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Milwaukee health systems support hospital tax
Business Journal of Milwaukee, March 11, 2008
Aurora Health Care, Wheaton Franciscan Healthcare and other Milwaukee-area health systems are supporting a proposed "hospital tax" in Wisconsin Gov. Jim Doyle's budget repair plan, anticipated to bring more than $400 million of new funding to the state if enacted.
The chief executive officers of five major health care systems, Aurora, Wheaton, Columbia St. Mary's, Froedtert & Community Health and Children's Hospital & Health System released a joint statement Monday applauding the governor's support of the 0.7 percent assessment on hospital revenue to increase Medicaid payments for hospitals in Wisconsin.
The hospital assessment was part of the 2008-09 biennium budget, but cut before the budget was passed. In October 2007, Doyle said it was expected that Wheaton would receive $50.7 million, Children's Hospital would receive $49 million, Aurora would receive $47.7 million, Froedtert would receive $10.75 million and Columbia St. Mary's would receive $7.5 million. Those numbers were anticipated for the biennium budget, but hospitals stand to gain higher reimbursement than the 48 percent of costs received from Medicaid reimbursement.
"The cost shifting that results from the underfunding of the state Medicaid program can no longer continue to be borne by the business community and, ultimately, our state's taxpayers," the joint release stated. "Without the hospital assessment, Wisconsin hospitals, business owners and average citizens will continue to finance nearly half of the state Medicaid program. That is unacceptable."