Conservatively Speaking
State Senator Mary Lazich (R-New Berlin) represents parts of four counties: Milwaukee, Waukesha, Racine, and Walworth. Her Senate District 28 includes New Berlin, Franklin, Greendale, Hales Corners, Muskego, Waterford, Big Bend and parts of Greenfield, East Troy, and Mukwonago. Senator Lazich has been in the Legislature for more than a decade. She considers herself a tireless crusader for lower taxes, reduced spending and smaller government.
Democrats’ hospital tax must be rejected
By Mary Lazich
Thursday, Sep 27 2007, 09:34 AM
The Milwaukee Business Journal has some grim news about local hospitals. The paper writes:
“The closing of a major hospital and changes in insurance contracts prompted big losses for some Milwaukee-area hospitals and lower profits for others in 2006.
The biggest financial loss was at St. Michael Hospital in northern Milwaukee, which closed last year. The hospital lost more than $100 million in fiscal 2006, according to financial filings made by the hospital's parent, Wheaton Franciscan Healthcare, Glendale. Another Wheaton hospital, St. Francis in Milwaukee, lost about $10 million in 2006, compared with $1 million in net income in 2005. “
Remember, budgets proposed by Governor Doyle and Senate Democrats contain a tax on hospitals. The Wisconsin Hospital Association (WHA) prepared an analysis of the Democrats’ hospital tax. The WHA writes:
“As part of its 2007-09 biennial budget, the Doyle Administration proposes a hospital tax equal to 1% of gross revenue, and to use the proceeds together with Federal matching funds to provide funding for Medicaid. Specifically, the plan proposes to tax hospitals a total of $418 million over the 2007-09 biennium, match it with $568 million of Federal funds, and increase hospital payments by $700 million, with a resulting net gain (after the tax) to hospitals of $284 million.
WHA has analyzed the plan, and has concluded that, contrary to a net gain, there would be a net loss of between $132 million and $186 million for hospitals over the biennium. This is because the payments proposed in the plan are either contrary to Federal rules, or based on questionable assumptions.”
With local hospitals closing and suffering big losses, Wisconsin needs to reject the hospital tax proposed by Governor Doyle and Senate Democrats.