Due to slashed federal funding, the Oregon Association of Hospitals and Health Systems warily agreed to support a tax hike in order to fund the Medicaid budget deficit, according to the Portland Business Journal.
The tax increase proposal is expected to raise $934 million in the 2017-19 biennium, which allows the state to maintain Medicaid coverage for 1 million citizens, including those covered through expansion of the state's Medicaid program.
Oregon hospitals have financed Medicaid deficits before and this biennium is no different, according to the report.
"This solution will have impacts on hospital operations, as they already are experiencing deep regression in financial performance," the Oregon Association of Hospitals and Health Systems told the Portland Business Journal.
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