[StBernard] Louisiana Democrats Revive Bed Tax, LAGOP Calls on GOP Legislators to Oppose

[Westley Annis]

   LOUISIANA DEMOCRATS REVIVE BED TAX, LA GOP CALLS ON GOP LEGISLATORS TO
OPPOSE

The Louisiana Democrat Party and the Louisiana Hospital Association (LHA)
held a joint conference call today with reporters where in addition to
arguing for Obamacare's Medicaid expansion, they revived a proposal to pass
a "bed tax" on Louisianians.

On the conference call, Speaker Pro Tem Walt Leger and LHA Vice President
Sean Prados argued for HB 532. Gannett reporter Mike Hasten asked Leger and
Prados if the proposal was similar to a "bed tax" pushed several years ago.
Prados admitted the proposal is the same. Listen to the audio here:
http://www.youtube.com/watch?v=Xdw6-813jvE 

The "bed tax" is a faulty proposal that has already been tried once. The
"bed tax" is higher taxes masquerading as a financing scheme to draw down
more federal dollars.

The last thing our state needs is our legislature raising taxes on
Louisiana's hospital patients.  The Louisiana Republican Party asks you to
call your legislator and urge them to oppose House Bill 532, the bed tax.


Listen to Sean Prados of the Louisiana Hospital Association respond to a
question from Gannett News' Mike Hasten on the conference call today: 

Click here to listen.
<http://lagop.us1.list-manage.com/track/click?u=81f80dfae08a15f3629eabdeb&id
=222064f062&e=6a30004df9> 

TRANSCRIPT:

MIKE HASTEN, GANNETT NEWS: Is this similar to what the state did several
years ago, I think some people call it a bed tax?

SEAN PRADOS, LOUISIANA HOSPITAL ASSOCIATION: Yes, it is similar to what we
passed in 2005.  This is Sean Prados.  But the landscape and health care
environment has changed dramatically since then with the affordable care
act, with Bayou health, with transformation of the charity hospitals.  So
the idea is very similar, the financing would not necessarily be an
assessment on beds, it could be patient revenue, it could be on expenses, it
could be based on patient bays, so there are a lot of different ways to look
at this.

FLASHBACK: THE 2005 BED TAX:

In June 2005, Governor Blanco Unveiled A Hospital Tax Which Imposed A 1.5%
Tax On Hospitals. "Hospital tax unveiled: The cigarette tax has been pending
on the House floor for weeks, but the hospital tax was not unveiled until
Wednesday, when it sailed through a House committee without opposition.
House Bill 877 by Rep. Sydnie Mae Durand, D-Parks, would impose a 1.5
percent net revenue tax on about 75 private and community hospitals." (Jan
Moller and Robert Travis Scott, "Opposition to Blanco tax plans brewing,"
(Times Picayune, 6/5/05)

There Was Great Concern That The Tax Would Be Passed On To Patients. "After
reviewing the proposed legislation, the Republican delegation issued a news
release Saturday announcing its opposition to the measure. The state does
not need the money, and the plan does not represent true long-term health
care reform, according to the release issued by Rep. Jim Tucker, R-Algiers,
and Sen. Tom Schedler, R-Mandeville. 'There's no way they can make
assurances that the costs of this are not going to be passed on to the
consumers,' said Tucker, who is chairman of the GOP House Caucus." (Jan
Moller and Robert Travis Scott, "Opposition to Blanco tax plans brewing,"
(Times Picayune, 6/5/05)

Specialty Hospitals Filed A Lawsuit Challenging The Tax. "Meanwhile,
specialty hospitals are preparing a lawsuit challenging Blanco's tax as well
as trying to convince federal officials that it's discriminatory and should
be rejected.  Specialty hospital officials are physician-owned facilities
that focus on specific medical and surgical procedures." (Marsha Shuler,
"Official: Hospital provider tax facing hurdles," (The Advocate, 6/18/05)


The Tax Was Repealed 5 Months Later. "Legislature OKs delay to new tax on
hospitals.  Lawmakers have agreed to delay a new tax on private and
community hospitals because of the disarray caused to health services by
hurricanes Katrina and Rita. The state was supposed to start collecting the
new tax this year, but - with a unanimous vote from the Senate on Friday -
the Legislature decided the tax should be delayed until July 1, 2007. House
Bill 131 goes next to Gov. Kathleen Blanco, who backed the postponement."
(The Advocate, "Legislative Briefs," 11/20/05)

 
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