US Senator Jerry Moran says a decision by the Centers for Medicare and Medicaid Services to adjust the provider tax will help certain Kansas hospitals.
Moran says the CMS decision to approve what’s called the provider tax preprint, including a tax increase from 3 percent to 6 percent, will generate more revenue from prospective payment system hospitals in Kansas. That money is matched by Medicaid dollars and could, according to Moran, create $1 billion for hospitals across the state.
The move follows action by the Kansas Legislature to raise the tax cap. It also comes with the One Big Beautiful Bill capping state provider taxes at 3.5 percent for Medicaid expansion states. Kansas has not expanded Medicaid access and non-expansion states are not under the new tax cap.
This new funding stream is now available for the next 10 years.
