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N.H. tax commission hears from Dartmouth-Hitchcock

Officials with Dartmouth-Hitchcock said they’re being penalized for integrating services between their hospital and clinics to better serve patients.

The officials spoke yesterday to a special commission considering whether New Hampshire should change how it taxes hospitals. They said it is in the best interest of patients to integrate outpatient laboratory services, outpatient oncology programs and ambulance services with Mary Hitchcock Memorial Hospital, but it also makes the hospital subject to more taxes.

The $176 million the state collects in taxes on hospital revenues pays for Medicaid services and goes toward other state spending. For many years, hospitals got the money back in a refund from the state, but that changed in 2011 when the federal government said the state had to distribute the money according to hospitals’ Medicaid costs.

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