Hospitals fighting back after Lamont, Democrats cancel previously promised tax break
Connecticut hospitals are complaining that the legislature is moving forward and reaffirming the controversial hospital tax — continuing a bitter battle that has lasted for years.
The hospitals say the tax has become a losing proposition for them, costing them millions a year at a time when health care costs are rising.
“It’s an absolute cash-flow nightmare for us,” said Kurt A. Barwis, the CEO of Bristol Hospital. He said his community hospital pays nearly $14 million a year in taxes and gets back less than $10 million.
But Gov. Ned Lamont and Democratic legislators favor the tax plan to help balance the two-year, $43 billion state budget, which was approved this week by the legislature’s finance committee. Republicans, though, say the program particularly hurts small hospitals. The tax is subject to final approval by the full legislature and Lamont as lawmakers try to reach a budget deal before the legislature adjourns on June 5.
Read more: https://www.courant.com/politics/hc-pol-hospital-tax-legislature-20190503-vx5fs6idwjfd3gyj3dvpbeffpy-story.html