CONCORD, N.H. (AP) - Gov. Maggie Hassan has announced a tentative settlement with almost all the hospitals in the state over Medicaid rates and a tax on hospital revenues that two judges have said is unconstitutional.

Hassan told legislative negotiators Thursday the agreement with 25 hospitals hinges on legislation to address constitutional questions raised in court. The hospitals would get more money for the care they provide in exchange for dropping a lawsuit over rates and putting on hold their challenge of the tax's constitutionality.

St. Joseph Hospital in Nashua, which has sued over the tax, is the only hospital that didn't join the agreement.

The tax brings in about $185 million a year. The agreement would have little impact on the current budget. The hospitals would get more money in 2016 and 2017.


Advertisement