Va. Hospitals Consider Bed Tax to Fund Medicaid

Virginia’s hospitals reversed their position this week on a controversial bed tax, potentially giving Gov. Terry McAuliffe (D) a path to the top priority of his administration: Medicaid expansion.

Members of the Virginia Hospital and Healthcare Association have traditionally resisted efforts to pay additional fees, but a tax on beds — also known as a provider assessment — would draw down a federal match. Together, the money could be used to expand Medicaid under the Affordable Care Act and without state funding.

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