Atlanta — The controversial hospital tax proposal has cleared a crucial committee after House and Senate leaders brokered an 11th-hour deal with state hospital groups.
The hospital industry had opposed the plan, which was expected to bring in roughly $300 million. Earl Rogers of the Georgia Hospitals Association says the agreement, reached late Monday, helps the state’s finances and also protects hospitals and patients.
Gov. Sonny Perdue had proposed a 10.25 percent cut in the amount the state gives to hospitals and health care providers for serving Medicaid patients and eliminating the state sales tax exemption for nonprofit hospitals — which would force them to pay sales taxes for purchases.
Under the compromise, 1.4 percent of hospital revenue would be taxed and the sales tax exemption would not apply.
Local News
March 23, 2010
Tax bill clears committee with hospitals’ blessing
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