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Connecticut Children's urges removal of hospital-tax exemption to join provider-tax pool
Summary
Connecticut Children's told the Finance, Revenue and Bonding Committee it supports Senate Bill 1550 to remove a statutory exemption and enable the system to participate in the state's hospital tax beginning in fiscal 2027, saying participation could help improve Medicaid cost coverage for its patients.
Jane Baird, senior director of government relations and external affairs at Connecticut Children's, told the Finance, Revenue and Bonding Committee during a public hearing that the health system supports Senate Bill 1550, an act concerning the applicability of the hospital tax to children's general hospitals.
Baird said Connecticut Children's is currently exempt from the provider tax but argued that joining the hospital tax pool would "benefit the state and support our organizational financial sustainability." She noted that more than half of the system's patients rely on Medicaid and that "the percentage of our costs that are covered by Medicaid payments ... is…
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