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Committee hears bill to expand provider tax to boost Medicaid hospital payments
Summary
Senate Bill 848 would expand the hospital provider tax base to generate additional Medicaid directed payments to hospitals; hospital leaders, union and health system officials supported changes, and the committee moved to hold the bill.
Senate Bill 848, introduced by Senator Whip Dekoyan, would increase funds available through the hospital provider tax and use the state’s Medicaid financing mechanism to expand managed‑care directed payments to hospitals. Backers said the change would not raise state taxpayers’ net share but would draw additional federal matching funds to shore up hospital finances and improve access to care.
"For every $1 that the State of Rhode Island contributes to the current hospital provider tax, Rhode Island can draw down approximately $2 in…
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