/ Modified jul 30, 2015 7:40 a.m.

Is Arizona Medicaid Funding Mechanism a 'Tax' or a 'Fee'?

Judge to decide if assessment on hospitals violates state Constitution's two-thirds vote provision.

A battle over how former Gov. Jan Brewer funded the expansion of the state's Medicaid program will go before a judge in Phoenix Thursday, with coverage for 350,000 people at stake.

Lawyers will argue over the constitutionality of the assessment Arizona hospitals pay to the state as part of the state's Medicaid expansion, which Brewer pushed through a reluctant Legislature two years ago.

The case hinges on whether the assessment is a tax that should have been passed by a two-thirds vote in the Legislature or a fee that can be passed by a majority vote.

The state uses the assessment to pay its share of Medicaid expansion costs. The rest are covered by the federal government.

The case was brought by Republican lawmakers who opposed the Medicaid expansion and the Affordable Care Act.

If they prevail, the 350,000 Arizonans who got insurance coverage under the expansion may find themselves without it once again.

By posting comments, you agree to our
AZPM encourages comments, but comments that contain profanity, unrelated information, threats, libel, defamatory statements, obscenities, pornography or that violate the law are not allowed. Comments that promote commercial products or services are not allowed. Comments in violation of this policy will be removed. Continued posting of comments that violate this policy will result in the commenter being banned from the site.

By submitting your comments, you hereby give AZPM the right to post your comments and potentially use them in any other form of media operated by this institution.
AZPM is a service of the University of Arizona and our broadcast stations are licensed to the Arizona Board of Regents who hold the trademarks for Arizona Public Media and AZPM. We respectfully acknowledge the University of Arizona is on the land and territories of Indigenous peoples.
The University of Arizona