HOUSE CONCURRENT RESOLUTION NO. 30

(By Mr. Speaker, Mr. Kiss)




Requesting the Joint Committee on Government and Finance to conduct an interim study relating to alternatives to the current gross receipts tax on independent health care providers.

Whereas, A tax on medicaid payments was imposed on participating independent health care providers in 1991 to enhance benefits for the medically indigent; and
Whereas, The Congress of the United States enacted legislation in 1992 restricting states to impose only a broad based and uniformly applied tax on independent health care providers to fund medicaid; and
Whereas, A tax on gross receipts was imposed on all independent health care providers in 1993 to comply with federal law; and
Whereas, The management of health services for medicaid recipients has changed with the enrollment of recipients into managed care programs; and
Whereas, The current tax paid by all independent providers is dedicated to partially fund these managed care programs; and
Whereas, Implementation of managed care programs inherently preclude many independent providers from providing care to medicaid recipients; and
Whereas, Independent health care providers are required to pay the current tax on all gross receipts regardless of the availability of their participation in medicaid; therefore, be it
Resolved by the Legislature of West Virginia:
That the Joint Committee on Government and Finance is hereby requested to conduct a study of alternatives to the current gross receipts tax on independent health care providers; and, be it
Further Resolved, That the Joint Committee on Government and Finance report its findings, conclusions and recommendations, together with drafts of any legislation necessary to effectuate its recommendations, no later than the first day of January, one thousand nine hundred ninety-eight; and, be it
Further Resolved, That the expenses necessary to conduct the study and to prepare appropriate reports, recommendations and proposed legislation be paid from the legislative appropriations to the Jjoint Ccommittee on Ggovernment and Ffinance.