Idaho hospitals supported the tax because it will help maintain state Medicaid funding, which in return, yields federal matching funds that are distributed to hospitals treating Medicaid patients.
Under the proposed budget, the state’s Medicaid program would have been cut by $42 million. By agreeing to collectively pay $25 million, private hospitals in the state will help reduce the severity of Medicaid payment cuts, according to the report.
Read the Idaho Reporters’ report on the Idaho hospital tax.
