Colorado Hospital Provider Fees do not violate TABOR, Denver District Court rules

Hospital prices which have generated billions of in Colorado are approved and do not violate Colorado’s Taxpayers Bill of Rights, in step with a Denver District Court ruling.

The Wednesday ruling found that the Hospital Provider Fee and the subsequent Healthcare Affordability and Sustainability Fee are “fees, and not taxes, and therefore are not subject to TABOR,” in step with a Colorado Department of Health Care Policy and Financing (HCPF) data launch.

The ruling is in favor of the nicely being care protection division and the Colorado Department of the Treasury.

In 2015, the TABOR Foundation filed a lawsuit tough the constitutionality of the costs. The hospital provider cost is a price imposed on hospital stays that totally different states seek the advice of with as a “bed tax.”

The ruling states that Sen. Bill 17-267, which created the sustainability cost, “does not violate the single subject requirement of … the Colorado Constitution,” the discharge talked about. The courtroom denied the plaintiff’s motion for summary judgment “in its entirety.”

The prices, a Colorado Medicaid funding mechanism, have generated higher than $4.6 billion over the earlier decade, the discharge talked about.

“With this ruling, Medicaid is able to pay higher reimbursements to hospitals, which is especially important to rural hospitals,” talked about Kim Bimestefer, authorities director for the HCPF.

The ruling will help hospitals to “take care of people who need it most,” Bimestefer talked about inside the launch.

State Treasurer Dave Young talked about: “I am pleased to learn that the court affirmed the legislature’s intent of improving the lives of Coloradans across the state. Sen. Bill 17-267 was a critical step towards supporting the sustainability of rural Colorado.”

The distinctive Hospital Provider Fee program enacted by the Colorado legislature in 2009, is matched by federal and the money, higher than $500 million yearly, is redistributed to Colorado hospitals to pay for uncompensated care amongst totally different makes use of.

The prices, state officers talked about, have moreover been used to convey Colorado’s uninsured charge all the best way all the way down to historically low ranges, beneath seven p.c.

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