Morton County, Kan., plans to sue the state for more than $2 million over misdirected hospital funding, the Kansas Reflector reported Dec. 11.
Five things to know:
1. In 2015, the county’s voters approved a 1% countywide sales tax that directed funds to Elkhart-based Morton County Hospital, according to the report. An early administrative error that the county tried to remedy, resulted in the state’s department of revenue sending the funds to Morton County’s cities, which spent the money.
2. The hospital was short more than $1.8 million in funds it should have received over a nine-year period, according to the report. The county took on new debt in an attempt to cover the hospital’s missing costs. The county also intends to sue the Kansas Department of Revenue for an additional $295,000 to cover the interest and legal fees from the new debt.
3. The Morton County Board of Commissioners said it “will not compromise on recovering the full $2,152,421.36 and ensuring the financial future of our hospital,” according to the report.
4. At a Dec. 2 hearing, the Kansas Department of Revenue’s chief counsel said the error was fixed early this year and the hospital is now receiving full funds.
5. As of Dec. 11, the county has not yet filed the lawsuit.
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