by an estimated $300 million a year. 

The bill has won the approval of the Wisconsin Hospital Association, which has calculated that the state's hospitals and health systems will see a net benefit from the tax hike, since they're likely to get more in reimbursements than they'll pay out in taxes.

Under the new reimbursement rates that will come into effect, hospitals will get an estimated average of $360 per outpatient visit, or about three times the former rate. They'll get $8,700 per inpatient discharge, up from $5,900 under the old rules.

To learn more about the bill:
- read this Modern Healthcare piece (reg. req.)

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