December 15, 2022
Based on a law passed in 2011, Minnesota’s provider tax, which is assessed on the gross revenues received by physicians and other healthcare providers for patient services, will be reduced by 11% for 2023—from 1.8% to 1.6%.
The provider tax is deposited into the Health Care Access Fund (HCAF) and is used to fund the MinnesotaCare program and other programs designed to ensure affordable access to healthcare services.
In 2011, the Legislature passed a law that requires the Commissioner of Management and Budget to determine the projected balance in the HCAF each year and, if the revenues are projected to exceed 125% of the needed expenditures, the Commissioner shall reduce the tax to reduce the structural balance in the fund. The reduced rate is just for that calendar year. For more information, refer to Minnesota Statute 295.52, subdivision 8. The rate change for 2023 is the first time this provision has been triggered.
The current surplus in the HCAF was partially caused by increased federal payments for Medical Assistance and MinnesotaCare that reduced the state expenditures that were needed for these programs.
The provider tax was originally adopted by the Legislature in 1992 with the creation of the MinnesotaCare program. It was originally set at a rate of 2%. The tax was permanently reduced to 1.8% in 2019.
October 8, 2026
On September 29, a Hennepin County jury issued an $84 million malpractice verdict against Fairview Health Services, in a case involving a patient who died of complications following an exercise-induced heart attack.
October 8, 2026
A group of fifth-grade students from Lincoln Elementary School in St. Cloud got a firsthand look at the world of medicine on October 5, during a special Mini Medical School Day hosted by the University of Minnesota Medical School CentraCare Regional Campus St. Cloud.
October 8, 2026
On October 7, the MMA released an updated version of its “The One Big Beautiful Bill Act (OBBBA) Resource Guide for Physicians.”