The number of claims being submitted for indigent health care by providers outside of the Lincoln County Medical Center is declining as more people become eligible and sign up for Medicaid in New Mexico, the county indigent health care director told Lincoln County commissioners.
During Scott Annala's monthly report, Commissioner Mark Doth said he understood that beginning July 1, the first day of the new fiscal year, Annala will be shifting terminology and the county is going to lose 1/12th of its gross receipts tax.
"We will lose a (the equivalent of) 1/12th gross receipts tax wherever you decide to take that from, Annala said. "It could my indigent budget. It could be the mill levy. It can be whatever tax base you want to pull that from," Annala said. "You will have to enact an ordinance effective July 1. The new (state Senate) bill states counties shall enact an ordinance to dedicate one-twelfth of the gross receipts tax. It doesn't say from where, gross receipts or tax base, in my opinion. I will have to do some correcting of terminology as far as the Sole Community Provider program, which is gone. Any claims basically after January, will be the Safety Net Care Pool."
The changes are tied to the state's agreement with the federal government under the Affordable Health Care Act.
Lincoln County voters several years ago approved a 1/8th of a cent GRT to help pay for health care by independent providers and every seven years, voters are asked to reinstate a 3 mill property tax for the Lincoln County Medical Center's portion of the Sole Community Provider program. The tax often was used to pay the county hospital's portion of the program, which returned up to $4 at one point for every $1 spent on uncompensated care. One mill equates to $1 for each $1,000 of taxable property value. The Lincoln County Medical Center in Ruidoso is the only hospital in the county, therefore a sole community provider.
Annala told commissioners that Senate Bill 268, which pledges 1/12th of a cent GRT to the state from each county to offset uncompensated care, was signed by the governor, but she was not pleased with the county portion. State officials wanted a 1/8th of a cent GRT.
Commissioner Dallas Draper asked if the governor vetoed any portion of the bill.
Annala said vetoes usually are limited to funding issues, but Gov. Susana Martinez struck out language in the bill.
"She struck out the sunset clause," he said. "We wanted to continue this for three years, but she struck that out. She wanted it permanent. We wanted to revisit it in three years and come up with something a little better, instead of this rush job we pushed through. If this is going to be permanent, our taxing authorization does allow taxing an additional 1/12th of a cent, but that goes away in three years. If this is a permanent thing and we're only authorized to tax for three years, what are we going to be doing in three years? Where is the county going to be pull it from?"
The legality of the entire bill is being questioned by the New Mexico Association of Counties, he said.
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Effects of health care compensation in Lincoln County
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