Pennsylvania ASC coalition slaps down $100K tax burden — 4 insights

Pennsylvania's new $32.7 billion budget does not include a proposed tax on ASC revenues, marking a victory for the coalition of surgery center advocates that opposed the tax, according to the Pennsylvania Medical Society.

Here's what you should know:

1. Pennsylvania Gov. Tom Wolf, D, had proposed a 2.81 percent tax on net patient revenue for ASCs and endoscopy centers. The budget he approved June 22 does not include the tax.

2. The Pennsylvania Ambulatory Surgery Association led a coalition of 17 state-based medical societies, including PAMED, to oppose the tax.

3. The proposal could have created an annual tax burden of approximately $100,000 for each ASC in the state, according to the coalition.

4. The new budget allocates millions of dollars to certain healthcare services, including:

  • $4.5 million to home-visiting services for families affected by opioid use disorder.
  • $2.5 million for Lyme disease prevention and education initiatives.
  • More than $3 million to the Prescription Drug Monitoring Program.
  • More than $662,000 to the managed care program Community HealthChoices.

For more details on the 2018-2019 budget, visit the Pennsylvania Office of the Budget website.

More articles on surgery centers:
Congressional action on Stark Law is critical to developing value-based healthcare
How New Jersey's Healthcare Facilities Planning Act relates to ASCs — 4 quick facts
Stark Law under the spotlight as CMS seeks to ease self-referral regulatory burden, MedPAC cracks down on PODs

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