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.
May 1, 2025
Threatened cuts by the Federal government could significantly affect how healthcare is delivered in Minnesota, top state healthcare officials said in an online forum held May 1.
May 1, 2025
On April 30, MMA President Edwin Bogonko, MD, MBA, presented the Exceptional Primary Care Community Faculty Teaching Award to Ryan McFarland, MD, and Sarah McFarland, MD, at the seventh-annual Dean’s Tribute to Excellence in Education event at the Bell Museum in St. Paul.
May 1, 2025
Best-selling author Elisabeth Rosenthal, MD, will discuss how physicians are at the crossroads of U.S. healthcare, at the MMA’s 2025 “Empowering Physicians: A Night of Learning & Connection” event on Friday, September 26, at the Hewing Hotel in downtown Minneapolis.